Complete Guide
Protecting Your Future Independence
Long-term care insurance provides benefits when you need help with daily activities due to disability, chronic illness, or cognitive impairment. With increasing longevity, LTC planning is crucial for financial security in your later years.
CareShield Life is Singapore's national long-term care insurance scheme, mandatory for those born 1980 or later.
It provides lifetime cash payouts if you become severely disabled and cannot perform at least 3 out of 6 Activities of Daily Living (ADLs).
ElderShield is a national disability insurance scheme that automatically enrolled Singaporeans when they turn 40 years old.
Unlike CareShield Life, ElderShield is an opt-out scheme, meaning you can choose to opt out if you wish.
ElderShield has been replaced by CareShield Life for younger cohorts, but those already on ElderShield can choose to stay or switch.
For those enrolled before Sep 2007
For those enrolled from Sep 2007
We would advise not to opt out of ElderShield. Coverage is relatively inexpensive and premiums are payable via MediSave. According to MOH, 1 in 2 healthy Singaporeans at age 65 is at risk of having a long-term disability over their lifetime.
Understanding the difference between these three national healthcare schemes is important for proper planning:
| Feature | MediShield Life | ElderShield | CareShield Life |
|---|---|---|---|
| Purpose | Large hospital bills & costly outpatient treatments | Cash payouts for severe disability | Cash payouts for severe disability (enhanced) |
| Compulsory? | Yes | No (Opt-out) | Yes (Born 1980+) |
| Auto-Enrolment Age | Birth | Age 40 | Age 30 |
| Monthly Payout | N/A (pays hospital bills) | $300 or $400 | $600+ (increases yearly) |
| Payout Duration | N/A | 5-6 years max | Lifetime |
| Claim Trigger | Hospital admission | 3 out of 6 ADLs | 3 out of 6 ADLs |
| Premium Payment | MediSave | MediSave (till age 65) | MediSave (till age 67 or 10 years) |
CareShield Life is essentially "ElderShield 2.0" with better coverage. The main improvements are: higher payouts ($600+ vs $400), lifetime payouts (vs 5-6 years), and yearly payout increases to keep pace with inflation.
Monthly Gap: Up to $4,400 that you need to cover yourself or with private insurance
CareShield Life provides a foundation, but the payout may not cover actual care costs. Private CareShield Life Supplements can provide additional monthly benefits of $100 to $5,000+ on top of CareShield Life payouts.
Compare the key features of CareShield Life supplement plans from major insurers in Singapore:
| Feature |
SINGLIFE
Singlife CareShield Standard/Plus
|
GREAT EASTERN LIFE
GREAT CareShield Enhanced/Advantage*
(withdrawn w.e.f. 5 Oct 21)
|
GREAT EASTERN LIFE
GREAT CareShield Supreme
|
INCOME
Care Secure*
(withdrawn w.e.f. 9 Sep 25)
|
INCOME
Care Secure Pro
|
|---|---|---|---|---|---|
| Monthly Benefit |
$200-$5,000, in increments of $100 (on top of CSHL payouts) Option for level or escalating monthly benefits at 2%/3% per annum |
$300-$5,000, in increments of $100 (on top of CSHL payouts) |
$300-$5,000, in increments of $10 (on top of CSHL payouts) |
$1,200-$5,000, in increments of $100 (including CSHL payouts in event of at least 3 out of 6 ADLs) |
$200-$5,000, in increments of $10 (on top of CSHL payouts) |
| Maximum Benefit Period (Benefits cease upon recovery or death) |
Lifetime | Lifetime | Lifetime | Lifetime | Lifetime |
| Initial Lump Sum Benefit |
3 times the first monthly benefit (at least 3 out of 6 ADLs) [At least 2 out of 6 ADLs for Singlife CareShield Plus] |
3 times the monthly benefit (at least 1 out of 6 ADLs) (for GREAT CareShield Advantage only) |
3 times the monthly benefit (at least 1 out of 6 ADLs) |
3 times the monthly benefit (at least 2 out of 6 ADLs) 6 times the monthly benefit (at least 3 out of 6 ADLs) |
3 times the monthly benefit (at least 2 out of 6 ADLs) 6 times the monthly benefit (at least 3 out of 6 ADLs) |
| Death Benefit During Claims Period |
3 times the last monthly benefit/ rehabilitation benefit (if applicable) |
- | - | 3 times the monthly benefit | 3 times the monthly benefit |
| Dependant Benefit |
20% of monthly benefit for up to 36 months if claimant has child 22 ANB and below at point of claim |
- |
30% of monthly benefit for up to 48 months if claimant has child below 22 ANB at point of claim |
25% of the monthly benefit for up to 36 months if claimant has a dependant at point of claim |
25% of the monthly benefit for up to 36 months if claimant has a dependant at point of claim |
| Caregiver Relief Benefit | 60% of monthly benefit for up to 12 months | - | 60% of monthly benefit for up to 12 months | - | 60% of monthly benefit for up to 12 months |
| Other Benefits |
Rehabilitation benefit (for Singlife CareShield Standard only) Guaranteed Issuance Option to increase monthly benefit at key life stage events |
- | - | - | - |
| Paid-up Benefits | Yes | Yes | Yes | Yes | Yes |
| Premium Waiver | At least 1 out of 6 ADLs | At least 1 out of 6 ADLs | At least 1 out of 6 ADLs | At least 2 out of 6 ADLs | At least 1 out of 6 ADLs |
| Claims Eligibility for Monthly Benefit |
At least 2 out of 6 ADLs [At least 1 out of 6 ADLs for Singlife CareShield Plus] |
At least 2 out of 6 ADLs | At least 1 out of 6 ADLs | At least 2 out of 6 ADLs | At least 1 out of 6 ADLs |
| Waiting Period | - | 90 days | 90 days | 90 days | 90 days |
| Deferment Period | - | - | 90 days | - | - |
Notes:
Consider the gap between CareShield Life payout and actual care costs. Aim for total coverage of $2,000-3,000/month minimum.
Lower ADL requirements (1-2 ADLs) mean easier claims. Some plans pay at 1 ADL while others require 2-3 ADLs.
Look for dependant benefits, caregiver relief, and death benefits that provide extra support for your family.
Plans with 1 ADL claim trigger (like GREAT CareShield Supreme and Income Care Secure Pro) offer earlier payouts, which is valuable for progressive conditions. However, they typically come with higher premiums.
Get a personalized analysis of your long-term care needs and find the right CareShield Life supplement for your situation.