Why do CareShield Life payouts stop increasing once insureds stop paying premiums e.g. when they make a claim or turn 67?
Payout increases will need to be supported by premium adjustments, to keep the scheme sustainable. Those who wish to have payouts that increase for life may opt to purchase Supplements. Insurers may also wish to take note of CareShield Life features when designing Supplements.
CareShield Life payouts should also not be seen in isolation, but complement existing Government subsidies, Government assistance schemes, community support, personal savings and family support, to better enable Singaporeans to afford their basic long-term care costs. From the scheme launch date on 1 October 2020, they can also make monthly cash withdrawals of up to $200 from their MediSave savings.
For Singaporeans who are unable to pay for their care even after Government subsidies, CareShield Life payouts and personal savings, there are Government-funded safety nets such as MediFund or ComCare which can provide further assistance.
Related questions
How do the CareShield Life premiums and payouts compare against Supplements and other private long-term care insurance plans?
How was the starting payout of $600 per month decided? Is it enough to cover long-term care costs?
Why do premiums increase over time?
If I have finished claiming my ESH 300/400 payouts, can I still join CareShield Life? If not, what are the schemes that can help me?
