|
|
|
The ElderShield contract with the insurers
(The Great Eastern Life Assurance Company Limited and NTUC Income
Insurance Co-operative Limited) included a premium rebate provision. |
|
This provision allows the Ministry of Health
(MOH) to require the insurers to give rebates back to their
policyholders, if the actual claims experience turns out to be less than
projected. |
|
The rebates, if any, will be determined
closer to the end of the 5-year contract, i.e. end-September 2007, and
given out thereafter. |
|
The quantum will be determined by MOH in
consultation with our actuarial consultants. As the quantum will depend
on the actual claims experience, it can only be finalised closer to
September 2007. |
|
Our preliminary computations suggest that
the total ElderShield rebate amount is likely to exceed $60 million.
When confirmed, it will be distributed to the existing policyholders
numbering some 770,000. |
|
The rebates, when confirmed, will be given
out in proportion to each policyholder¨s contribution during the 5-year
period. |
|
This will therefore vary according to age
and years of participation in ElderShield. For example, policyholders
who joined the scheme in 2002 when they turned 40, will receive a larger
rebate than those who turned 40 and joined the scheme after 2002. |
|
Therefore, depending on their age and policy
duration, existing policyholders can expect to get rebates ranging from
$10 to about $260. For the majority of the policyholders, this is about
7% of premiums paid. |
|
For existing policyholders whose
ElderShield premiums are still payable, the premium rebate will
take the form of premium discounts to offset part of their next
premium payment. |
|
For existing policyholders with single
premium policies or have finished paying their premiums, their rebates
will be returned to their Medisave accounts, or in cash if their
premiums had been paid for in cash. |
|
The rebate will be distributed to existing
ElderShield policyholders from October 2007 onwards. The 2 insurers will
inform their respective policyholders accordingly. The first group of
existing policyholders who joined in September 2002 will receive their
notification letters by October 2007. |
|
Source:
www.moh.gov.sg 22 Jun 2007 |
|
 |
|
Important
Notice |
|
Our FrontPage
Editions are a historical record of our Web site and reflect
the changing of the times, and also of our Web site through
time. We do not and will not update the links and stories on
these FrontPages even if they have become obsolete. |
|
FrontPage Edition: Fri 22 June 2007
All rights reserved
