Interest may be imposed on outstanding premiums where appropriate, e.g. defaulters with premium arrears outstanding for prolonged periods. The interest may be compounded and recovered together with the outstanding premiums.

This fairly reflects the opportunity cost to the MediShield Life Fund, which would otherwise be invested in order to support future payments (e.g. MediShield Life claims) from the MediShield Life Fund. This loss translates to higher premiums for the rest of the insured if they are not recovered in a timely manner.