HDB Home Protection Scheme

Mr Gan Thiam Poh asked the Minister for National Development whether HDB will make it compulsory for all HDB flat lessees/owners to take up the Home Protection Scheme as long as they have outstanding loans financed by financial institutions or HDB.

Mr Khaw Boon Wan: It is mandatory for HDB flat owners who use CPF monies to service their monthly loan instalments to take up the Home Protection Scheme (HPS) or an equivalent mortgage reducing insurance (MRI). 60% of all HDB flat owners with outstanding loans fall under this requirement.

For the remaining 40% of the flat owners who are not using CPF monies to service their monthly loan instalments, 44% of them have voluntarily taken up the HPS. Some have also opted to take up equivalent MRI from private insurance companies.

HDB encourages all HDB flat owners to take up HPS or an MRI as it ensures that surviving family members are protected in the event of the death or incapacitation of the lessee. We will continue to work with CPF Board to see how we can further improve coverage amongst home buyers.