Private shield plan can cost up to $3,500 per year

Customers compare the coverage offered by private shield plans. They think that the higher coverage, the better the plan.

Here are a few important facts:

- in most cases, the higher coverage is not needed, especially if the patient is treated in the appropriate ward in a restructured hospital.

- a plan that offers a higher coverage can cost up to 60% more in premium.

For example, under plan A, a plan that pays "as charged" will cost $3,500 per year at age 80. NTUC Income offers a similar plan that charges a premium of about $2,100 at age 80, ie $1,400 lower. Our plan pays the same amount for most of the typical hospital stays.

Private Pension Plan - opt out scheme

Prime Minister Lee has announced that the CPF is studying an opt-out pension plan for CPF contributors. The aim is to encourage CPF members to invest in a pension plan that can provide:

- a better return than CPF interest rate
- well diversified
- low charges.

The Combined Fund from NTUC Income fit into this description. By investing in the Combined Fund, the CPF member can get the benefits of the proposed opt-out plan and enjoy the freedom of choice.

Claim 100% of ward fees

Snow White asked this question: "What is your advice regarding the enhanced medical plan, where policyholders can claim 100% of the ward fees (less co-insurance) even if they opt to stay in better wards like B1 or A-wards? The premium are almost 3 times of the original Medishield plan. Should I stay with a hospital and surgical plan."

My reply:

- the limits provided under Incomeshield plan (from NTUC Income) is suffient to cover the charges in B1 and A ward in restructured hospital.

- our premiums are about 50% to 100% higher than Medishield, but are lower than the medical plans provided by other insurers.

- 800,000 people are insured with Incomeshield (giving the largest market share)

- it is better to buy an Incomeshield plan earlier, as it provides lifetime coverage. The H&S plan is a yearly renewable plan. You may not get the coverage when you leave your present employer.

Test your Logic: www.income.coop/logic9

Test your logic.

Try the Logic9 game at www.income.coop/logic9. This game is similar to the game called SuDoku, which is the craze in many countries.

You are to fill the blank squares with the digit 1 to 9, so that it is not repeated in any row, any column or any box (3 x 3).

For the easy version, you have to fill 3 out of 9 boxes. For the more difficult verion, you have to fill 4, 5 or 6 out of 9 boxes.

Have fun.