IP insurers risk a race to the bottom as they compete to win market share, says Ong Ye Kung

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The Health Minister named insurance as a key driver of rising costs.

About half of patients with IP and rider protection still end up using subsidised public healthcare when hospitalised or getting day surgery, said Health Minister Ong Ye Kung.

This will be done through the Claims Management Office, set up in 2022 to ensure that claims are appropriately made, said the minister in a hard-hitting speech at the Securities Investors Association ’s – Sias – 25th anniversary members’ night. Mr Ong said competition among insurance companies has aggravated the buffet syndrome and is pushing up healthcare costs.

In Singapore’s health insurance system, 90 per cent of subsidised hospital bills are covered by the compulsory national health insurance plan, MediShield Life. “Strictly speaking, and from an episodic point of view, these patients only needed MediShield Life and they could have saved a lot of premiums,” he said.

 

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