No need to rush into cancelling insurance policies: NTUC officer

There is no need to rush into cancelling insurance policies before all the details of MediShield Life have been firmed up, said National Trades Union Congress (NTUC) assistant secretary-general Zainal Sapari.

The recommendations by a committee looking into extending MediShield coverage to all, and for life, at the end of next year — including raising claim limits and wider coverage — have led some to wonder about the impact on their Integrated Shield plans.

Some union members have asked whether they should stop their insurance policies, said Mr Zainal.

“The advice we would give them is to hold on to whatever insurance plans they have and wait, perhaps until the details are all out and the respective insurance companies have actually studied the possible impact, before making any decision,” he added.

On Saturday, Health Minister Gan Kim Yong also urged people to consider carefully when deciding whether to give up their Integrated Shield plans, saying “they will have to consider the cost of coverage and the additional premiums, not just when they are young, but ... when they get older”.

Currently, more than 60 per cent of Singaporeans— or more than 2.4 million — are holding on to Integrated Shield plans, which cover more than standard subsidised care.

In April, the labour movement called for a review of the duplication of insurance coverage to reduce wastage of premiums paid when workers are covered by both self-paid and employer-paid schemes.

This concern was raised again by labour chief Lim Swee Say last week, as he called on companies to take up an arrangement of giving money budgeted for group insurance premiums to workers individually, otherwise known as portable medical benefits plans.

Yesterday, Mr Zainal reiterated the call, citing the still “very, very low” take-up.

He said: “We believe this is the way forward, because it is not tied up to their employment. Even when they do not work for that particular company, they can still enjoy insurance coverage.” XUE JIANYUE