PORTABLE MEDICAL BENEFITS

PORTABLE MEDICAL BENEFITS

31.

Mr Yeo Guat Kwang asked the Minister for Manpower (a) what is the progress of implementation of the Portable Medical Benefits Scheme (PMBS) in the private sector; (b) whether the Ministry is satisfied with the implementation status; and (c) whether the Ministry has any plans to encourage employers to adopt the PMBS in place of existing company-based group hospitalisation and surgical plans which are not portable for employees.

Mr Gan Kim Yong: The MediShield scheme currently already covers 93% of the resident population of working age between 21 and 65. The scheme will cover their inpatient medical needs not only in employment but also in-between employment and after retirement.

We encourage employers to make additional contribution to their employees' Medisave Account to provide them with more portable medical benefits. In 2008, 286 private sector companies made additional contributions to their employee’s Medisave Accounts, totalling about $8 million.

Employees can make use of the additional contributions in their Medisave Accounts to help defray their medical cost or enhance their insurance coverage by purchasing Medisave-approved Integrated Shield plans. In 2008, about half of the population covered under MediShield had purchased an integrated Shield plan.

The tripartite partners will continue to encourage employers to enhance the employees' Medisave savings where practical. However, we recognise that some employers and employees/unions may have concerns about replacing their existing employer-provided medical benefits with direct additional contributions to the Medisave Accounts to enhance their Medisave savings. Hence, the decision is best left to the employers in consultation with unions and employees, taking into account the needs and circumstances of the companies.