In Two Minds About Enhancing Your Long Term Care Protection? Here are 5 Facts That You Can't Ignore!

Long Term Care in Singapore

ElderShield is a severe disability insurance plan which provides basic financial protection for long-term care. It pays out $300/month or $400/month, for up to 5 and 6 years respectively, if you’re disabled i.e. defined as inability to do 3 out of 6 specific activities of daily living independently. This cash payout is meant to help you offset the cost of care needed and ongoing living expenses.

The question is: Is $300 or $ 400 per month going to be sufficient? The answer is an obvious 'No'!

So, what is stopping you from getting a supplement to enhance the ElderShield monthly payout benefit? The facts here are taken from actual statistics.

Myth #1: It is relevant for old folks who are 60 years and above.
Fact #1: The bulk of claimants are in their early 40s! The group between age 40 to 45 accounts for 38% of all claims received in 2016 by Aviva! (Source: Aviva 2016 claims statistics)

Myth #2: Chances of me losing my physical/ functional independence is low.
Fact #2: The chances that anyone cannot perform 3 out of 6 Activities of Daily Living (ADLs) is highly possible! According to Aviva’s 2016 claim statistics, men made up 56% of claims while women made up 44%.

Myth #3: It will not happen to me.
Fact #3: Life is unpredictable! The prudent thing to do is to get ourselves financially prepared for the unexpected.

The top 2 causes for severe disability claims: Do you know?
Myth #4: The Basic Eldershield payout ($300/ $400 per month) is enough.
Fact #4: Be realistic about the rising costs of nursing and medical care in Singapore! Hiring a maid, on average, will cost around $700 a month. What about other expenses like medical bills, transport, mobility aids or modifications to home, physical or psychological therapy, alternative medicine like TCM? On average, long term care costs $2,150 per month. (Source: Aviva Long Term Care Study 2011)

Myth #5: The disability will be short term.
Fact #5: 37% of caregivers have been providing care for their recipients for over a decade. On average, they provided 6.8 hours of care per day. (Source: Statistics Singapore Newsletter, September 2011, Caregiving in Singapore) Imagine what they go through day in and day out ...

Food for Thought:

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