Expat’s guide to health insurance in Singapore

If you’ve only got a minute:

• Expats in Singapore aren’t covered by the national hospitalisation insurance MediShield Life, so personal insurance is essential to defray high out-of-pocket medical expenses. 
• Supplement company insurance with your own health, life and critical illness coverage, especially if you have dependants, plan to stay here long-term, or want higher policy limits. 
• Compare local and international plans, understand the inclusions and exclusions, and buy coverage early to ensure peace of mind. 

So, you just arrived in Singapore to live and work. If you’re here on a job posting, chances are your employer may provide some form of corporate health insurance or an international medical plan.  

But it still begs the question of whether the cover is enough. Do I need to get my own insurance? Will my family be in financial distress if I am hospitalised? 

Whether you’re staying short-term or settling in for the long-run, this article serves as a guide to navigate the insurance landscape in Singapore and highlights why it’s important to get the right coverage from the moment you arrive.  

How the Singapore healthcare & insurance system work

Singapore operates on a public-private hybrid healthcare model. Public hospitals are affordable and well-run, while private clinics offer personalised services. Although this system is one of the best in the region, it’s also designed with Singaporeans and Permanent Residents (PRs) in mind. 

The Central Provident Fund (CPF) is a mandatory savings scheme for citizens and PRs. CPF contributions help fund MediShield Life premiums, which is the basic universal health insurance that covers large hospital bills and costly treatments.

If you are an expat, you likely don’t contribute to CPF, which means you’re not automatically enrolled in MediShield Life or its add-ons such as Integrated Shield Plans (IPs).  

IPs  provide additional coverage for outpatient hospital services in Class A or B1 wards in restructured and private hospitals. It also offers riders to cover the cost of the deductible (the fixed amount you must pay before your insurance kicks in) and co-insurance (the percentage you must pay after your insurance kicks in), subject to a limit.

In the event of an emergency such as a major surgery, you’ll need to fork out cash. And it can get costly without insurance coverage.  

Thus, you should consider getting personal health insurance to avoid hefty medical bills, especially if you plan to use private hospitals or opt for higher ward classes.

What types of insurance should expats consider?

Health insurance

If your priority is to defray large medical bills in case of hospitalisation, then you need to consider a hospitalisation plan. Some expats rely on their employer’s group insurance plan, while others buy their own health policies — either local or international.  

Local plans tend to be more affordable and tailored to the Singapore healthcare system. This is a great option if you’re here long-term. On the other hand, international plans offer broader coverage, which comes in handy if you travel often or want access to hospitals back home. These plans often allow you to seek treatment in multiple countries and are designed with mobility in mind.  

The key drawback of an international health plan is the cost. Due to its comprehensive coverage, the cost is much higher than local health insurance, which comes up to the tune of S$3,000 to S$6,000 per year for a 30-year-old individual, and even higher for families. In contrast, an IP that covers private hospitals costs $900 per year.

To avoid the high cost, expats who are non-PR and on valid long-term visit pass /work can still buy IPs from local insurers, which help minimise out-of-pocket expenses so you can focus on recovery especially if you plan to stay in Singapore long-term and mainly need coverage locally.

Comparison of local and international health insurance for expats

Type of health insurance	Local	International
Coverage area	Primarily within Singapore and emergency overseas treatment.	Worldwide/multiple countries, often including home country
Who is eligible	SCs, PRs, and expats (with valid passes)	Tailored for globally mobile individuals (expats, frequent travellers)
Cost/Premium	Generally more affordable	Typically higher due to broader coverage
Hospital Access	Covers public and private hospitals within SG	Covers hospitals globally, including private international hospitals
Who is it suitable for	Expats staying long-term or with PR status; those primarily seeking care in SG	Mobile professionals, frequent travellers or those wanting global coverage and flexibility

 

Life Insurance

For those with financial obligations like a mortgage or dependants relying on their income, life insurance is essential. Life insurance covers death and Total Permanent Disability, so that your dependents will have a sum of money to rely on for daily living when the insured can no longer work.  

The 2 primary types are Term and Whole Life. Term life insurance provides coverage for a specified period (for e.g. 10, 20 or 30 years) and is generally more affordable. Whole life insurance, conversely, combines lifelong coverage with a savings component but at a higher premium.  

Critical Illness (CI)

Many expats often overlook CI coverage because they assume their current hospitalisation plans will suffice, but both plans serve different purposes.  

CI pays a lump sum upon diagnosis of a major illness, such as cancer, stroke or heart disease – conditions that can potentially disrupt your ability to work. It is recommended that you have CI coverage of 4 times of your annual income which can help cover not only treatment costs, but also income replacement, alternative treatment costs and lifestyle adjustments.

Employer-provided coverage often excludes or limits CI benefits. Having your own insurance plan gives you more control over the payout size and ensures protection even if you change jobs. 

Other insurance plans to consider  

• Travel Insurance: Useful for frequent travellers  

• Home Contents Insurance: Protects your belongings from fire, theft or water damage 

• Personal Accident Insurance: Covers medical expenses and other related costs arising from accidents and even some infectious diseases   

What if I am relying on company insurance? What to watch out for? 

Group insurance from your employer may be a good starting point, but it comes with limitations.  

Firstly, coverage ends when you leave your job. Your family members may not be included in the plan and benefit caps may be insufficient to cover major surgeries or critical illness.

It’s a good idea to request for a copy of your policy and understand exactly what’s covered and what’s not. You might want to consider supplementing with personal insurance if you have children or a partner with you in Singapore, want continuity of coverage even if you change jobs, or if you prefer private hospital coverage or want higher policy limits.  

Buying insurance in Singapore: what to expect

A few key things to check before you buy: 

• Does the plan cover pre-existing medical conditions? 

• Is a medical check-up required? 

• Is there a waiting period before coverage kicks in? 

• Is there international portability, in case you relocate? 

Look for insurers with strong hospital networks and experience dealing with expat clients. This can save you time and stress when you need care. 

Before signing anything, be sure to do the following:  

• Read the product summary carefully. Don’t rely solely on verbal explanations. 

• Clarify inclusions and exclusions. Some plans exclude dental, maternity or psychiatric care. 

• Compare a few providers to find the best fit. 

• Ensure your financial adviser is MAS (Monetary Authority of Singapore)-licensed. 

• Tailor your policy to your lifestyle. Do you travel often? Are you here with family? 

• Buy coverage early — don’t wait until something happens. 

 

In summary, moving to a new country brings new adventures, but also comes with new risks. When it comes to healthcare, the last thing you want is to be unprepared. While Singapore’s medical system is excellent, it’s not subsidised for most foreigners. That’s why getting comprehensive hospitalisation coverage early is key.

Whether you’re planning to stay for 2 years or 10, having the right insurance means you can focus on enjoying your new life here without the “what-ifs” hanging over you.   

Ready to start?

Check out digibank to analyse your real-time insurance coverage. The best part is, it's fuss-free - we automatically work out your gaps and provide planning tips.

Plan with DBS  Plan with POSB

Speak to the Wealth Planning Manager today for a financial health check and how you can better plan your finances.

Let's Meet

Disclaimers and Important Notice
This article is meant for information only and should not be relied upon as financial advice. Before making any decision to buy, sell or hold any investment or insurance product, you should seek advice from a financial adviser regarding its suitability.