How Do You Decide On Your Integrated Shield Plan in Post-Medishield Life Era?

Last updated on March 30th, 2018 at 06:07 pm

 

The premium rates for the new 5% co-payment rider is not out yet. But it is expected to help slow down medical insurance premium inflation. With the lifting of the 12-month moratorium from 1 Nov 2016, if you have an existing Integrated shield plan (IP), you would have seen premium increment. A few rounds at least!

Aviva and Prudential were the first. AIA. NTUC Income and Great Eastern were next. Even AXA has raised their premiums in 2018.

Just How Much Is The Premium Adjusted back in May2017?

The greatest percentage upward adjustment then was by Prudential, and the lowest is by Great Eastern.

Below is the summary of all premium adjustment by all the five insurers less AXA. AXA is the new kid on the block that has joined the highly competitive market on 1 May 2016.

Aviva Prudential AIA NTUC Income Great Eastern
Premium Adjustment
After 12-month Moratorium
10% – 25% 8.8% – 36.6% 2% – 23% 5% – 15% 2% – 4.2%

Table 1: IP covering private hospitals excluding their corresponding rider that covers the out-of-pocket expenses (deductible and co-insurance)

You have to consider the premium in absolute terms. In addition, you have to consider the rider premium as an entirety. Focusing on the main plan premium (that MOH publishes) without keeping an eye on the rider is akin to seeing with one eye close.

Nevertheless, it is good to know how much is the adjustment to have a sense of how has each insurer cope with their claims. As it is widely report, all insurers have been losing money in their IP plans.

If you are interested to know the total premium required to cover from the 1st dollar of your medical bill,

refer to our in-house IP calculator!

So What Are The Changes For Post-Medishield Life Integrated Shield Plan

With the premium increase, there are also some enhancements in the coverage too. We will rate the plans for their current benefits.

1. Increase in Pre and Post Hospitalisation Benefit Period

Top in the race :
Non-Panel of Doctors Prudential PruShield A Premier and AXA Shield Plan A 180 days Pre and 365 days Post).
Panel of Doctors  AIA HealthShield Gold Max A 13months for Pre and Post

Pre and Post hospitalisation coverage IS VERY VERY IMPORTANT! I’ve been a patient myself and I had to go back for a review next month after the operation, 3 months down, 12 months down again…. before they discharge.

My view: These two benefits, especially the Post Hospitalisation benefit is an important consideration in your decision making as it will reduce your anxiety on medical cost due to long recovery process significantly. Most of these cost require you to pay by cash and you want it to be reimbursed!

Selection: AIA gives you the longest pre and post hospitalisation benefit (13 months) but the treatment must be with their panel of doctors. Panel of doctor means their selected private doctors and all government hospitals.

If you do not want to constraint by the insurer’s panel of doctors, Prudential (PruShield Premier) and AXA Shield Plan A give Pre and Post Hospitalization benefit of 180 days and 365 days respectively.

 

Prudential
(PruShield Premier)
Aviva
(MyShield Plan 1)
Great Eastern
(SupremeHealth P Plus)
NTUC Income
(Enhanced Incomeshield Preferred)
AIA
(HealthShield Gold Max A)
AXA
(Shield Plan A)
Pre-hospitalization Benefit (Days) 180 90 120 90 100 (13 months for Panel Doctors) 180
Post-hospitalization Benefit (Days) 365 90 (180 days for Panel Specialist) 180 90 100 (13 months for Panel Doctors) 365

 

2. Increase in Annual Policy Limit

Top in the race :
AIA (Healthshield Gold Max A)

Great Eastern (SupremeHealth P Plus)

$2.0M

$1.5M

AIA HealthShield Gold Max A is providing the highest annual limit but it must be with their panel specialists. If not it falls back to only $600k.

Great Eastern (SupremeHealth P Plus) does not have such restriction.

Prudential
(PruShield A Premier)
Aviva
(MyShield Plan 1)
Great Eastern
(SupremeHealth P Plus)
NTUC Income
(Enhanced Incomeshield Preferred)
AIA
(HealthShield Gold Max A)
AXA
(Shield Plan A)
Annual Limit $1.2M $1M $1.5M $1M $600K($2M for Panel Doctors) $1M

My view: The annual limit for all the IP is likely to be sufficientBased on MOH statistics, the 95th percentile of the medical bill size is only about $100K. What it means is $600k or $1m or $1.2m or $1.5m does not usually matter.

However, there was this post of a $1,018,469 hospital bill that went viral. No one knows if it is real though.

SelectionSubjective.

 

3. Addition Coverage For Planned Overseas Medical Treatment

Planned Overseas Medical Treatment is a new add-on. Prudential PruShield A Premier and Aviva MyShield Plan 1 provides inpatient coverage for medical treatment that is conducted overseas. However, it must be referred by a Medisave-approved medical institution.

Prudential
(PruShield A Premier)
Aviva
(MyShield Plan 1)
Great Eastern
(SupremeHealth P Plus)
NTUC Income
(Enhanced Incomeshield Preferred)
AIA
(HealthShield Gold Max A)
AXA
(Shield Plan A)
Planned Overseas Medical Treatment As-Charged.
Lower of overseas charges or Singapore Private Hospital’s charges
As-Charged.
Pegged to Mount Elizabeth Orchard Hospital
N.A. N.A. N.A. N.A.

My view: Singapore Health Care system seems capable to treat most of the conditions. Moreover, it must be referred by a Medisave-approved medical institution which makes the use of this benefit very remote chance. This is a new frontier. The insurers are also trying it out as we become more global.

Selection: If you are a PR or have family overseas, then this benefit may make sense for you. Choose Prushield A Premier or Aviva Myshield Plan 1.

 

TRY OUR INTEGRATED SHIELD PLAN CALCULATOR HERE!

 

How we can help you?

Do not switch your existing coverage purely on current features provided by any one insurer or premium rates. If you have an existing agent, the service provided is important as they save you time with pre/post hospital benefit claims and keep you updated on changes to your plan. Think long term.

We do however have a unique view when it comes to

  1. Foreigner buying IP plan to get hospital insurance as not all insurers allow application
  2. Buying for newborn as there are other benefits to consider
  3. Have an existing health condition

CLICK BELOW TO ENQUIRE MORE

 

If you have existing health condition and want to apply medical insurance with an IP plan, check this post!

 

The Financial Advocate

I am always fascinated in how parents approach financial issues in their daily lives. There is an overwhelming amount of information available and through this blog, I hope I can shed some light on financial matters concerning parents!