Final Expense Is Not Death Benefit In Integrated Shield Plans

In Singapore, all of us citizens & Permanent Residents would have been enrolled into the Medishield Life as a compulsory program and a large proportion would also have signed up with an Integrated Shield Plan (ISP) through a private insurer one way or another. However, how many of us actually took the time to read or even understand 1 of the benefit known as "Final Expense" in the benefit table?

When I first read it, I thought it was actually some sort of death benefit like in most company insurances, whereby the insurer pays out a lump sum out of sympathy or goodwill to the deceased's family for the purpose of helping them in the completion of the final rites etc.

However, when my own relative passed on recently, then did I realised that this Final Expense was just a feature to waive the deductible or co-insurance, if one did not buy the cash riders. Here are the screenshots of 2 of Singapore's top insurers' table of benefits and definitions of the feature (click on image to enlarge):

Aviva Myshield Table of Benefit

Aviva Myshield definition of Final Expense

NTUC Enhanced Incomeshield Table of Benefits

NTUC Enhanced Incomeshield Definition of Final Expense

So this post is to manage your expectation and to highlight that the Final Expense in the Integrated Shield Plans are not death benefit payouts, but more for taking care of the co-insurance and deductibles if death were to occur in hospitals or 30 days after leaving the hospitals and when the insured did not buy a rider.

Do note that Final Expense benefit is not available to Medishield Life plans. Feel free to contact us if you need more information