As Singapore moves towards becoming a “super-aged” society, Labour Chief and NTUC Secretary-General Ng Chee Meng has called for CareShield Life to provide stronger and more reliable support for families and caregivers.
Speaking in Parliament on Wednesday (October 15), he highlighted three key areas: making sure payouts keep up with care costs, keeping premiums affordable, and giving caregivers more support.
Payouts must keep up with rising care costs
Ng said that long-term care costs are rising faster than general inflation. He welcomed the move to double annual payout growth to 4 per cent but pointed out that payouts must also keep pace with actual care costs in the years ahead.
He suggested pegging CareShield Life payouts to cover at least a fixed percentage of long-term care costs so that families can plan early.
He also raised concerns about payout adequacy after age 67, when payout growth currently stops.
“Three in ten Singaporeans could remain severely disabled for ten years or more. Without continued payout growth, CareShield Life can fall short just when families need it most,” he said.
Premiums should stay affordable
Ng also spoke about the impact of rising premiums on middle-income families who may not qualify for extra support. With premiums set to increase by 4 per cent annually and subsidies ending by 2030, he warned that this could eat into MediSave balances.
To address this, he suggested capping premiums at a fixed percentage of median per capita household income to keep them fair and sustainable.
“Pegging payouts and managing premiums in tandem would give Singaporeans a stronger sense of predictability and stability, knowing both what they can expect in payout support on one hand, and what premium contribution is needed on the other hand,” he said.
More help for caregivers
Ng also stressed the need to give more support to caregivers who sacrifice their time, careers and savings to care for loved ones. He urged the Government to refresh caregiver support plans and consider CPF top-ups for primary caregivers with little retirement savings.
“We must not let those who provided care in their younger years go without care in their own old age,” he said.
Speaking in Mandarin, Ng said the CareShield Life scheme is an important pillar of Singapore’s long-term care system. Strengthening this scheme must also ensure that it truly benefits those who need it most.
Filial piety and shared responsibility
To close his speech, Ng spoke about the sacrifices made by the older generation and why it is important for society to care for them in their later years.
He said, “The seniors around us have quietly dedicated their lives to raising us. Now that we have grown up, we should remember their contributions and protect them in their old age.”
He added that CareShield Life is an important pillar of Singapore’s long-term care system and must be strengthened to truly benefit those who need it most.
Ng ended his speech by reaffirming support for the Bill, while urging the Government to strengthen CareShield Life so that payouts are meaningful, premiums remain affordable, and caregivers get the support they need.
