Coverage for ElderShield

Dr Chia Shi-Lu asked the Minister for Health (a) what is the current coverage rate for ElderShield; (b) what percentage of ElderShield policyholders have supplementary policies currently; and (c) what is the rate of claims per year for the last five years.

ElderShield is an insurance scheme that provides basic protection against the costs of long-term care arising from severe old-age disability. The scheme provides cash payouts of $400 a month for up to six years to help defray the cost of caring for a severely disabled elderly at home or in nursing homes.

As at end 2012, there were 1 million basic ElderShield policyholders, or about 59% of the resident population aged 40 to 80. Those aged 80 and above would have passed the qualifying age for ElderShield when it was introduced in 2002. Hence, they are not eligible for coverage under ElderShield but they may apply for coverage under the Government-funded Interim Disability Assistance Programme for the Elderly (IDAPE) instead if they meet the qualifying criteria. The enrolment rate for ElderShield has been improving with each cohort. In 2012, more than 92% of those who turned 40 years enrolled. Of the one million ElderShield policyholders, 26% have purchased additional coverage through ElderShield Supplements.

Between 2008 and 2012, the number of claims rose from 3,900 to 4,900, while the amount of claims rose from $23 million to $58 million. Claims are expected to grow significantly in future, as the scheme matures and more policyholders move into the older age groups, when they are more likely to make claims.

As part of MOH's ongoing overall review of the healthcare financing system, we will study possible enhancements to ElderShield to ensure that Singaporeans can continue to be adequately protected against long-term care costs.