Eldershield defies logic?

In a couple of years, I am turning 40 and would be automatically enrolled in Eldershield. Launched in 2002, this national scheme is aimed at providing basic financial protection to Singaporeans who need long-term care. My late father was one of the beneficiaries of Eldershield payouts. Henceforth, in this article, I will share my views on this insurance policy.

According to the Ministry of Health’s website, it is estimated that 1 in 2 Singaporeans who are healthy at the age of 65 is at risk of having a long-term disability over their lifetime. However, not many Singaporeans are prepared for such a scenario. To meet this gap, ElderShield provides eligible policyholders a monthly cash payout for a period of time, in the event of suffering from severe disability.

ElderShield policyholders can choose to enrol in Eldershield 300 or 400. The former is for policyholders who joined between 2002 and 2007. The payout amount is $300 per month and duration is 5 years. My dad qualified for this plan back in 2005. Eldershield 400 is for policyholders who joined after 2007 and the payout amount is $400 with duration up to six years.


Enrolling in Eldershield is easy because by default you are automatically enrolled into the scheme unless you choose to opt out. However, qualifying for the payout is incredibly difficult. You need to be assessed by [This is a premium article. The rest of the content is blocked and can be accessible by SG Wealth Builder Members only. To read the full content, please sign up as member.]

Read my other articles on CPF:

  1. What will happen to your CPF monies upon death?
  2. CPF nomination and making a Will
  3. Devastating HDB Loan and CPF Accrued Interest
  4. CPF’s Home Protection Scheme (HPS)
  5. The Dark Side of CPF Housing Withdrawal Limit

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2 thoughts on “Eldershield defies logic?

  • October 17, 2017 at 5:36 pm

    For the Eldershield 400, the $2,380.17 is the annual premium for a male at entry age of 64. Which means over 2 years from age 64 to 65, he will pay $4,760.34 premium for a payout coverage of $28,800.

    The sentence you wrote may mislead readers to think the Eldershield premiums increases as one gets older, which is NOT the case.

    If one joins at the default age of 40, he only has to pay an annual premium of $174.96 till he is 65, for a total outlay of $4,374 premium for the $28,800 coverage.

  • October 18, 2017 at 5:42 am

    Hi LateBloomer,

    I agree with your statements and have amended my article.
    Thank you for pointing out.
    Nonetheless, I still feel Eldershield needs to be revamped to provide lifetime payouts instead of lifetime coverage.


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