Top 3 Reasons You Need Hospitalisation Cash Insurance

You’re in for a rude awakening if you ever find yourself footing the bill after a three-day hospitalisation stay at a private hospital in Singapore. It can cost you more than $10,000 for something as simple as treating a bacterial infection. What’s even more shocking would be to hear that your health insurance plan isn’t enough to cover it and you’d need to fork out the extra cash out of your own pocket.

That’s where hospitalisation cash insurance would come in handy. As a Singaporean or Permanent Resident (PR), you’re automatically covered under Medishield Life. However, coverage is only pegged to Class B2 & C wards in a public hospital. This means you can still opt to go for a higher-class ward in a private hospital, but you have to bear the extra costs. That is why 1 in 3 Singaporeans have an Integrated Shield Plan (IP) plan. And yet, that may still not be enough.

Hospitalisation cash insurance can help to complement your Integrated Shield Plan (IP). Here are the top three reasons why.

1. Coverage for every day you’re in the hospital

When you land up in a hospital, your life is completely disrupted. Even your loved ones need to change their plans around to visit you in the hospital. This means extra cash expenses from dabao (i.e. takeaway) meals to transport fares to and from the hospital – and that’s just to name a few.

The trouble with hospitalisation insurance is that it only covers just that – any fees charged by the hospital. Any other expenses incurred outside of your hospital stay has to be borne by you. The great thing about a health cash plan is that these little things are covered.

With daily cash pay outs, your day-to-day needs are taken care of. Depending on the plan that you take, you can get up to $200 of daily income in cash for each day you’re in the hospital. A higher cap of up to $400 is provided for hospitalization overseas or if you’re warded in intensive care unit.

Remember to read the fine print on how many days of daily income your plan covers though. Plans like AXA Health Cash Plan give you as high as 730 days – that’s a whopping 2 years! (Psst…and that’s one of the highest coverage around in terms of length of days)

2. Receive cash benefits beyond your hospital stay 

If you’ve ever been hospitalised for a high fever and had to stay in the hospital for a week, you might still need a day or two to recuperate once you’re back home. This is where your AXA Health Cash Plan can also help.

If your hospital stay is more than 7 days, you’ll receive a Recuperation Benefit of up to $200. This sum is on top of the daily income you receive for the duration of your hospital stay. It helps to compensate you for those next few days you spend recovering at home and is something that an Integrated Shield Plan (IP) doesn’t cover.

Though the payout may seem small, it can really help to tide you over the next couple of days, and you can spend it in any way you need – to pay for your meals, transport to send your kids to school, or for an extra set of helping hands around the house for the day.

3. Perfect complement to your Integrated Shield Plan (IP) with flexible coverage options

Beyond hospital bills, a health cash plan gives you the flexibility of coverage for other situations where you might find yourself in a bind.

You may top up your health cash plan with these additional options for an extra fee, to give yourself further coverage in unfortunate incidents. You’ll never know when an accident might happen – like breaking your leg after slipping on a wet floor or in more serious circumstances, an untimely cancer diagnosis.

AXA Health Cash Plan gives you these four additional options for coverage under your plan.

Option 1: Break your bones, but not your bank with the Broken Bones option

Your hospital bill can cost you an arm and leg (literally), but your health cash plan can pay for it. It is the perfect option designed for any accident or assault, especially if you hurt your spinal cord or fractured a bone.

The good thing about this coverage is it pays out cash benefits for multiple fractures – provided they are broken in different areas of your body. For example, if you slipped and fell in the shower and fractured your forearm and lower leg, you’ll be able to claim for both – that’s about $4,000 ($2,000 for each fracture, under Plan A).

Option 2: Get coverage for Outpatient visits*

It’s pretty common for a visit to the doctor for what you thought was a minor symptom, to turn into something more serious which might require a specialist’s opinion.

If your GP (General Practitioner) refers you to one, this option gives you a cash benefit of up to $80 per consultation. This excludes treatment of a pre-existing condition or if your consultation is made just to monitor a medical condition.

But what if your condition turns out to be more serious? If your specialist (and not your GP) suspects a deeper problem, he might ask you to go for a CT (Computed tomography) or CAT scan, PET (Positron emission tomography) scan or MRI to determine the root cause.

Adds to your worries, right? But paying for it doesn’t have to be. If your Integrated Shield Plan only partially covers it, this option helps you cover the extra costs up to $1,500 per policy year.

*This option is only available under Plan A.

Option 3: Lessen your worries with extra cash benefit with the Cancer option

Every dollar counts, especially when treating major illnesses like cancer. If you know someone who has been diagnosed with cancer, you’ll know that it’s a tough financial burden on them and their loved ones.

Fortunately, by choosing this option, a cash payout of $50,000 will be given to you upon first diagnosis of certain cancers – provided it was not within the first 90 days of the policy start date or caused by a pre-existing condition.

This payout really goes a long way, even if you’re covered for critical illness with your Integrated Shield Plan (IP). However, your critical illness insurance coverage has a cap to how much you can claim and in the unfortunate event you have to claim for more than once in a policy year, this policy can really help you to bear the costs, when you can’t.

Option 4: Dental option

The rising costs of dental care in Singapore is often a huge reason why people avoid going to the dentist. An impacted wisdom tooth surgery can cost anything between $400 to $2,140! It’s no wonder you find yourself sitting in the dentist’s chair only in extreme cases – unless your company insurance gives you pretty good coverage.

But in case you don’t have a dental insurance plan (with your company or otherwise), this is an excellent option to consider. It covers 50% of the cost of routine examination, hygiene treatments, periodontal treatments and x-rays for up to $250 per policy year.

So the next time you have a terrible toothache, you don’t have to stand the pain just because you’re afraid you can’t afford what the dentist might dish out. For a simple cavity filling or chipped tooth, AXA Health Cash Plan has got you covered.

However, for more complicated procedures like crowning for broken teeth or bridges to replace a tooth, the benefits cover up to $1,500. So, it’s important to know not only what you’re covered for, but how much you’re covered for.  

In conclusion…

What you get with hospitalisation cash insurance is really additional help with cash on top of your current health insurance plan. While this is not a rider, it is a great complementary plan to your Integrated Shield Plan (IP). While Shield Plan (IP) covers your hospital bill, hospitalisation cash insurance ensures you have extra cash to help you out on the road to recovery. A little can really go a long way.

Disclaimer:

This article is for general information only and does not take into account the specific investment objectives, financial situation or needs of any particular person. The views expressed herein do not necessarily reflect the views of AXA Insurance Pte Ltd and should not be construed as the provision of advice or making of any recommendation. There is no intention to distribute, or offer to sell, or solicit any offer to purchase any product. We recommend that you seek the advice of a qualified financial advisory professional before making any decision to purchase an insurance or investment product. Whilst we have taken reasonable care to ensure that all information provided was obtained from reliable sources and correct at time of publishing, information may become outdated and opinions may change. We are not liable for any loss that may result from the access or use of the information herein provided.