LIA says policyholders are sticking with IPs

Life Insurance Association (LIA) president Khoo Kah Siang said customers are sticking with private Integrated Shield Plans (IPs) because they enjoy the option of having better cover and being able to choose their own doctors.

 But Khoo said that insurers have not seen any significant IP withdrawals in the last 12 months.

About 64 per cent of Singaporeans and PRs have IPs, which build on what MediShield Life offers. Responding to public calls to provide more transparency on IP pricing, Khoo said the five private IP insurers do not make "excessive" profits from handling such policies.

He said: "We're committed not to increase premiums for the IP portion for one year as the implementation of MediShield Life can be quite challenging. We will continue to work with the Government and medical providers to manage cost escalation... so as to offer reasonably priced premiums."

He added that consumers are likely to adopt a wait-and-see approach, given that MediShield Life only started on 1 Nov 2015.

Why do you think Singaporeans may not want to drop their IPs? Share your thoughts with us!

Source: “Policyholders 'sticking with IPs'”, (The Straits Times, 6 Nov 2015)

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