Statistics on CPF Members Aged between 21 and 60 Not Covered under Dependants' Protection Scheme

Mr Chua Kheng Wee Louis asked the Minister for Manpower (a) what is the current number of CPF members aged between 21 and 60 who are not covered under the Dependants' Protection Scheme, with a breakdown based on the key reasons for exclusion; (b) whether the scheme can be automatically extended to all CPF members aged above 21 who have sufficient CPF savings but have not made their first CPF working contribution; and (c) whether the scheme can be extended beyond the current age cap of 60 to be in line with the prevailing retirement age.

The Dependants’ Protection Scheme (DPS) is a term-life insurance scheme that provides insured members and their families with a sum of money to tide them over the initial period should the insured members pass away, suffer from terminal illness or total permanent disability.

As of December 2019, about 1 in 5 CPF members between age 21 and 60 are not insured under DPS. This can be due to a variety of reasons. For example, some members chose to opt out as they have no dependants, have similar private insurance coverage, or have sufficient CPF or other savings set aside for bequest. There are also a small number of members who could not meet the underwriting requirements.

Automatic inclusion under DPS is only extended to active members who are making regular CPF contribution from work as income protection for these members is likely to be more critical if they have dependants. A regular income also helps these members maintain sufficient CPF balances to keep up with DPS premiums. Members who are not automatically included but wish to be covered can apply directly to private insurers for DPS coverage. Their DPS premiums can be paid using their available CPF savings or cash.

From 1 April 2021, the maximum age of DPS coverage will be increased to cover members up to age 65. Members aged 60 and above but below 65 years, whose DPS covers have ceased or will cease before 1 April 2021, can rejoin DPS by applying directly with the appointed insurer.