How your plan models insurance and coverage

The official rule

What does everyone pay for MediShield Life and CareShield Life?

MediShield Life premiums are set by your age next birthday and rise as you get older. For a policy that starts or renews from 1 April 2025, CPF lists these yearly premiums before any subsidies, including 9% GST:

Sources: CPF Board, MediShield Life premium table (PDF) and MediShield Life premiums and subsidies, checked 12 Oct 2026

CareShield Life covers you automatically once you turn 30, or from 1 October 2020, whichever is later, if you were born in 1980 or later. Premiums differ for men and women, and you pay them until 67, or for 10 years after you join if that ends later. You can use MediSave to pay them.

Source: CPF Board, CareShield Life, checked 12 Oct 2026

How your plan models it

What does the plan model?

Insurance shows up two ways: the real policies you’ve entered, and the ideal coverage your plan works out, so you can see what you have against it.

Every policy you enter is projected year by year for its premium (cash, MediSave or both) and its cover. For policies that build value, it also projects the cash value and payout. Separately, your plan projects your ideal death, critical illness and disability cover at every age, from your income and expenses.

The coverage rings in Protection plot your current cover, from your real policies, against that ideal line. The coverage rings on the plan dashboard are the same comparison.

How much cover does my plan aim for?

Until you change them in Protection’s “Coverage targets”, your plan applies these defaults to everyone in the plan.

Before your target retirement age, the ideal figure scales with your projected income or expenses that year. None of the four sets a target for after retirement by default. From your retirement age, the line drops to $0 across the board.

You can change the multiple and the basis (income or expenses), or set a target for after retirement, in Protection. Your settings are then sent with your plan and replace these defaults for that person.

How are the national schemes costed?

Two national schemes are costed in automatically. You don’t enter them as policies, and everyone in the plan carries both.

MediShield Life

Your plan looks up a fixed yearly premium by age band every year, stepping up with age. The last band starts at 91. This is CPF’s table from before 1 April 2025, so it is lower than today’s premium at every age: $525 against $637 at 41 to 50, for example.

CareShield Life

CareShield premiums start at age 30, with nothing charged before then. Your plan uses the female premium for everyone, men included: $263.22 a year at age 30, a fixed 2022 figure, then 2% more for every year past 30. It keeps charging that premium every year to 100, not only to 67, and charges it to people born before 1980 too.

Both schemes are paid from MediSave where possible, like any premium MediSave can pay (below). They are fixed figures you can’t edit.

How are my own policies projected?

Health and life policies carry premiums, cover and, for hospital plans, MediSave claim limits. Endowment, ILP and annuity policies build a cash value, pay out over time, or both.

Term and whole life

Premiums stay flat (0% inflation) for the term, paid in cash or from MediSave. Cover holds at your set amount until the policy ends, then drops to $0. No cash or surrender value is modelled for these policies.

Hospital

This is the one health policy type your plan grows on its own. Its cash and MediSave portions both grow 4% a year, reflecting how shield plan premiums tend to rise with age and healthcare inflation.

Accident and disability income

These are treated the same as term and whole life: flat premiums, cover held until the policy ends, and no modelled cash value.

Every health premium can be split between cash and MediSave. Anything above your age’s MediSave claim limit spills into cash for that year.

Endowment

Premiums are projected in cash only. The full maturity value lands as a one-time payout on the maturity date, or in your plan’s last year if maturity falls after age 100.

Annuity

Premiums are treated the same as an endowment. On top of any maturity value at the end, there is a monthly payout from the year you choose, for the number of years you set.

Investment-linked plans (ILPs)

This is the most detailed policy type. Each year, its value grows by your premium plus any welcome or loyalty bonuses, minus charges. The rest is invested at one of two rates you set: a “before” rate up to a reduction age you choose, then a lower “after” rate.

Only the value outside the locked-in period counts as money you could actually withdraw.

What happens if an ILP is used up early?

When cash would otherwise run short, your plan draws on your assets, and an ILP’s available value is one of them. See Cash and assets for the order. If an ILP is drawn down to zero, it lapses: every future premium, charge and bonus is set to zero, and any remaining maturity value is cancelled.

Because that can change how much cash you need later, your plan re-does the affected sums: insurance costs, yearly spending and the whole waterfall. So what you see already accounts for an ILP running out part way through the plan.