Latest news with #MediSave
New Straits Times
13 hours ago
- Business
- New Straits Times
Safeguards critical in tapping EPF savings for private healthcare, says expert
KUALA LUMPUR: A bold plan to allow Malaysians to tap into their Employees Provident Fund (EPF) Account 2 to pay for health insurance may help ease access to private healthcare. However, an analyst cautions that without careful safeguards, it could leave retirees vulnerable later in life. The proposal, which aims to address rising healthcare costs and access concerns, is a potentially meaningful step, particularly for middle-income earners and the ageing population, who are often excluded from targeted public health aid. Universiti Putra Malaysia School of Business and Economics lecturer Associate Professor Dr Lee Chin said that while the initiative fills a gap in health protection, the long-term implications for retirement adequacy must not be overlooked. "From a social protection standpoint, enabling the use of EPF savings for health insurance could fill an important gap, especially for the ageing population and middle-income groups who fall outside public safety nets. However, contributors must be well-informed. "Account 2 was designed to support housing, education and emergencies — all of which are already pressing needs. Allowing health insurance payments from the same source adds another layer of pressure," she told the New Straits Times. Lee added that without proper caps or financial literacy support, contributors risk depleting their savings too quickly, leaving little for their retirement years. From a broader policy perspective, she said such flexibility should be paired with strong public education campaigns to help contributors make informed decisions, alongside safeguards to ensure withdrawals are responsibly managed. "At the same time, the move could have ripple effects on the health insurance sector. By enabling more people — particularly those previously uninsured — to afford private coverage, the insurance pool could grow, improving risk distribution and potentially lowering premium costs over time." However, she cautioned that a sudden spike in demand could also lead to higher premiums or moral hazard without sufficient regulatory oversight. "Insurers and regulators must be prepared to monitor cost escalation and prevent abuse," she said. As for fund sustainability, Lee said that while Account 1 remains ring-fenced for retirement, even partial erosion of Account 2 could undermine long-term financial resilience, particularly among lower to middle-income groups. She cited examples such as Singapore's MediSave and Chile's pension-linked health models, which allow similar withdrawals under strict regulatory frameworks, often supported by employer or government co-payments. "Malaysia can learn from these examples to design a scheme that is targeted, transparent and accountable." She added that the policy could serve as a much-needed bridge between financial and health protection, provided it is not treated as a short-term fix. "In short, this policy could bridge the gap between financial security and health protection —but only if it walks the line carefully. Health access should not come at the cost of growing old in hardship." On June 19, Health Minister Datuk Seri Dr Dzulkefly Ahmad said the government was considering allowing EPF members to use their Account 2 savings to pay for monthly health insurance premiums. He said that, if implemented, the initiative could enable 16 million EPF contributors to access private hospital treatment using their contributions. However, Dzulkefly later clarified that the proposed health insurance scheme — funded through EPF Account 2 — would be voluntary and not mandatory.
Independent Singapore
4 days ago
- Business
- Independent Singapore
MOF: 300,000 Pioneer Generation Seniors will receive MediSave top-ups in July 2025
SINGAPORE: The Ministry of Finance (MOF) announced on Monday (Jun 16) that around 300,000 Pioneer Generation (PG) seniors will receive MediSave top-ups next month. In total, these top-ups amount to more than S$160 million. About 300,000 Pioneers will receive top-ups of up to S$1,400. These yearly top-ups are being given in addition to the annual GST Voucher – MediSave top-ups for eligible Singaporeans aged 65 and above. The top-up is automatically credited to eligible Pioneers' Central Provident Fund (CPF) MediSave Accounts. MediSave is Singapore's medical savings scheme geared toward helping people put aside a portion of their income to pay for their healthcare needs during their senior years. It is also used for their or their approved dependents' hospitalisation, day surgery, and certain outpatient expenses. It can be used to pay the premiums for MediShield Life, CareShield Life, ElderShield, and other MediSave-approved insurance plans. More information on the PG Package is available here . Should Pioneers wish to clarify anything, they may call 1800-2222-888 for the PG Package or 1800-650-6060 for healthcare matters. They may do so by sending an email to [email protected]. See also NTUC FairPrice to boost safe distancing for vulnerable groups 'Following the MediShield Life 2024 Review, Pioneers will receive more annual MediSave top-ups of S$300 to S$1,200 in July 2025 as compared to S$250 to S$900 in 2024. In addition, older Pioneers born in 1939 and earlier who have serious pre-existing conditions will receive further top-ups of S$50 or S$200 to help pay their higher MediSave Life premiums,' MOF said. To break this down even further, for Singaporeans aged 91 or older (born 1934 or earlier), those with a serious pre-existing condition will receive an additional S$200, for a total of S$1,400. Those without a serious pre-existing condition will receive S$1,200. For those between the ages of 86 and 90 (born between 1935 and 1939), seniors with a serious pre-existing condition will receive an additional S$50, for a total of S$750, while those without a serious pre-existing condition will receive S$700. Seniors aged 81 to 85 (born between 1940 and 1944) will receive a top-up of S$500, while those aged 76 to 80 (born between 1945 and 1949) will receive a top-up of S$300. MOF also explained that those born earlier will receive a higher top-up amount, as they typically have smaller savings than younger members of the PG. Given this, they may require additional assistance with their annual MediShield Life premiums. 'Together with special premium subsidies for Pioneers, these annual MediSave top-ups will continue to keep MediShield Life premiums affordable for all Pioneers. Older Pioneers aged 91 and above in 2025 will continue to see their MediShield Life premiums fully covered. Younger Pioneers will have about two-thirds of their MediShield Life premiums covered,' the ministry added. By Wednesday (Jun 18), Pioneers who have registered their mobile numbers with Singpass before Jun 2 should receive an SMS concerning the top-up amount they are eligible for. The remaining Pioneers will receive the notification letters by the end of this month. MOF added that the SMS notification sent by ' will only inform Pioneers of their benefits as a safeguard against scams. No reply to the SMS is required, and neither will recipients be asked to provide any information. The ministry also reminded the public that government officials will never ask them to transfer money or reveal their bank login details over a phone call. 'Members of the public can call the 24/7 ScamShield Helpline at 1799 if they are unsure if something is a scam,' MOF said. /TISG Read also: In Parliament: Pritam Singh suggests extending use of MediSave for more TCM procedures and other effective alternative therapies
AsiaOne
5 days ago
- Business
- AsiaOne
Up to $1,200 in MediSave top-ups for Pioneer Generation Singaporeans in July, Singapore News
About 300,000 Pioneer Generation Singaporeans will receive MediSave top-ups amounting to over $160 million in July. In a statement released on Monday (June 16), the Ministry of Finance (MOF) announced that the annual Pioneer Generation MediSave top-ups are provided on top of the regular GST Voucher for eligible Singaporeans aged 65 and above. Eligible Pioneers will receive enhanced annual top-ups ranging from $300 to $1,200 in July, up from $250 to $900 in 2024. Older Pioneers born in 1939 or earlier with serious pre-existing conditions will also receive additional top-ups of $50 or $200 to help cover higher MediShield Life premiums. "Pioneers born earlier generally receive larger MediSave top-ups as they typically have less savings than younger members of the generation and may need more support with their annual health insurance premiums," the ministry said. The top-up will be automatically credited to the CPF MediSave Accounts of eligible Pioneers. MediSave funds can be used to pay premiums for MediShield Life, CareShield Life, ElderShield, and other MediSave-approved insurance plans. They can also be used for medical expenses, such as hospitalisation, day surgeries, and selected outpatient treatments. "Together with special premium subsidies for Pioneers, these annual MediSave top-ups will continue to keep MediShield Life premiums affordable for all Pioneers," MOF added. "Older Pioneers aged 91 and above in 2025 will continue to see their MediShield Life premiums fully covered while younger pioneers will have about two-thirds of their MediShield Life premiums covered." Pioneers who have registered their mobile numbers with Singpass before June 2, will receive an SMS by June 18, informing them of their top-up amount. The rest will receive notification letters by the end of June. To safeguard against scams, the SMS will only inform Pioneers of their benefits. Recipients will not be asked to reply or provide any personal information. The Government has reminded the public that officials will never request bank login details or money transfers over the phone. For more information, members of the public can visit or email contactus@ with their enquiries. [[nid:712679]]
CNA
5 days ago
- Business
- CNA
About 300,000 Pioneer Generation seniors to receive MediSave top-ups in July
SINGAPORE: Around 300,000 Pioneer Generation seniors will receive MediSave top-ups totalling over S$160 million (US$125 million) next month, said the Ministry of Finance on Monday (Jun 16). In a press release, MOF said the annual Pioneer Generation MediSave top-ups are given in addition to the annual GST Voucher-MediSave top-ups for eligible Singaporeans aged 65 and above. Following the Medishield Life 2024 Review, MOF said that eligible pioneers will receive higher annual MediSave top-ups of S$300 to S$1,200 in July this year, compared to the S$250 to S$900 received in 2024. Those aged 86 or older who have serious pre-existing conditions will also receive further top-ups of S$50 or S$200 to help pay their higher MediSave Life premiums. Pioneers who were born earlier receive larger MediSave top-up amounts as they typically have less savings than younger members of the Pioneer Generation, and may need more help with their annual MediShield Life premiums, the finance ministry added. MediSave can be used to pay the premiums for MediShield Life, CareShield Life, ElderShield and other MediSave-approved insurance plans, as well as medical expenses such as hospitalisation, day surgeries, and selected outpatient treatments. The MediSave top-up will be automatically credited to the eligible Pioneers' CPF MediSave Accounts. "Together with special premium subsidies for Pioneers, these annual MediSave top-ups will continue to keep MediShield Life premiums affordable for all Pioneers," said MOF. "Older Pioneers aged 91 and above in 2025 will continue to see their MediShield Life premiums fully covered. Younger Pioneers will have about two-thirds of their MediShield Life premiums covered." Pioneers who have registered their mobile numbers with Singpass before Jun 2 will receive an SMS by Jun 18, notifying them of the amount of top-up they are eligible for. Those who have not registered their mobile numbers with Singpass will receive the notification letters by the end of June. To protect seniors from scams, the SMS notification, which would be sent by " will only inform eligible seniors of their benefits. Seniors will not be asked to reply to the SMS or provide any information to the sender.
Straits Times
5 days ago
- Business
- Straits Times
300,000 S'poreans from Pioneer Generation to receive up to $1,200 in MediSave top-ups in July
The top-ups will be given on top of the annual GST vouchers for Singaporeans aged 65 and above. ST PHOTO: GIN TAY 300,000 S'poreans from Pioneer Generation to receive up to $1,200 in MediSave top-ups in July SINGAPORE - Around 300,000 Singaporeans from the Pioneer Generation will receive MediSave top-ups ranging from $300 to $1,200 in July. This will amount to over $160 million in total, said the Ministry of Finance (MOF) in a statement on June 16. This year's top-up amount is higher than the $250 to $900 they received in 2024, following a review of MediShield Life, added the ministry. These top-ups can be used to pay the premiums for MediShield Life, CareShield Life, ElderShield and other MediSave-approved insurance plans, as well as medical expenses such as hospitalisation, day surgeries, and selected outpatient treatments. The top-ups will be given on top of the annual GST vouchers for Singaporeans aged 65 and above. Singaporeans born between 1945 and 1949 will get $300, and those born between 1940 and 1944 will get $500. Those born between 1935 and 1939 will receive $700, and those born in 1934 or earlier will get $1200. Furthermore, older Pioneers born in 1939 and earlier who have serious pre-existing conditions will receive further top-ups of $50 or $200 to help pay their higher MediSave Life premiums. Pioneers who were born earlier can expect larger MediSave top-up amounts as they typically have less savings than younger members of the Pioneer Generation, MOF said, adding that they may need more help with their annual MediShield Life premiums. The top-up will automatically be credited to eligible Pioneers' CPF MediSave Accounts. The Pioneer Generation Package was introduced in 2014 to honour and thank this group of Singaporeans for their contributions during the country's early years. MOF assured that older pioneers aged 91 and above will also continue to see their MediShield Life premiums fully covered, while younger pioneers will have about two-thirds covered. Eligible seniors who have downloaded and set up their Singpass – a digital identity app for Singaporeans – will receive notifications on their top-up amount by . Those without the app but who have registered their mobile numbers with Singpass before June 2 will receive an SMS by June 18 to inform them of the amount they are eligible for. The rest of the seniors will receive letters by the end of June. SOURCE: MOF To guard against scams, the SMS will inform seniors only of their benefits and will not ask for a reply or any information. No messages on the Pioneer Generation benefits will be sent via WhatsApp or other such messaging platforms, said the ministry. More details on the Pioneer Generation Package can be found at this website. Those with inquiries can also call 1800-222-2888 or 1800-650-6060. They can also e-mail contactus@ Join ST's WhatsApp Channel and get the latest news and must-reads.
