Healthcare System in Singapore

 

What is Singapore's secret to such an efficient health system? The healthcare system is funded in a way that increases awareness of the cost of healthcare among the population. In Singapore, each person saves a certain amount of their salary every month to participate in financing the medical expenses that they will encounter during their lifetime. The unused savings in the account generate interest. This system aims to avoid the overuse of medical care/treatment.

The state of Singapore covers the majority of the healthcare costs of its citizens in the form of subsidies within public health institutions, often covering up to 80% of costs. The Singaporean health system is organized around the ‘3M’:  Medisave, MediShield, and Medifund. It also allows for flexibility in the choice between the public and private sectors.

Private medical insurance refers to any medical insurance coverage offered by a private entity instead of a state or federal government. Insurance brokers and companies both fall into this category. If you are a foreigner with permanent residency, a subscription to the Singaporean healthcare system is compulsory. Brief details of healthcare facilities in Singapore are:

Government medical insurance facilities are primarily designed to provide subsidized healthcare services to Singaporeans. Although wholly owned by the government, the public sector hospitals are operated as private limited companies to compete with the private sector on service and quality. Government medical insurance also sets the benchmark for private medical insurance on professional medical standards and fees.

Private medical insurance facilities in Singapore are as good as any in the world, with an excellent level of medical care and service levels. For non-Singaporeans, the difference in cost between government and private medical insurance is negligible as they directly compete with each other. The good news is that day-to-day healthcare services are quite affordable in Singapore; however, it is advisable to consider medical insurance options to safeguard from any critical illnesses.