CareShield Life (CSHL)
CareShield Life is a national long-term care insurance scheme that was launched in 2020. The scheme provides basic financial support should an insured develop severe disability, especially during old age, and need personal and medical care for a prolonged duration (i.e. long-term care).
CareShield Life provides monthly payouts for as long as you are unable to do 3 or more Activities of Daily Living. Payouts are in cash so that you and your caregiver have the flexibility to decide on your desired care arrangements (e.g. home care or nursing home care).
For more details on CareShield Life and other types of Government support, please visit the CareShield Life website or call 1800-222-3399 or (+65) 6222 3399.
Payment of CareShield Life premiums
The Government provides strong support through a range of premium subsidies to help Singapore Citizens and Permanent Residents pay for their CareShield Life premiums.
Government support and subsidies
The Government offers various channels of help for the payment of CareShield Life premiums, such as Premium Subsidies for the lower to middle income groups.
If you are still unable to afford your premiums even after the above support measures, you may wish to seek an immediate family member’s help to use his or her MediSave savings to pay for your premiums in full.
Alternatively, we encourage you to apply for Additional Premium Support (APS). APS is designed to help those who are unable to afford their CareShield Life premiums even after Government subsidies and have limited family support. You can request a copy of the APS application form or find out more information on APS by calling 1800-222-3399 (or +65 6222 3399) from Mondays to Fridays, 8.30am to 5.30pm. MOH will assess each application to ensure that assistance is provided to those who need financial support. They will keep in touch with you on the application status. You will not lose CareShield Life coverage even if you are unable to pay for the premiums.
Penalties and enforcement actions for those who choose not to pay
However, for those who can but choose not to pay their CareShield Life premiums, late payment penalties and interest will be imposed, and enforcement actions taken to recover the outstanding premiums. It is necessary to have firm enforcement actions to deter defaults and uphold the spirit of collective responsibility behind the CareShield Life Scheme. This will ensure that the CareShield Life and ElderShield Insurance Fund remains sustainable and can meet its commitment to all insured under the scheme. It also ensures that the debts of wilful defaulters are not unfairly shouldered by those who have paid their share responsibly. Outstanding premiums that are not recovered will translate to bad debts for the CareShield Life and ElderShield Insurance Fund and consequently, higher premiums for all members.
Late payment of CareShield Life premiums
The Inland Revenue Authority of Singapore (IRAS) and the Central Provident Fund (CPF) Board have been appointed by Ministry of Health as recovery bodies responsible for the recovery of outstanding premiums.
- Late payment penalties and interest
If the premiums are not fully paid or paid late, a 5% late payment penalty will be imposed on the full policy year premium after the payment due date in the Demand Note sent by IRAS.
Additional penalties of 12% will be imposed on any outstanding premiums, if they remain outstanding one year after the imposition of the 5% late payment penalty.
Annual compounding interest of 4% will also be applied on the outstanding premiums and/or interest of those who persistently delay the payment of premiums to make up for the interest loss to the CareShield Life and ElderShield Insurance Fund. For calculation of late payment penalty and interest, please refer to the FAQs.
- Premium recovery measures
If the premiums continue to remain outstanding, despite repeated reminders and the imposition of late payment penalties, other actions to recover the outstanding premiums may include:
- Appointing agents like your bank, tenant and/or employer to recover the outstanding premiums
- Offsetting outstanding premiums against one-off Government surplus-sharing transfers (e.g. Growth Dividends)
- Issuing a Travel Restriction Order (TRO) to stop you from leaving Singapore; and/or
- Taking legal action
When your bank is appointed as agent, you will experience inconvenience in using your bank accounts (e.g. being unable to access your bank accounts) until you have fully paid your premiums.
Requests made for the release of your banks from the agent appointment after 12pm on weekdays will only be processed on the next working day, while requests cannot be processed on Saturdays, Sundays and Public Holidays.
For more details on the enforcement actions, please refer to the FAQs.
For enquiries on late payment of premiums, late payment penalties, interest and/or other enforcement actions, please email us at [email protected] or call us on (+65) 6356 7012 (Mondays to Fridays, 8am to 5pm).
FAQS
General questions on the CareShield Life Scheme
What is CareShield Life?
Am I covered under CareShield Life? What must I do to be insured under CareShield Life?
If you are a Singaporean born in 1980 or later, you are automatically covered under CareShield Life from 1 October 2020, or when you turn 30, whichever is later.
For Singaporeans born on or before 1979, participation is optional. If you are born between 1970 and 1979, insured under ElderShield 400, and have not developed severe disability, you have been automatically enrolled into CareShield Life from 1 December 2021.
If you are not automatically enrolled and wish to join CareShield Life, you may access the application to join CareShield Life e-Service with your Singpass. Alternatively, visit the CareShield Life website to apply for CareShield Life or to view your policy details.
Payment of CareShield Life premiums
Non-payment of CareShield Life outstanding premiums
Demand Note
What is a Demand Note? What should I do if I receive a Demand Note?
A Demand Note (DN) is a notice issued to defaulters to request for payment of the outstanding premiums and inform of any late payment penalties and/or interest that will be imposed should the outstanding premiums remain outstanding after the payment due date in the DN.
If you receive a DN from IRAS, you will need to make full payment for the outstanding premiums before the payment due date. Otherwise, late payment penalties and/or interest will be imposed.
Further enforcement actions may be taken after the DN has been issued to you to recover the outstanding premiums.
What is the late payment penalty and interest rate and how are they computed?
If the premiums are not fully paid or paid late, a 5% late payment penalty will be imposed on full policy year premium.
Additional penalties of 12% will be imposed on any outstanding premiums, if they remain outstanding one year after the imposition of the 5% late payment penalty. Annual compounding interest of 4% will also be applied on the outstanding premiums and/or interest of those who persistently delay the payment of premiums to make up for the interest loss to the CareShield Life and ElderShield Insurance Fund.
A Demand Note (DN) will be issued to notify you of the late payment penalties and interest amount that will be imposed if the outstanding premiums are not paid in full before the payment due date in the DN.
(i) Illustration for computation of late payment penalty and interest, with no payment received: Policy renewal date: 1 April 2024
| Date of Event | Description of Event | Amount | Total Premium, Penalty and/or Interest payable |
|---|---|---|---|
| 1 Apr 2024 | Policy renewal date - premium for Policy Year 2024 due for payment | $1,000.00 | $1,000.00 |
| 6 May 2024 | Demand Note served to notify of 5% late payment penalty amount of $50.00 (i.e. 5% x $1,000) that will be imposed on the premium if full payment is not received by the due date – 27 May 2024. | - | $1,000.00 |
| 28 May 2024 | Add: 5% late payment penalty for Policy Year 2024 (i.e. 5% x $1,000) | $50.00 | $1,050.00 |
| 1 Apr 2025 | Premium remains outstanding after 1 policy year. Demand Note served to notify of the 4% interest that will be imposed on the premium that remains outstanding after the due date - 22 Apr 2025. | - | $1,050.00 |
| 23 Apr 2025 | Add: Interest compounded on premium for Policy Year 2024 that remains outstanding (i.e. 4% x $1,000) | $40.00 | $1,090.00 |
| 28 May 2025 | Premium remains outstanding 1 year after the 5% late payment penalty was imposed. Demand Note issued to notify of 12% late payment penalty amount of $120 (i.e. 12% x $1,000) that will be imposed on the outstanding premium if full payment is not received by the due date – 18 Jun 2025. | - | $1,090.00 |
| 19 Jun 2025 | Add: 12% late payment penalty for Policy Year 2024 (i.e. 12% x $1,000) | $120.00 | $1,210.00 |
Note: Interest will continue to compound on the premium and interest that remain outstanding after each policy year.
(ii) Illustration for computation of late payment penalty and interest, with partial payment received: Policy renewal date: 1 April 2024
| Date of Event | Description of Event | Amount | Total Premium, Penalty and/or Interest payable |
|---|---|---|---|
| 1 Apr 2024 | Policy renewal date - premium for Policy Year 2024 due for payment | $1,000.00 | $1,000.00 |
| 6 May 2024 | Demand Note served to notify of 5% late payment penalty of $50.00 (i.e. 5% x $1,000) that will be imposed on the premium if full payment is not received by the due date - 27 May 2024. | - | $1,000.00 |
| 10 May 2024 | Less: $500 payment received - Offset against outstanding premium of $1,000 | $(500.00) | $500.00 |
| 28 May 2024 | Add: 5% late payment penalty for Policy Year 2024 (i.e. 5% x $1,000) | $50.00 | $550.00 |
| 1 Apr 2025 | Premium remains outstanding after 1 policy year. Demand Note served to notify of the 4% interest that will be imposed on the premium that remains outstanding after the due date on 22 Apr 2025. | - | $550.00 |
| 20 Apr 2025 | Less: $40 payment received - Offset against outstanding late payment penalty by $40. $10 late payment penalty remains outstanding | $(40.00) | $510.00 |
| 23 Apr 2025 | Add: Interest compounded on premium for Policy Year 2024 that remains outstanding (i.e. 4% x $500) | $20.00 | $530.00 |
| 20 May 2025 | Less: $25 Payment received - Offset against outstanding late payment penalty by $10, followed by outstanding interest by $15. $5 interest remains outstanding | ($25.00) | $505.00 |
| 28 May 2025 | Premium remains outstanding 1 year after the 5% late payment penalty was imposed. Demand Note issued to notify of 12% late payment penalty amount of $60 (i.e. 12% x $500) that will be imposed on the outstanding premium if full payment is not received before the due date on 18 Jun 2025. | - | $505.00 |
| 19 Jun 2025 | Add: 12% late payment penalty for Policy Year 2024 (i.e. 12% x $500) | $60.00 | $565.00 |
Note: Interest will continue to compound on the premium and interest that remain outstanding after each policy year.
What do I do with the notice from IRAS if the recipient no longer stays at the address or is uncontactable?
Please return the notice under the Returned Mail Box commonly found at the letter box area, with a written remark that the recipient is uncontactable or no longer stays at the address.
You may also write to the CareShield Life Team to inform them that the recipient is no longer residing at the address with the following information:
- Your NRIC number; and
- Screenshots of the notice letter (Front and Back) with written remarks on the letter that the recipient is no longer residing at the address.
Further enforcement measures to recover outstanding premiums
I received a notice from IRAS informing me that I have been appointed as an agent. Why was the notice sent to me and what should I do?
If you have been appointed as an agent under the CareShield Life and Long-Term Care Act (e.g. tenant to your landlord, or employer to your employee), you are required to pay any money due to the defaulter (i.e. rent as a tenant, or wages as an employer) to the CareShield Life and ElderShield Insurance Fund. Kindly indicate the name and NRIC number of the defaulter when making payment into his MediSave Account.
If you have received such a notice but fail to comply, you can be held personally liable for the CareShield Life premiums owed under the CareShield Life Scheme.
If you have been appointed by IRAS as an agent but wish to object to the appointment, you may do so by writing to IRAS within 14 days after the receipt of the notice.
The bank has informed me that IRAS is recovering money from my bank account as it has been appointed as an agent. What can I do for the bank to be released as an agent?
Agents will only be released from the appointment after the outstanding premiums have been paid in full to the CareShield Life and ElderShield Insurance Fund.
Note:
For banks appointed as agents, requests for the release of your banks from the agent appointment cannot be processed on Saturdays, Sundays and Public Holidays. Any request for release of bank appointment after 12pm on weekdays can only be processed on the next working day.
What is Travel Restriction Order?
A Travel Restriction Order (TRO) is a recovery measure to prevent defaulters from leaving Singapore without paying the outstanding premiums.
If a TRO has been issued, you will not be allowed to travel out of Singapore until you pay the premiums in full.
It is your responsibility to ensure that you have a valid pass to remain in Singapore. If extension of time is required to settle your outstanding premiums, please approach the Immigration & Checkpoints Authority (ICA) to extend your stay in Singapore.
The TRO will be withdrawn after the CareShield Life and ElderShield Insurance Fund receives full payment of the outstanding premiums (including any penalties and interest, if applicable).