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Posts Tagged ‘Medishield’

Bill: Private hospital treatment, public hospital fees

In Public Administration on 31/01/2019 at 12:53 pm

My mum was discharged from atas hospital last Saturday. Nine nights 5-star stay and treatment cost slightly less than $2,500 (excluding Medisave deduction). After Medisave deduction (“our money”), amount I paid via credit card was “peanuts”. (I don’t carry more than $50 cash).

And that’s not all. If there’s a MediShield payout, I will get a refund via my credit card.

All in all, the amount we paid amounted to about 17% of the itemised, detailed bill. And that’s before any MediShield payout.

It was a great deal for her.

What the cybernuts and alt media are missing (Because they all living overseas or have private healthcare plans?) is that for many S’poreans, the public healthcare system (treatment and cost) is good and affordable. There are big, problematic gaps if specialised treatment is needed or if the family is struggling financially. But for the majority of patients, these problems do not arise.

It’s right to highlight and complain about these failings, but that’s different from saying that entire system is not fit for purpose. The condemning by alt media and cybernuts of the entire system based on individual failings only helps the PAP when ordinary people use the system and find out that it works pretty well. They’ll realise that alt media and the cybernuts are propogating fake news. And they’ll vote for the PAP.

Related posts:

Private hospital treatment, public hospital fees

No surplus B2 and C beds in govt hospitals

Will Gleneagles sandwich cost me a fortune?

Why I not KPKBing about MediShield Life

In Public Administration on 18/07/2018 at 5:34 am

… while he feels that MediShield Life is inadequate in terms of making healthcare affordable to the masses, he acknowledges that it is “a huge advance in that it took in people with pre-existing conditions”.

https://www.channelnewsasia.com/news/singapore/paul-tambyah-chairman-singapore-democratic-party-on-the-record-10527550

It’s really a big step from Hard Truths that it took in people with pre-existing conditions. The PAP is slowly but surely adapting itself to the realities of a modern, developed society.

Declaration of interest: I paid “peanuts” for my second cataract operation (first one was $1000 ++) because it was heavily covered under Medishield because it was the second eye operation within a yr.

Related post: Will Gleneagles sandwich cost me a fortune?

Medishield: Expert on whether to buy integrated plans

In Financial competency, Financial planning, Uncategorized on 19/10/2016 at 4:58 am

 

Younger S’poreans who can’t afford to misspend money on useless, unnecessary stuff should heed the wise words of Tan Kin Lian the ex-CEO of NTUC Income who was sadly persuaded by the likes of Goh Meng Seng to stand for president.

The message basically is “Don’t buy Integrated Plans. Juz rely on Medishield for all its flaws”:

When you buy an integrated plan, or go to a non-subsidized ward*, you are helping the government to reduce its subsidy. You get a ward with 4 patients** instead of 6 patients*** and have the chance to choose your doctor. In most cases, these differences do not really matter to the quality of the care. But you are paying a much bigger bill (due to lower government subsidy) and you have to pay a much higher premium (maybe 2 or 3 times) to cover this difference. Is this really necessary?

http://tankinlian.blogspot.sg/2016/10/bad-design-for-medishield-life.html

(Emphasis mine.)

Someone who realised the folly of an integrated plan and wanted to revert was told

It is easy for you to convert back to Medishield Life. Call the insurance company and ask them if they will give you a pro-rata refund for the premium that you have paid for the integrated plan. If they can, you can convert immediately. If no, you can convert to Medishield Life at the next renewal date.

http://tankinlian.blogspot.sg/2016/10/move-back-to-medishield-life.html

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Healthcare for cheapskates

Older S’poreans who are well-off but cheapskates (otherwise known as “value for money” folks of which I’m one) use SingHealth, go to B2 wards and only have Medishield. The really hard-core try for C class but get found out and are whipped publicly.

Now their secrets on B2 and Medishield is public knowledge.

For those who voted against the PAP using SingHealth, B2 and only Medishield has another advantage. U can give the PAP the finger and have your cake and eat it. Eat yr heart out Queen Jos: us peasants (plebs) can be like millionaire ministers too. Have cake and eat it. And give the PAP the finger.


More on TKL

He lost his deposit in the PE, and thus indirectly helped the PAP’s prefered candidate to win. Bad advice and personal quirks made him look like a clown. He’s eccentric but no clown. I should know. I helped him help the mini-bonders (though sadly we didn’t help them that much) so I should know. But I fell out with him when he listened to “bad” advice. But to be fair, I’m not an easy person to work with.

Since the PE, he’s focused on his core competency of dishing out financial advice, Example

Financial Services Consumer Association

I have updated a few articles on financial planning and insurance in the FISCA website. They answered questions that were sent to me by ordinary people. You may find these articles to be useful and relevant.

Click here to view these articles. 

I have also produced about 10 videos covering different topics on financial planning and insurance. Each video is about 5 to 10 minutes. One video is longer.

Click here to view these videos.

I invite you to view to vote on the issues listed here. You will win a book prize – Financial Planning for Young People.

If you are tired of receiving my messages, you can click on the link below to unsubscribe from all future mailings. 

Click here to unsubscribe from all future mailings.

Tan Kin Lian
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*The real challenge is in dealing with treatment in a non-subsidized ward, i.e. B1 and A ward. The term “non-subsidized” is not a proper description. There is a small subsidy in B1 wards. TKL

**B1 has four patients to a room and has aircon.

***B2 has six patients to a room and has no aircon. C (“Cattle”?) class has nine to a room.

CPF: PAP govt recycles hot air, smoke again/ All part of the wayang to distract us?

In CPF, Political governance on 30/07/2014 at 4:35 am

Deputy Prime Minister Tharman Shanmugaratnam said earlier this week that the government would explore the option of private pension plans for the CPF for those who are able to take higher risk. But he also warned that private pensions “will not be a walk in the park”, as higher risk did not always translate into higher returns. (BT 24 July)

Here we go again. Time for civil servants and fund manager marketers to reopen their files from the early noughties.

As BT reported, Industry anticipation of the prospect of private pension plans for the CPF was intense in 2004. Such plans were mooted as a means to enhance returns and lower costs for CPF members.

Private pension plans were envisioned as balanced or mixed-asset portfolios which would be farmed out to the private sector to be managed on an institutional basis. The ideal scenario was that there would be no sales charge, and annual fees would be reduced to a fraction of the prevailing fees … In 2004, estimates of the fund size needed for an expense ratio of 50-75 basis points ranged from S$200-300 million to as much as S$1 billion*.

In 2007, the government said the CPF’s “risk-free” structure would be retained because the majority of members did not have large balances and because private pension funds would be “too risky for older members”.

That was the decision then.

Now in 2014, Tharman is raising the issue again? Now the rich can have private pensions, he says? Hello, why didn’t that happen in 2007? It was dismissed out of hand apparently on the ground that the rules had to be the same for everyone in the scheme.

Is the govt trying to distract us from the real issues of the day that can cause it problems as it spends our money on ourselves in trying to buy our votes: Minimum Sum calculations, how CPF Life funds are invested and is it that safe, and Medisave, Medishield flaws that show up the govt’s incompetency or meanness. One of these days, I’ll blog on what actuaries say about Medishield’s proposed buffer reserves: they agree with WP’s GG rather Gan and Puthu. Remember the higher the reserves, the larger the premiums paid.

Roy Ngerng’s “revelations”** and PM’s law suit distract S’poreans from these impt issues. Sadly, new media ais ana abets unwittingly the govt’s wayang. And now there is more smoke from Tharman.

Whatever leh, govt’s attitude on private pensions, and “tweaking” the CPF system reminds me of Charles Dicken’s description of the Circumlocution Office in Little Dorrit.

It describes the govt procrastinating over everything. It also can be seen as a reproach to the government that whatever it does the results are just empty words. And our govt dares call cyberspace “noise” given its track record on private pension plans?

The Circumlocution Office was (as everybody knows without being told) the most important Department under Government. No public business of any kind could possibly be done at any time without the acquiescence of the Circumlocution Office. Its finger was in the largest public pie, and in the smallest public tart. It was equally impossible to do the plainest right and to undo the plainest wrong without the express authority of the Circumlocution Office. If another Gunpowder Plot had been discovered half an hour before the lighting of the match, nobody would have been justified in saving the parliament until there had been half a score of boards, half a bushel of minutes, several sacks of official memoranda, and a family-vault full of ungrammatical correspondence, on the part of the Circumlocution Office.

This glorious establishment had been early in the field, when the one sublime principle involving the difficult art of governing a country, was first distinctly revealed to statesmen. It had been foremost to study that bright revelation and to carry its shining influence through the whole of the official proceedings. Whatever was required to be done, the Circumlocution Office was beforehand with all the public departments in the art of perceiving — HOW NOT TO DO IT.

Through this delicate perception, through the tact with which it invariably seized it, and through the genius with which it always acted on it, the Circumlocution Office had risen to overtop all the public departments; and the public condition had risen to be — what it was.

It is true that How not to do it was the great study and object of all public departments and professional politicians all round the Circumlocution Office. It is true that every new premier and every new government, coming in because they had upheld a certain thing as necessary to be done, were no sooner come in than they applied their utmost faculties to discovering How not to do it. It is true that from the moment when a general election was over, every returned man who had been raving on hustings because it hadn’t been done, and who had been asking the friends of the honourable gentleman in the opposite interest on pain of impeachment to tell him why it hadn’t been done, and who had been asserting that it must be done, and who had been pledging himself that it should be done, began to devise, How it was not to be done. It is true that the debates of both Houses of Parliament the whole session through, uniformly tended to the protracted deliberation, How not to do it. It is true that the royal speech at the opening of such session virtually said, My lords and gentlemen, you have a considerable stroke of work to do, and you will please to retire to your respective chambers, and discuss, How not to do it. It is true that the royal speech, at the close of such session, virtually said, My lords and gentlemen, you have through several laborious months been considering with great loyalty and patriotism, How not to do it, and you have found out; and with the blessing of Providence upon the harvest (natural, not political), I now dismiss you. All this is true, but the Circumlocution Office went beyond it.

Because the Circumlocution Office went on mechanically, every day, keeping this wonderful, all-sufficient wheel of statesmanship, How not to do it, in motion. Because the Circumlocution Office was down upon any ill-advised public servant who was going to do it, or who appeared to be by any surprising accident in remote danger of doing it, with a minute, and a memorandum, and a letter of instructions that extinguished him. It was this spirit of national efficiency in the Circumlocution Office that had gradually led to its having something to do with everything. Mechanicians, natural philosophers, soldiers, sailors, petitioners, memorialists, people with grievances, people who wanted to prevent grievances, people who wanted to redress grievances, jobbing people, jobbed people, people who couldn’t get rewarded for merit, and people who couldn’t get punished for demerit, were all indiscriminately tucked up under the foolscap paper of the Circumlocution Office.

Numbers of people were lost in the Circumlocution Office. Unfortunates with wrongs, or with projects for the general welfare (and they had better have had wrongs at first, than have taken that bitter English recipe for certainly getting them), who in slow lapse of time and agony had passed safely through other public departments; who, according to rule, had been bullied in this, over-reached by that, and evaded by the other; got referred at last to the Circumlocution Office, and never reappeared in the light of day. Boards sat upon them, secretaries minuted upon them, commissioners gabbled about them, clerks registered, entered, checked, and ticked them off, and they melted away. In short, all the business of the country went through the Circumlocution Office, except the business that never came out of it; and its name was Legion.

Sometimes, angry spirits attacked the Circumlocution Office. Sometimes, parliamentary questions were asked about it, and even parliamentary motions made or threatened about it by demagogues so low and ignorant as to hold that the real recipe of government was, How to do it. Then would the noble lord, or right honourable gentleman, in whose department it was to defend the Circumlocution Office, put an orange in his pocket, and make a regular field-day of the occasion. Then would he come down to that house with a slap upon the table, and meet the honourable gentleman foot to foot. Then would he be there to tell that honourable gentleman that the Circumlocution Office not only was blameless in this matter, but was commendable in this matter, was extollable to the skies in this matter. Then would he be there to tell that honourable gentleman that, although the Circumlocution Office was invariably right and wholly right, it never was so right as in this matter. Then would he be there to tell that honourable gentleman that it would have been more to his honour, more to his credit, more to his good taste, more to his good sense, more to half the dictionary of commonplaces, if he had left the Circumlocution Office alone, and never approached this matter. Then would he keep one eye upon a coach or crammer from the Circumlocution Office sitting below the bar, and smash the honourable gentleman with the Circumlocution Office account of this matter. And although one of two things always happened; namely, either that the Circumlocution Office had nothing to say and said it, or that it had something to say of which the noble lord, or right honourable gentleman, blundered one half and forgot the other; the Circumlocution Office was always voted immaculate by an accommodating majority.

Such a nursery of statesmen had the Department become in virtue of a long career of this nature, that several solemn lords had attained the reputation of being quite unearthly prodigies of business, solely from having practised, How not to do it, as the head of the Circumlocution Office. As to the minor priests and acolytes of that temple, the result of all this was that they stood divided into two classes, and, down to the junior messenger, either believed in the Circumlocution Office as a heaven-born institution that had an absolute right to do whatever it liked; or took refuge in total infidelity, and considered it a flagrant nuisance.

——-

*Background facts about CPF

Data compiled by Morningstar shows that there are funds which handily beat the CPF rates. Aberdeen’s Pacific Equity Fund, for example, generated annualised returns of 4.6 per cent over three years; 13.8 per cent over five years; and 13.5 per cent over 10 years. The maximum loss and volatility over the periods were in double digits, however.

As at March 2014, there was S$259.5 billion in total members’ balances in the CPF. The Ordinary Account (OA) accounted for S$100.7 billion and another S$62.8 billion sat in the Special Account (SA).

In terms of participation in the CPF Investment Scheme, S$20.7 billion of OA funds were invested, and S$5.7 billion of SA funds.

**Uncle Leong (Roy’s sifu) has been telling S’poreans for years what Roy has discovered. The only thing that Roy did different was to accuse the govt of “stealing” our CPF, something that he has repented of:

I recognise that the Article means and is understood to mean that Mr Lee Hsien Loong, the Prime Minister of Singapore and Chairman of GIC, is guilty of criminal misappropriation of the monies paid by Singaporeans to the Central Provident Fund.

3.I admit and acknowledge that this allegation is false and completely without foundation.

4.I unreservedly apologise to Mr Lee Hsien Loong for the distress and embarrassment caused to him by this allegation.

 

 

 

Medishield: Totful tots on loss ratio to determine premiums

In Financial competency on 14/07/2014 at 5:26 am

With regards to the use of  incurred loss ratio to determine the level of premiums, I don’t like it for a few reasons:

  • A lot of premiums is collected upfront and Medishield ends up having a lot of money to invest, which might not be its core expertise.
  • It is not easy to determine future liabilities and brings another uncertainty to the calculation of the loss ratio.
  • With Medishield Life going to be a compulsory scheme, there is even less of a need to collect too much surplus as it is possible to adjust the premiums accordingly whenever overall claims go on a sustained uptrend. As a nationwide scheme, the pool is also huge and total claims will be less volatile and predictable.
  • Private health insurance that has a smaller pool will have claims that are more volatile and cannot easily raise their premiums without the risk of their customers leaving and making their pool even smaller.

http://www.martinlee.sg/medishield-reserves-loss-ratio/

From an honest financial planner. Feel safe to buy second-hand car from him. Smart guy too. Given that he has a masters in engr from NUS, I once asked him why was he wasting his time selling insurance. Never got a gd reply.

Check out his other articles explaining Medishield. Under insurance, healthcare.