Cancer is a disease that affects millions of people around the world.

It was revealed in the Singapore Cancer Registry Annual Report 2020 that 1 in 4 people develop cancer in their lifetime, with over 9,000 new cases diagnosed each year¹. It is also the leading cause of death in Singapore, which is why it’s worth paying attention to.

With these numbers, the prudent thing to do – besides taking care of your health – is making sure you’re protected with cancer insurance. This way, you’ll be somewhat prepared even when the unexpected happens. 

What is cancer insurance and is it necessary? 

Given the high prevalence of this dreaded illness, it is important to consider the financial implications of a cancer diagnosis.

Cancer is expensive to treat in Singapore. The spending on cancer drugs is increasing at 20% a year compared to 6% for other drugs, according to the MediShield Life Council’s report to the Ministry of Health (MOH)².

Although government healthcare schemes help defray some of the costs associated with cancer treatments, they don’t cover everything. MediShield Life only covers up to $200 to $9,600 a month for cancer drugs, while cancer services such as scans, blood tests or doctor consultations are capped at $1,200 per calendar year³. Up to $600 a year from MediSave may also be used.

However, actual treatment costs may be much higher. For example, as published by MOH, one cycle of chemotherapy in a subsidised B2 ward can cost from $478 to $5,650 for most people, and this only adds up when a few cycles of chemotherapy are required⁴. While your MediShield Life and MediSave may just cover this amount, it becomes a different story if you choose to seek treatment at a private hospital, where costs will be much steeper.

Non-approved drugs and treatments are also not covered by MediShield Life and MediSave, which means patients must be prepared to pay out-of-pocket⁵. 

Do I still need cancer insurance if I already have hospitalisation insurance?

Hospitalisation insurance does not cover all  the costs associated with cancer treatment, such as experimental therapies, non-medical expenses, or even lost income.

With the recent announcement on cancer treatment caps for Integrated Shield Plans (IPs), it’s even more imperative that you consider a dedicated cancer cover plan that provides an additional layer of protection.

In the past, many could rely on MediShield Life to cover a significant portion of hospital expenses, with only the co-insurance and deductible as out-of-pocket costs. However, MOH’s new regulations have shifted the landscape.

From April 1 2023, IPs will no longer offer ‘as charged’ cancer coverage⁶. Instead, they will only provide a maximum coverage of five times the amount offered by basic MediShield Life for cancer treatments. At the same time, only drugs that are on the Cancer Drug List (CDL) will be subsidised. For patients, especially those who require more complex and intensive treatments or experimental drugs, the reduced coverage can lead to hefty out-of-pocket expenses that may be hard to bear.

IPs riders can offer higher coverage but they can be costly. To avoid being blindsided, it’s important to review your cancer coverage. With the new IP changes, is there a protection gap and will your existing hospitalisation insurance be sufficient?

If not, consider getting a dedicated cancer insurance plan which not only makes sure that you can afford the treatment required, but also provides financial support for other non-medical costs such as loss of income, daily expenses, and caregiving among others.

With a cancer insurance plan like Etiqa Cancer Insurance, a lump sum is paid upon a cancer diagnosis – including the early stages – to ensure that you have the financial support required to focus on your treatment and recovery. 

Advantages of getting cancer protection insurance in Singapore

There are several benefits to getting cancer insurance in Singapore. The most important advantage is that it provides a lump-sum payout which can be used for out-of-pocket costs that are not covered by your Integrated Shield Plan or MediSave/MediShield. This includes deductibles, co-payments, expenses for cancer treatment that is above the MediShield limit, or drugs that are not on the approved Cancer Drug List (CDL).

Cancer insurance also provides flexibility in terms of how the payout can be used. Other than being used to cover medical costs, the money can also cover other non-medical expenses such as mortgage payments, bills, and other daily living expenses.

There are also non-medical costs to consider. Treatment can be physically and mentally exhausting and this may lead to a potential loss of income as you take time off from work to focus on treatment and recovery.

You may also need to engage a caregiver or domestic helper, or even make home adjustments to accommodate your condition. And that’s also not forgetting your daily expenses such as food, transportation to and from your doctor’s, and still having to service your existing liabilities even as you experience a loss of income.

This is where cancer insurance comes in. It is a type of policy that pays out a lump sum of money upon any diagnosis of cancer, which can provide breathing room for families who face cashflow difficulties due to a sudden cancer diagnosis.

How to look for the best cancer cover plan in Singapore?

Here's a checklist of three key factors to consider when purchasing cancer insurance in Singapore:

●      Early stage coverage:

Early stage cancer can be easier to treat and may not require as much medical intervention. However, it can still be expensive. Does your policy cover early stage cancer, which can often have better treatment outcomes than late-stage diagnoses?

●      Affordability:

A cancer cover plan doesn't have to be expensive. For example, with Etiqa Cancer Insurance, premiums start from as low as $5.60* a day. Compare premiums of different policies to find the right one that fits your budget.

* Based on 30% off first-year premium and S$50,000 coverage for a 17-year-old non-smoking male. 

●      Flexibility:

Is your cancer insurance’s lump sum payout sufficient to cover your expected expenses in the event of a diagnosis? Different policies may offer varying levels of coverage, which can be customised based on an individual's risk factors.

For example, if you already have comprehensive hospitalisation insurance and savings in your MediSave account, you may only require a lower coverage compared to someone who has limited insurance and savings. Similarly, if your existing hospitalisation plan doesn’t offer much protection against cancer, consider getting a standalone cancer insurance plan to boost your coverage.

The Life Insurance Association (LIA) recommends having coverage that is about 4 times your annual income, which is an average representation of your financial needs for a five-year recovery period when you cannot work. However, bearing in mind the recent changes to the cancer drugs and services limit, it’s more likely than not that you would have to plan for more coverage than this.

Protect yourself against cancer with Singtel Protect and Etiqa Insurance 

Protect against life’s curveballs with Etiqa Cancer Insurance. Comprehensive and flexible, it covers all stages of cancer in Singapore and provides a 100% lump sum payout upon diagnosis at any stage. Choose your coverage amount to suit your needs and budget. Plus, enjoy 6% savings each year if you did not make a claim!

Prefer even more protection? If you have a higher budget and are looking to get covered for a wider range of illnesses, consider Etiqa’s 3 Plus Critical Illness, which provides coverage for not just cancer, but also stroke and heart attack. Together, these three critical illnesses make up for more than 90% of all critical illness claims⁷.

Don't wait until it's too late to safeguard yourself. With the prevalence of cancer in Singapore, start preparing for the future today. Sign up for Etiqa Cancer Insurance and enjoy 30% off your premiums with promo code <STCAN30> or expand your coverage with 3 Plus Critical Illness and get 50% off the first 3 years with promo code <STCI50>.