How Eldershield and Eldershield Supplement Plan Protects you and your parents financially

Dear friend, life is uncertain.

As filial children, our parents are part of our financial planning and chances are, we’ll only incur medical problems as we age.

Let Claire help you and your parents understand what Eldershield is about.

Background on ElderShield:

At age 40, any CPF member with a medisave account is automatically covered under Eldershield with one of the three insurance companies in Singapore.

This disability insurance plan is designed to help those who become severely disabled to manage their own everyday care. Launched by the Ministry of Health in 2002, the plan provides a monthly cash payout that can be used to cover the many costs associated with long term care e.g. the daily care at home or in hospital, home modifications and special aids or equipments, etc.

ElderShield defines a person as severely disabled when the person is certified to be unable to perform at least 3 out of 6 of Activities of Daily Living (ADL), even with special equipment and requires constant assistance.

Imagine in the event of severe disability and if one of your parents are certified unable to perform 3 out of the 6 Activities of Daily Living such as toileting, washing and feeding.

What do you want to happen in such a scenario?

  • Are you or your spouse or your aging parent going to stop work to care for the parent is severely disabled due to chronic illness or accident?
  • Do you want to provide long-term care for your parents such as getting permanent help from a domestic helper or professional medical care-takers?
  • What about the on-going medical bills, medicine expenses, the costs of medical equipment and daily expenses?

The current Eldershield scheme only provides a monthly cash payout of up to $400, for a period of up to 72 months upon a severe disability to cover the cost of long term care.

Is this enough to care for a loved one in the event of severe disability?

According to The Straits Times, 13 January 2009, it costs about $800 to $4,000 every month to put a patient in a private nursing home. Such a situation can be both emotionally and financially stressful.

My recommendation: manage this risk by taking up the Eldershield Supplement to ensure that there’s lifetime income should your parents need it.

Benefits of getting Eldershield Supplement:

  1. With an Eldershield Supplement, your parents can receive benefit payout for lifetime, instead of only 6 years under the current basic Eldershield program.
  2. Best of all, now you and your parents have the choice in terms of benefits, limited premium payment and benefit payout period
  3.  Don’t worry about premiums. You, your siblings and your parents can combine all your Medisave funds to service the premiums for each parent.
  4. You’ll be pleased to know that the premium for the Eldershield Supplement is determined at the age of entry and does not increase with age. Hence it’s advisable for your parents to take up this plan at a younger age to enjoy the low premium rates and while they’re healthy.

And when you work with me, I’ll guide you to understand your needs, make the right decisions and get appropriate solutions for your and your loved ones.

For a peace of mind, now and for the future, give your parents this gift to ensure you and your parents are protected financially with the appropriate Eldershield Supplement Plan.

Let me guide you to take care of yourself and your parents.

Please book an appointment with me. Call Claire at 9231 8779  discuss this with me over coffee.  

Have an outstanding day.

Disclaimer:

The above information is strictly for general information only and is not be construed as an offer or solicitation to deal in any fund, nor a recommendation to invest in any company mentioned herein.

The information contained in this blog is not intended to constitute individual investment advice and is not designed to meet your personal financial situation.

Consult your financial consultant before you make any decisions.


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