Singapore has one of the world’s most efficient healthcare systems, but medical costs are rising fast. According to recent data, private hospital bills can vary significantly:

• Medical specialties: S$3,906 to S$24,687
• Surgical specialties: S$8,109 to S$18,993

While Singaporeans and PRs are covered under MediShield Life, it only provides basic protection—leaving many to wonder if private health insurance is a necessity or just a luxury.

So, do you really need private health insurance in Singapore? Let’s break it down.

Learn more: Health Insurance In Singapore >>

How Healthcare Works in Singapore

Singapore follows a dual healthcare system, where residents can choose between public hospitals (subsidized) and private hospitals (faster but more expensive).

• Public healthcare is affordable with government subsidies, but higher-class wards (A/B1) come with limited or no subsidies.
• Private healthcare offers shorter wait times, private rooms, and a wider choice of doctors—but at a significantly higher cost.

MediShield Life provides basic hospital coverage, but it may not be enough for serious medical conditions or those who prefer private healthcare.

What MediShield Life Covers (And What It Doesn’t)

MediShield Life is a compulsory, government-backed insurance scheme that helps cover major hospital bills, but it has limitations:

Coverage Includes:

• Covers B2 and C-class wards in public hospitals
• Helps pay for large hospital bills (annual claim limit: S$150,000)
• Covers selected outpatient treatments (e.g., dialysis, chemotherapy)

Limitations:

• Does not fully cover private hospitals or A/B1-class wards
• Limited pre- and post-hospitalization coverage
• Higher out-of-pocket expenses for non-subsidized care

If you want better coverage, shorter wait times, and access to private hospitals, MediShield Life alone won’t be enough.

Who Should Consider Private Health Insurance?

Private health insurance in Singapore is not mandatory, but it’s highly recommended for certain groups of people:

• Frequent Travelers – If you travel often for work or leisure, international health coverage ensures you’re protected worldwide.
• Expats & Foreigners – Unlike Singaporeans, expats don’t have MediShield Life and often need private health insurance for adequate medical coverage.
• Those Who Prefer Private Hospitals – If you value shorter wait times, specialist access, and private hospital comfort, an Integrated Shield Plan (IP) is worth considering.
• Families & Elderly Parents – As healthcare needs grow with age, having a higher claim limit and wider coverage helps with unexpected medical costs.

What Does Private Health Insurance Cover?

Private health insurance in Singapore offers a broader range of benefits compared to basic MediShield Life. Coverage varies depending on the plan and insurer, but most policies include the following:

• Hospitalization and Surgery: Covers inpatient stays, surgical procedures, and related medical expenses in private and restructured hospitals. Some plans also cover pre- and post-hospitalization treatment, which can significantly reduce out-of-pocket costs.
• Specialist and Outpatient Treatment: Many policies include coverage for specialist consultations, diagnostic tests, and outpatient treatments such as physiotherapy and chemotherapy.
• Choice of Hospital and Doctor: Unlike MediShield Life, which primarily covers stays in B2 and C class wards in public hospitals, private insurance allows policyholders to choose private hospitals and preferred doctors.
• Overseas Medical Treatment: Some plans provide international coverage, which is useful for those who travel frequently or prefer treatment in specific overseas medical facilities.
• Critical Illness and Long-Term Care: Certain policies offer coverage for critical illnesses like cancer, heart disease, and stroke. Some also include benefits for rehabilitation or long-term nursing care.

For a more detailed breakdown of Integrated Shield Plans and their benefits, you can refer to the Ministry of Health’s comparison of Integrated Shield Plans.