A patient undergoes surgery in a public hospital that requires two days in the intensive care unit, followed by another five days recovering in a subsidised B2 class ward.

       He braces himself for a five-figure bill. Instead, he finds that his out-of-pocket charges amount to $0.

       This is possible through government subsidies, payouts from MediShield Life – the national insurance scheme that provides basic protection against large medical bills – and MediSave withdrawals.

       MediSave is the national savings scheme that helps Singaporeans set aside part of their income during their working years to cover their healthcare needs.

       This scenario is set to become the norm for nine in 10 bills from patients seeking subsidised treatment at public hospitals after recently announced enhancements to MediShield Life take effect. This is up from under eight in 10 patients currently.

       On Oct 15, the Ministry of Health (MOH) said the Government has accepted the MediShield Life Council’s recommendations for the review of MediShield Life.

       The recommendations aim to better protect Singaporeans against large medical bills. They will also enable Singaporeans to afford new, potentially life-saving treatments, such as cell, tissue, and gene therapy products (CTGTPs) which use cells to treat or reverse various health conditions.

       The changes will be implemented in phases from April 2025.

       The scheme helps to pay for large hospital bills and some costly outpatient treatments such as dialysis and radiotherapy for cancer. While MediShield Life coverage is sized for subsidised treatment, all ward classes are covered.

       How it will be enhanced:

       Why was a review of MediShield Life necessary? So that it can fully cover the medical bills of more patients, said Health Minister Ong Ye Kung in March.

       MediShield Life replaced MediShield on Nov 1, 2015, and was reviewed once in 2020. It is designed to “adequately cover” nine out of 10 subsidised bills, Mr Ong said at the MOH’s Committee of Supply debate this year.

       “What remains are relatively small and expected co-payments, which can be paid from MediSave.”

       But with hospital bills growing by 5 per cent annually in public hospitals, the benchmark was eroded, Mr Ong noted. The proportion of subsidised bills adequately covered by MediShield Life has reduced to around eight out of 10, and “is expected to slip further”.

       This led to the MediShield Life Council’s recommendations for higher claims and expanded coverage for Singaporeans.

       To support these changes, MediShield Life premiums, which are paid annually, will have to increase “by quite a significant number”, Mr Ong explained at a doorstep interview on Oct 15 when the review was announced. The increase will be introduced in phases over three years, from April 2025 to March 2028.

       MediShield Life premiums are age-based, accounting for the health risks and healthcare consumption expected for each age group.

       The increase in MediShield Life premiums will be capped at 35 per cent, with an average increase of 22 per cent. Older Singaporeans will see larger increases in their premiums compared to other age groups, MOH says.

       This was produced in partnership with the Ministry of Health.