Insurance - Medishield

Before I start further writing, I must DECLARE I am not an agent. This posting is based on what I have, my own opinons. The last age of entry if I am not wrong is 75.

To understand how the medishield works, please refer to the CPF website
To understand the hospital bill size, please refer to MOH

I believed in having a good shield plan. The medisave account can only assist in paying for a portion of medical fees with cap for each category, and the rest are to be paid in cash.

I do not compare shield policy, because I know if i start going around to compare while waiting for agents to submit their quotations, high chance I will not sign any even after months. If I am not wrong, read: I may be wrong, medishield plan do not pay good comissions which resulting in sales agents not too keen to push this essential product.

I am having AVIVA myshield. For some of those I know, they keep hopping from companies to companies to get what they call the best value shield plans. They are lucky as they do not have any pre-exisiting conditions YET, which will not be covered if they hop to another company.

I first sign on myshield, because SO also has it. If both parents are covered under myshield, up to 4 dependents (children) can be covered under a lower plan for free till they are 20. So it resulting in some savings. For me and SO, we are both under Plan 1, Class A fro private hospital, that makes my 2 children covered FOC under Plan 2, Class A Government Restructured hospital. Thats sound great right? FYI, KK hospital is under government restructured hospital.

2 months ago, after thinking long and hard , had pulled SO to meet my appointed agent (the agent I sign with initially had left the company). We decided to add on to make it myshield PLUS, myshield is paid via CPF medisave, myshield PLUS is cold hard cash. Under Option A, which is the co-insurance part, if both parents took up the co-insurance, the kids are covered in the lower category for free. WOO... another free coverage. For additional benefits of Option A, please refer below.

As well as fees incurred under Option A. Do note this amount is paid by cash.

Before I continue, what is co-insurance?
For a basic myshield plan, it is a straight forward as charge plan, which exclude the co-insurance and deductibles.
Co-insurance is 10% of the amount that is NOT covered under the basic plan. This amount is to be paid in cash.

I add in Option B as well. Option B just covers the deductible benefits.
Additional fees by cash to add on Option B

So whats make an all inclusive shield plan so important?

Lets say a hospitalisation fees of $10000. ( for Class A, plan 1)

So 10% co-insurance $1000.

Deductibles amount of $3000.

Claimable amount: $6000.

Amount paid in cash: $4000.

How about a $100 000 fees?

10% co-insurance $10000

Deductibles $3000

Amount paid: $$13000.

If we are covered for Option A and B, we literally do not need to pay any cash as ALL are covered!!!

It all seem so rosy and sweet. Me and SO are fully covered, my kids are as well because we bought Option B for them both.