Intending To Settle Your Hospital Bill In Singapore With Integrated Shield Plans? One Critical Factor You Must Know

The cost of medical treatment in Singapore can be substantial. This is particularly so in private healthcare or in non-subsidised public healthcare. Medical insurance such as the various Integrated Shield Plans can go a long way to making your hospital bill in Singapore more affordable. However, there is a critical factor to note if you want to avoid a shock – you will still incur out-of-pocket expenses even with insurance coverage.

Learn More: Medical Costs And Insurance In Singapore >>

Integrated Plans Have A Deductible Amount

Integrated Shield Plans are designed to help people cope with large medical bills. Towards this end, an annual “deductible” component is added to the plans to screen out small claims. You will need to pay this deductible amount before you can start receiving payouts from your insurance policy. For instance, if your Integrated Shield Plan has an annual deductible of S$3,500, you must pay the first S$3,500 for your treatment before your insurer will start paying for your remaining qualifying medical claims.

According to MOH, claims being less than or equal to the deductible is the most common reason why Integrated Shield plan claims are rejected, accounting for about 69% of all rejections.

Integrated Plans Have Co-Insurance Component

Integrated Shield Plans also have a co-insurance component, which is the proportion of the hospital bill (after any deductibles) you would have to “co-pay” with the insurance company. Typically, this may be 5% of the hospital bill. If you are seeking medical treatment from a private healthcare doctor, the co-insurance will be capped (S$3,000 typically) if the doctor and the hospital are on your insurance company’s panel. If either of these criteria is not met, the amount of co-insurance payable may become uncapped, or subject to a substantially higher cap.

Learn More: Implications Of Seeing A Panel vs Non-Panel Doctor >>

Settling Your Hospital Bill In Singapore With Integrated Shield Plans

If you need costly medical treatment and intend to settle your hospital bill in Singapore using your Integrated Shield Plan, you will hence need to factor the deductible and co-insurance components. For instance, your treatment is expected to cost S$100,000 and you intend to go off panel. You will first pay out-of-pocket S$3,500 for deductible. Then, for the remaining S$96,500, the co-insurance amount may be up to S$4,825. This brings the total out-of-pocket expenses to S$8,325. This also assumes that your claim limit is sufficient to cover the full claimable amount. Otherwise, a greater amount will have to be out-of-pocket.

Conclusion – Insurance Still A Key Strategy For Coping With Medical Costs

Medical insurance to cover large treatment and hospital bills in Singapore remains a critical strategy for coping with the cost of medical treatment. This is despite that some out-of-pocket payment is still necessary. You will just need to bear them in mind when considering your choice of doctors and hospitals. You can also explore with your financial consultant or advisor if there are riders you can buy (be prepared to pay extra premiums for them) to reduce your deductible and co-insurance quantum.

Consider Our Preferred Financial Consultants

Health365 partners with financial consultants to profile them to our readers. If you are looking for one to help with your financial planning, you may check them out at our Preferred Financial Consultants page.

Disclaimer: This article is provided “as is” and is for your general information. It does not constitute financial advice. Always consult your insurer / financial consultant and healthcare provider before committing to any medical service.

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