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askST: What is CareShield Life and who is covered?
Launched in 2020, CareShield Life is a national disability insurance scheme that provides monthly payouts to alleviate the costs of severe disability. Here’s what you should know
You can support your parents’ CareShield Life premiums using your MediSave or top up their MediSave using cash.
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Q: Who is covered under CareShield Life? Can I sign up for CareShield Life on behalf of my parents?
A: Singaporeans and permanent residents (PRs) born in 1980 or later are automatically covered under CareShield Life from Oct 1, 2020 or when they turn 30, whichever is later.
Those born between 1970 and 1979, on ElderShield 400, and do not have severe disability have been automatically enrolled into CareShield Life from Dec 1, 2021.
Those who were not automatically enrolled in CareShield Life can sign up for it. If they sign up by Dec 31, 2023, they can receive up to $4,000 from the Government to offset premiums over 10 years.
You can encourage your parents to sign up for CareShield Life, and guide them through the process. You can also support their premiums using your MediSave or top up their MediSave using cash.
Q: How much are the premiums for CareShield Life? Will the amount increase over the years?
A: CareShield Life premiums are determined based on multiple factors, such as age, gender, whether they have an existing ElderShield policy, and the year of joining CareShield Life. Annual premiums will also increase with age and through regular adjustments by the Government.
You can work out how much your premiums are using the CareShield Life Premium Checker e-service at www.careshieldlife.gov.sg.
From now till 2025, premiums (excluding goods and services tax) will increase at 2 per cent each year for those aged below 67. Premium increases after 2025 will be recommended by an independent CareShield Life Council, in accordance with a framework.
Q: How long will I have to pay for premiums?
A: The premium payment term depends on the age of joining CareShield Life.
You have to pay premiums yearly till age 67 or for 10 years, whichever is later. However, premiums are waived during the period you are claiming from the scheme.
Q: What is considered a severe disability and how much in monthly payouts does CareShield Life provide?
A: To be eligible for payouts, you must first undergo an assessment by disability assessors accredited by the Ministry of Health.
You are eligible for payouts if you are assessed to be unable to perform at least three out of six activities of daily living – feeding, washing, toileting, moving or walking around, dressing, and transferring from a bed to chair.
The payouts start from $612 per month in 2021, and increases annually until age 67 or when a successful claim is made, whichever is earlier.
To illustrate, here is a breakdown of payouts by year:
To increase the coverage and monthly payouts beyond CareShield Life, you can purchase supplementary plans from private insurers.
Q: What kind of Government support is available to help cover the cost of the premiums?
A: Annual premiums can be fully paid for by your MediSave or the MediSave of your family members.
The Government also provides the following support:
- Means-tested premium subsidies of up to 30 per cent of base premiums of CareShield Life for lower- to middle-income households.
- Participation incentives of up to $2,500 for Singaporeans born in 1979 or earlier, if they join CareShield Life by Dec 31, 2023. These will be used to offset CareShield Life premiums over 10 years.
- Additional participation incentives of $1,500 for Merdeka and Pioneer Generation citizens if they join CareShield Life by Dec 31, 2023. These will also be used to offset CareShield Life premiums over 10 years.
- Additional Premium Support for Singaporeans who are unable to pay their CareShield Life premiums even with family support and premium subsidies.
This was produced in partnership with the Ministry of Health.
