Serious 37% increase in medical insurance premiums and not a squek

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An honorable member of the Coffee Shop Has Just Posted the Following:

This story was hidden in TNP - nobody seems to have made a fuss but 37% increase in premiums is astronomical and more shocking is the rationale - because claims have increased? So whats the point of buying medical insurance if you are not meant to claim unless you need it? As previously discussed in this forum, the whole medical system here is truly buggered.


Insurers have started raising premiums for Integrated Shield hospitalisation plans (IPs) by as much as 37 per cent.

This move will hit many people given that around 66 per cent of the population have such policies.

The increases so far apply only to IPs that cover private hospitals.

However, the market talk is that NTUC Income's premium increase may not be confined to the highest-class IPs as its claims experience appears to be broad-based.

The three insurers that have raised premiums - AIA, Aviva and Prudential - say the hikes are necessary to make it commercially viable for them to continue offering the cover.

IP premiums were last revised in early 2013, but claims have shot up significantly since then.

The average IP claims incidence rate - the rate at which policyholders make valid claims on their insurance plans - has been escalating at about 9 per cent a year.

Larger medical bills, greater healthcare consumption and the increased use of newer and costlier procedures have sparked the increase in medical costs - and IP claims.

http://www.tnp.sg/news/views/more-ne...nsurance-costs


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