What is Careshield Life? 3 Questions You May Also Have

There is a ton of information out there on Careshield Life but if you are looking for a simplified version, something more layman, this post is for you.

Most of the sponsored blog post out there focus on the benefits of Careshield life. If you are confused in the first place, the benefits don't really matter right?

So let's understand it better first...

I'm qualified on this subject

I come from a unique background.

My dad is a stroke patient, so the caregiving part and cost involved is very close to heart.

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That was more than 13years back. He started having a build up of brain pressure from a ladder climb and was admitted to hospital shortly after. Neurosurgeons inserted a cerebral shunt insertion to save the situation. However, a full blown stoke still occured subsequently. 

Having seen through these, I became a big advocate of long term care coverage and in my course of insurance advisory work, I've helped at least 100 people with their eldershield upgrades.

Because of it, I've heard a ton of confusion on this subject. 

Perhaps the best way is to bring out all the previous questions that I have had to answer and see if it helps you understand it better.

Careshield life is a form of long term care insurance. It pays out benefits on a monthly basis.

Do you also have these questions on this topic?

Questions 1: Is Careshield Life more similar to wholelife insurance or critical illness insurance?

Question 2: My IP plan covers outpatient care, do I still benefit from Careshield Life?

Question 3 : Why do I need disability coverage when I have Critical illness coverage?

I think these answers will be a lot clearer once you know what

Know the number 1 cause of claims for long term care (like careshield life)

It is STROKE. No two ways about it...

About 1/3 of claims (source from AVIVA) are from stroke patients.

The following part can help you answers some questions above

Stroke can be a covered condition with CI coverage. 

Notice the words "can be".. it depends on the stroke severity and what kind of CI policy you have.

Stoke can be a covered situation with Total permanent disability claims also.

Notice the words "can be"... it depends on whether the severity of the stroke. Some patients are permanently bedridden while others experience near full recovery after a year of rehab. 

If you are covered with a CI, TPD and long term care insurance (like Careshield life), it is possible to expect payouts from ALL the plans.

If it is a mild stroke, then maybe only long term care insurance (like Careshield life) may pay for temporary disability. The CI and TPD plans may NOT pay.


Long term care insurance (like Careshield life) is to insure some of your NEW extra medical cost.

These medical costs are not only medication but also maid cost, nursing home cost, physio cost ...etc...

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If you see it from a "NEW extra medical cost" point of view, the benefits make sense.

Government stepped up the benefits to $600/m because the old $400/m cannot even cover the cost of a maid. This also means that it is to me a "no brainer" if you qualify to upgrade.

Especially when you can use your medisave for premiums.

FYI: For Singaporeans and PR from year 1980 onwards, it is compulsory.

Read below to know the incentives to join Careshield life

Incentives to join CareShield Life if you are 1960-1979

There are incentives to join CareShield Life within 2 years of launch.

Participation incentives will be spread equally over 10 years and will be used to offset the annual premium payable in that year. Even those who have pre-existing medical conditions can join the scheme, but underwriting criteria will be tightened after two years.

Year of BirthIncentiveIncentive Per Year
Before 1960S$2,500S$250

What are the other TOP causes of claims

Amputation can come from a condition of diabetes, cancer or trauma.

Some stats on diabetes: 3/10 Singaporeans over age 60 have diabetes. That high.

Although your IP plan will cover you for renal dialysis, long term care insurance (like careshield life) is needed to take care of other expenses like maid cost, transport cost, medication cost etc...

AND what about Dementia, Alzheimer's and other brain diseases that cause inability to remember how to do things? 

What about accidents or some form of degeneration of muscle?

What I've realised

While stroke is a TOP cause for claims, there are many medical conditions or situations that can cause anyone to become disabled. 

For long term care, as long as you are unable to perform your daily activities for whatever reason (not just the 37 critical illnesses) you will incur NEW extra medical cost. 

Appreciate Careshield Life for what it can do for you and strongly consider if you need to cover more adequately with your own upgrade plan.

Last updated on October 9th, 2018 at 11:22 am

Josh Tan Jian Liang (CHFC) Principal Author

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