And the new initiative of the Government of Singapore is aimed at a smooth transition of holders of ElderShield insurance policies to the new scheme.
ElderShield is a severe disability insurance that covers the cost of care and accommodation in nursing homes. Today, this program is one of the additional insurance programs and covers almost 1.3 million policy holders.
According to the Singapore Ministry of Health statement, major insurers such as Aviva, Great Eastern and NTUC Income will be attracted to adapt the ElderShield insurance program, they will transfer about $2.9 billion to the government as obligations related to ElderShield.
“If the actual insurance claims are better than expected, premium discounts will remain for ElderShield policy holders,” the ministry commented.