Basis of Means-testing Assessment for Medical Subsidies Provided to Elderly Persons Living with Their Families
Ministry of HealthSpeakers
Summary
This question concerns Mr Zhulkarnain Abdul Rahim’s inquiry on whether medical subsidy means-testing for elderly persons could be based on individual assets instead of household income. Minister Ong Ye Kung explained that the per capita household income (PCHI) framework accounts for overall household resources to target subsidies at those most in need. He noted that while seniors may have higher PCHI due to expected family support, the framework simultaneously lowers PCHI for supporting family members. Recognizing that PCHI may not capture all family circumstances, Minister Ong Ye Kung highlighted that patients can apply for discretionary financial assistance. Programs like MediFund consider a broader set of factors beyond PCHI to assist those who still face difficulties paying for healthcare after standard subsidies.
Transcript
19 Mr Zhulkarnain Abdul Rahim asked the Minister for Health whether the means-testing assessment for medical subsidies provided to elderly persons living with their families can be based on the elderly person's own individual assets, savings or income, instead of being based on household income and taking into consideration the period of time for which the elderly persons have lived with their families and the total household expenses of the families.
Mr Ong Ye Kung: Healthcare subsidies are means-tested using per capita household income (PCHI) to account for the overall financial resources of the household to support the household members. This helps to ensure subsidies are targeted at those who need them the most.
Elderly or retired persons living with their family may be means-tested into a higher PCHI tier. This is because the PCHI framework recognises that such seniors are likely to have access to financial support from family members in the same household. At the same time, these family members may also receive higher subsidies compared to those who have no elderly dependants, as the PCHI framework similarly recognises that they are supporting their elderly household members.
We recognise that PCHI may not adequately proxy the family circumstances of some patients. Those who face difficulties in paying for their healthcare expenses after subsidies, MediShield Life and MediSave may apply for discretionary financial assistance, such as MediFund, at public healthcare institutions, where a broader set of factors beyond PCHI, would be considered.