Debated in Parliament on 8 Sep 2026.
Mr Yip Hon Weng asked the Coordinating Minister for Social Policies and Minister for Health (a) what proportion of existing Integrated Shield Plan rider policyholders will be required to transition to compliant riders after April 2028; (b) what proportion has switched voluntarily; and (c) whether retaining most legacy riders indefinitely will delay the intended reduction in over-servicing, claims and private healthcare cost escalation.
Before the new Integrated Shield Plan (IP) riders were introduced on 1 April 2026, about 182,000 policyholders downgraded or cancelled their riders in 2025. It is too early to assess trends in policyholder movements since the launch.
Under the new requirements, only policyholders who purchased IP riders between 27 November 2025 and 31 March 2026 are required by the Ministry of Health to transition to compliant riders no later than their next policy renewal from April 2028. The Ministry does not track the proportion of legacy rider policyholders that fall within this group. For policyholders who purchased their riders before 27 November 2025, individual IP insurers will decide on their own approach.
The revised requirements are designed to instil more discipline in the charging and utilisation of healthcare services and hence, better manage claims. This is reflected in an average reduction of around 35% to 40% in premiums, depending on the age band, as compared to legacy riders with maximum coverage.
The Member is right that the impact on the broader private healthcare ecosystem will take longer to materialise, if only a minority of policyholders are on the new riders. It is up to insurers to adjust the terms of legacy riders over time and place them on a more sustainable footing, while enabling more policyholders to benefit from more affordable premiums.
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