My Integrated Shield plan premium is increasing; would lowering the cost of my hospital insurance compromise my coverage?

The end of the integrated shield (IP) premium freeze on 31 August 2024 has led to the recent IP premium increase. Coupled with other changes, the up to 35% premium increase in MediShield Life from April 2025 to March 2028 may make your hospital insurance premiums even more expensive. This is especially true if you are in the older age group where premiums tend to be even higher. If you are thinking of lowering your premiums by downgrading your plan, but wonder if this will compromise your hospital coverage, this is what we think:

1. If you are on private hospital IP plans,

Private hospital IP plans available on FSMOne: Enhanced IncomeShield Preferred, Singlife Shield Plan 1, Raffles Shield Private

If you are currently on a private integrated shield plan, ask yourself what is your usual approach when seeking healthcare? Do you have specific doctor or hospital that you prefer to visit or do you go to the A&E or a polyclinic to get a referral for further treatment? If you prefer the former and would like shorter waiting times and private care, then keep your private hospital IP plan. This will ensure that your hospitalisation needs are sufficiently covered.

However, if you fall into the latter category, you may not actually need a private hospital IP plan. In this case, downgrading your IP plan should not be seen as a compromise as Class A IP plans may better suit your needs while also reducing your IP premiums payable.

[💡 Did you know that half of patients with IP and rider plans still end up using subsidised public healthcare when hospitalised? If you fall into this group, it is worth reconsidering if your IP and rider coverage is really necessary or if downgrading your coverage plan would be a better option.]

Key differences between Private hospital and Class A IP plans

List of differences and similarities are for illustration purposes only. Please refer to your policy wording for more information. Information retrieved on 12 November 2024.

(See: A Guide to assessing your Enhanced IncomeShield plan)

(See: Assess your Singlife Shield plan with this one guide)

2. If you are on Class A ward plans,

Class A ward plans available on FSMOne: Enhanced IncomeShield Advantage, Singlife Shield Plan 2, Raffles Shield A

If you are on Class A ward plans and are comfortable with the premiums, then there is no need to make any changes to your coverage. Keep your existing plans until you feel the need for a review.

Consider downgrading from a Class A IP only if you are not particular about the type of ward that you seek treatment at. This is because Class A wards are still a comfortable single-bedder air-conditioned ward with attached bathroom and television. By downgrading to other IP plans, individuals will no longer be staying in a private room, rooms may not be air-conditioned and will either come with a shared bathroom or a common bathroom. If you value comfort and privacy, maintaining your Class A IP plan is the best option because a downgrade in IP plan may result in a compromise in your comfort.

What the different hospital ward classes mean:

Class A ward – Single bed, air-conditioned room with attached bathroom and television.

Class B1 ward – 4 to 5 bedder air-conditioned room with shared attached bathroom and television.

Class B2 ward – 6 bedder room with shared bathroom (bathroom may not be attached to room). Ward may be air-conditioned or fan ventilated.

3. If you are considering a standard IP plan or MediShield Life (MSHL),

MediShield Life is designed to cover 9 in 10 subsidised bills at public healthcare institutions. If you are content to seek treatment at B2 or C wards in public hospitals, MediShield Life will provide adequate coverage. However, if you are looking to stay at a more comfortable ward class, having a standard IP and/or MSHL alone is not for you.

While downgrading to a public healthcare IP does not mean a lower quality of care, there are still notable differences in coverage (and possibly comfort levels) between a Private, Class A, and non-standard B1 IP plan as compared to a standard IP plan with B1 ward coverage or MediShield Life.

If you are looking to downgrade to a standard IP plan or MSHL, take note of these key differences:

In this instance, downgrading to a standard IP plan or MediShield Life may be a compromise as you would receive less coverage, with the absence of benefits such as as-charged coverage and pre or post hospitalisation coverage.

(See: MediShield Life coverage is increasing. Do you still need a Shield plan?)

Have a question? Speak to us about your shield plans here:

Read also,

Is private hospital insurance really necessary?

Can my Integrated Shield Plan and travel insurance cover the same medical expenses while traveling?

1 in 5 Singaporeans lack life insurance coverage. Are you the 1 in 5?

What is hospital cash benefit, and why will I need this?

^{Information obtained from:}

^{https://www.moh.gov.sg/newsroom/medishield-life-adequacy-and-ip-consumer-education}

^{https://www.moh.gov.sg/managing-expenses/schemes-and-subsidies/integrated-shield-plans/comparision-of-integrated-shield-plans#2018113316819f1c59cf09bdfe00c805}

^{Information retrieved on 12 November 2024.}

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