Cash from Medisave helps meet diverse care needs: Gan
Madam Quek Pong, 86, has dementia and needs help with even the simplest of daily activities, such as bathing herself or getting out of bed.
She gets $300 a month from ElderShield, which helps her family pay for necessities such as her special diet and her live-in helper.
But the rest of her expenses - about $900 a month - are paid for by her nine children.
From 2020, severely disabled Singaporeans such as Madam Quek and permanent residents with similar conditions can draw up to $200 in cash from their Medisave accounts every month to pay for such necessities. (See report, above.)
It is the first time the Government has allowed cash withdrawals from Medisave since the scheme was set up in 1984.
The move is to give people greater flexibility when making their care arrangements, which is important when "the needs are quite diverse", Health Minister Gan Kim Yong said yesterday when he announced the scheme.
"Some of them may have an informal care arrangement and need some financial support to make sure this is affordable," Mr Gan said. "So, by giving them cash, it will give them greater flexibility."
He added that it will not result in higher Medisave contributions.
Severely disabled people aged 30 and older can withdraw the cash from either their own or their spouse's Medisave accounts.
The maximum amount they can draw every month ranges from $50 to $200, and depends on their Medisave balance.
For example, a person with at least $20,000 in his Medisave account would be able to draw $200 every month. If this drops to $15,000, he would be able to draw only $150 a month.
Should the account have less than $5,000, then no cash can be taken out of Medisave.
This is to ensure that the account holder still has money to pay for other healthcare needs, such as hospital bills or MediShield Life premiums.
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