As highlighted by Senior Health Correspondent Salma Khalik, although ElderShield may make sense on a collective risk-pooling basis, it may not be suitable on an individual basis (Scheme should not be compulsory; Feb 8).

I opted out of ElderShield more than 10 years ago. After doing some calculations, I came to the conclusion that by leaving the premium sums in my Medisave account and letting them accumulate (with 4 per cent to 5 per cent accrued interest), and saving a modest amount of money on the side, I would have the equivalent of the payout from a potential ElderShield claim by age 65.

Though the payouts are now more attractive than at the time I was asked to join, they remain insufficient in addressing my concerns.

I presume the aim of the payouts is mainly to defray the ongoing costs of taking care of a person unable to perform at least three out of six activities of daily living.

Equipment to assist in care is usually a one-off expense and any illnesses requiring hospitalisation will be taken care of by MediShield.

As pointed out by Ms Khalik, $400 is insufficient to employ a helper, and people with lower incomes may not even be able to afford one as they would have to fork out the difference in pay.

It is also too low to replace the income of a family member who may have to quit working to take care of the incapacitated person.

Would the payouts be used to offset the cost of care in nursing homes and thus be factored in as part of means testing for government subsidies?

As everyone knows, fees at nursing homes are in the thousands.

My grandfather is an example of someone who might not have benefited from an ElderShield payout.

More than 10 years ago, the family decided he had to be put in a nursing home after a fall. He had lived alone and a helper was not a feasible alternative. The cost of the nursing home probably far exceeded $400 a month.

Like Ms Khalik, I believe that people should have a choice as to whether they want to be under the scheme, especially if they have better alternatives or concerns that would not be addressed by the scheme.

To widen choices for people who want to self-insure, could the authorities consider allowing the withdrawal of the equivalent ElderShield payout from their own Medisave accounts in the event of their being incapacitated?

Maria Loh Mun Foong