MOH will consider using Medisave to pay for medical insurance premiums after 80

04 Mar 2005, The Straits Times

Question

MOH will consider using Medisave to pay for medical insurance premiums after 80

I AM 79, retired and have been covered under Incomeshield since age 75, when MediShield terminated my cover as it then covered a person only up to age 75. 

All along, premiums for the two shields have been paid from my Medisave account. But, now, I have been told that premiums can no longer be paid from the Medisave account when the insured turns 80. Only cash will be accepted. 

Where is the logic in this rule? Surely, Medisave was created to take care of the elderly. 

For the elderly, Incomeshield premiums rise as they get older. For instance, under Plan C, annual premiums for an 80-year-old is $457, rising to $757 at 90, and $907 at 95. At this age, if he is still alive, he would have paid a total of $6,206. 

Many retirees may not be able to pay such huge sums, and have no choice but to opt out of health insurance, through no fault of theirs. Payment from Medisave could have kept them in. 

So, what happens when oldies opt out and are later hospitalised and get landed with huge bills which they cannot pay? 

The solution is obvious: Loosen up and let the elderly use their own money to pay the premiums until it is depleted or until the insured dies.

Reply

Reply from MOH 

I refer to the letter in The Straits Times, "Let Medisave pay premiums after 80" (ST, 4 Mar 2005). In the letter, Mr Trevor Reginald suggested using Medisave to pay for medical insurance premiums after 80. 

He has got a point. We will see if we can incorporate this suggestion in the current MediShield reform.