- Offers more choices in medical solutions to suit different needs with opportunities to save on premiums
- Inspires holistic and sustainable healthy lifestyles with myDNA
Singapore, 29 March 2017 – Prudential Singapore today launched innovative insurance solutions to encourage consumers to stay healthy and be proactive in managing their healthcare costs. The new insurance solutions are in response to rising medical costs and aim to ensure the sustainability of private healthcare plans in the long term.
Medical inflation has been rising at approximately 18 per cent1 every year. Today, the average bill size of private hospitals is nearly three times higher than that of public hospitals2. This in turn has led to rising claims3 and industry-wide increases in the costs of private medical insurance.
Mr Mack Eng, Head of Medical at Prudential Singapore said, “As one of the leading providers of private healthcare insurance in Singapore, we are committed to ensuring our customers can continue to have access to affordable and quality healthcare when they need it, now and in the future. This is why we decided to take a market-leading step to change the way healthcare insurance is structured to encourage healthy living and to help customers manage better their healthcare budgets.”
Rewarding consumers for staying healthy
Prudential Singapore offers a suite of medical insurance solutions catered to different needs and budgets. To encourage healthy living, Prudential Singapore will adopt a new pricing approach for its PRUshield extra A Premier - the rider4 of its medical insurance plan covering private hospitals - from 1 May 2017.
The new pricing approach rewards those who stay healthy and is deemed to be fairer as future premiums will be determined based on age as well as one’s claims experience.
Here is a general guideline of how the new pricing approach works:
- Everyone will start at Standard Level premium – the lowest premium level of their age group.
- For customers who have made no claims in the last three policy years, they will get a PRUwell Reward which is a 10 per cent savings on their Standard Level premiums when they renew their policy. Eight in 10 of Prudential’s existing PRUshield extra A Premier customers will benefit from the PRUwell Reward.
- Going forward, premiums will change depending on how much claims are made at private hospitals. Just as premiums will move up when private hospital claims increase, they will be lowered accordingly when no private hospital claims are incurred during a policy year.
- Claims from public hospitals will not have an impact on future premiums.
For existing customers of PRUshield extra A Premier who are undergoing long-term medical treatment for severe health conditions5 or have sought treatment for such conditions in the last three policy years, they will not have to adopt the new pricing approach, which means their future premiums will not be affected by their claims experience.
Additionally, the insurer will exclude existing customers from the new pricing approach should they be diagnosed with severe health conditions. This is to provide its customers the peace of mind that they can continue to afford their health insurance plans in the event that they fall seriously ill.
More choices in medical insurance solutions for consumers who want to save on premiums
Prudential has also introduced a more affordable co-pay rider option for customers who want to pay lower premiums but still maintain the benefits of private hospitals. Under the new PRUshield extra A Premier Saver, customers will pay the first S$1,000 of each claim and 5 per cent of the remaining bill above the deductible. The total out-of-pocket expense for customers under the plan will be capped at $5,000 per year.
Alternatively, if customers choose to use public hospital services, they can also opt for the existing PRUshield extra A Plus - an as-charged rider option which fully covers expenses incurred at public hospitals.
Inspiring sustainable healthy habits and lifestyles with myDNA
At the end of the day, the best way to manage one’s healthcare costs is to stay healthy. To help customers stay healthy and manage better their healthcare costs, Prudential has launched myDNA6, an innovative health tool which can analyse one’s DNA to provide diet and fitness recommendations based on one’s genetic information.
myDNA offers a comprehensive report with fitness and diet recommendations, a mobile application, an on-demand chat with a dietician and a suite of wellness activities to help customers adopt healthy lifestyle behaviours and habits. Prudential Singapore will make the myDNA kit available to consumers at a nominal fee of $100 if they renew their PRUshield extra A Premier or take up PRUshield extra A Premier Saver and PRUshield extra A Plus by 31 July 2017.
Mr Eng said Prudential is taking a lead in providing preventative measures to help our customers adopt a healthier lifestyle.
“Amid rising healthcare costs, we encourage all our customers to stay healthy and do regular health checks on their medical insurance plans. As medical insurance is a long-term commitment, it is important to find one that offers you appropriate coverage at a cost you are comfortable with. At Prudential, we have different medical insurance solutions to suit different needs, preferences and budgets.”
ABOUT Prudential Assurance Company Singapore (Pte) Limited (Prudential Singapore)
Prudential Singapore, an indirect wholly-owned subsidiary of UK-based Prudential plc, is one of the top life insurance companies in Singapore. We have been serving the financial and protection needs of Singaporeans for 85 years. Our focus is to bring well-rounded financial solutions to customers through our multi-channel distribution network, with product offerings in Protection, Savings and Investment. We are one of the market leaders in Protection, Savings and Investment-linked plans with S$28billion funds under management as at 31 December 2015. In 2014, we were awarded an AA Financial Strength Rating by leading credit rating agency Standard & Poor’s.
For the last 11 consecutive years, we have been awarded the Gold Award in Reader’s Digest Trusted Brands. Since 2007, we have been conferred the People Developer Award by SPRING Singapore for our efforts in training and developing employees and in 2013 and 2014, we were presented with Asia’s Employer of the Year Brand Award by the Branding Institute and the World HRD Congress. Prudential Singapore was also awarded the NTUC Plaque of Commendation (Gold) Award in 2014, and the Singapore Human Resource Institute presented the company with the Leading HR Practices in Quality Work-Life, Physical & Mental Well-Being Award in 2014 and the Leading HR Practices in Lifelong Learning Award in 2015.
|| Aon Hewitt
|| Report for Health Insurance Taskforce, October 2016
|| Industry claims ratio increased from 46% in 2009 to 73% in 2015, according to the October 2016 Report by Health Insurance Taskforce.
|| A rider is an add-on provision to a basic insurance plan that provides additional benefits to a policy holder at an additional cost.
|| Severe health conditions refer to life-threatening illnesses that require long-term medical treatment. For instance, Blood Disorder, Cancer, Ischaemic heart disease, Coronary artery disease, Rheumatic heart disease, Chronic obstructive lung disease, Chronic renal disease, including renal failure, Cerebrovascular accidents,Chronic Liver Cirrhosis,Systemic Lupus Erythematosus, Degenerative diseases, and any illnesses, disorders or conditions which are life threatening or terminal.
|| The nutrigenomics DNA test is supplied by third parties. The test, nutrition advice and mobile app are managed by third parties. Test results will not be used by Prudential for any underwriting nor claims assessment purpose. Promotion period until 31 July 2017, terms and conditions apply.