No Claim Discount on MediShield Life for Elderly without Claims in Three Years

47 Mr Melvin Yong Yik Chye asked the Minister for Health whether the Ministry can consider granting a "No Claim Discount" on MediShield Life premiums for senior citizens who do not make any claims for a consecutive period of three years.

Mr Gan Kim Yong: The idea of a "No Claim Discount" on MediShield Life premiums was considered by the MediShield Life Review Committee when they conducted their review in 2014. After careful deliberation, the Committee decided against the idea.

The Committee felt that having a "No Claim Discount" may lead Singaporeans to delay seeking essential treatment even though they are ill. This may result in worse outcomes, such as medical complications, prolonged illness and even larger hospital bills, down the road.

Furthermore, a person could take good care of his health and still require medical treatment. For example, he may encounter an accident. Introducing a "No Claim Discount" may unduly "penalise" such individuals who are hospitalised for reasons beyond their control.