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More detail needed for the IPs...

Insurers pledge not to raise top-up portion of Integrated Shield premiums

SINGAPORE — The five insurers offering Integrated Shield plans yesterday pledged not to increase the top-up portion of premiums for plans that cover B1 and A Class wards in public hospitals for a year after MediShield Life kicks in at the end of next year.

This means any increase in premiums for such Integrated Shield plans during this one-year period will be due to MediShield Life.

Dr Khoo Kah Siang, president of the Life Insurance Association, Singapore, said this would allow for a smooth transition of renewals of Integrated Shield plans, after which insurers will reassess the plans based on actual experience and claims.
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http://www.todayonline.com/singapore/ins...d-premiums

Maybe I'm understanding this wrong... but shouldn't the "Top-up portion" reduce its premium now that the associated benefits are reduced as shown here:

(10-07-2014, 10:56 AM)lanoitar Wrote: [ -> ]Maybe I'm understanding this wrong... but shouldn't the "Top-up portion" reduce its premium now that the associated benefits are reduced as shown here:

The top-up portion of IP is reduced, but the MedishieldLife part is increased, so the overall should remain the same.

I am assuming no increase of premium for IPs, due to MedishieldLife. It is a rebalancing of premium between gov/CPF and private insurers, which is transparent to us.

IMHO, I believe the actuaries of the 5 insurance companies is having a headache pricing it. Maybe insufficient data, claim data will change will the new Medishield Life. One big part will be the changes in co-insurance. Also those who are previously excluded will now be covered and I don't think the insurers have sufficient data for these group of people. They will need to do a fair bit of assumption with existing data. So my guess is the 1 year period is for them to collate their data.

I'm of the opinion that premium will increase for IP due to the reduction in co-insurance and addition of those who are previously excluded.

Hopefully someone here with actuarial background can enlighten us.

(10-07-2014, 02:28 PM)axt Wrote: [ -> ]IMHO, I believe the actuaries of the 5 insurance companies is having a headache pricing it. Maybe insufficient data, claim data will change will the new Medishield Life. One big part will be the changes in co-insurance. Also those who are previously excluded will now be covered and I don't think the insurers have sufficient data for these group of people. They will need to do a fair bit of assumption with existing data. So my guess is the 1 year period is for them to collate their data.

I'm of the opinion that premium will increase for IP due to the reduction in co-insurance and addition of those who are previously excluded.

Hopefully someone here with actuarial background can enlighten us.

I am yet to find out more. MedishieldLife covers the group who are previously excluded, but does it mean IP also need to cover the group as well? I doubt so.

still want to raise premiums??!! should be REDUCE MAH!!

(10-07-2014, 03:55 PM)CityFarmer Wrote: [ -> ]

(10-07-2014, 02:28 PM)axt Wrote: [ -> ]IMHO, I believe the actuaries of the 5 insurance companies is having a headache pricing it. Maybe insufficient data, claim data will change will the new Medishield Life. One big part will be the changes in co-insurance. Also those who are previously excluded will now be covered and I don't think the insurers have sufficient data for these group of people. They will need to do a fair bit of assumption with existing data. So my guess is the 1 year period is for them to collate their data.

I'm of the opinion that premium will increase for IP due to the reduction in co-insurance and addition of those who are previously excluded.

Hopefully someone here with actuarial background can enlighten us.

I am yet to find out more. MedishieldLife covers the group who are previously excluded, but does it mean IP also need to cover the group as well? I doubt so.

Yeah, don't think IP will cover those previously excluded.

From what I recall, it is up to the IP insurers to add loading onto the IP premiums for those with pre-existing conditions.

From what I read from the MediShield Life report, the Pte Insurers can choose to load for those with pre-existing. It does not mention they cannot exclude, or even reject an application, so it can possibly still a choice to them, especially for those with are critically ill. If they can't reject or exclude, then the loading for those critically ill will be so ridiculously high that it will not be taken up at all.

Today Wrote:pledged not to increase the top-up portion of premiums for plans that cover B1 and A Class wards in public hospitals for a year

Being ever the cynic... brace yourselves for increase in premiums from 2nd year onwards!