Insurance isn’t something most of us love talking about, and long-term care insurance? That’s even further down the list. But with Singapore’s rapidly ageing population and rising care costs, it’s becoming something we can no longer afford to put off.

Whether you’re curious about CareShield Life – our national long-term care insurance scheme – or looking into CareShield Life supplements like Singlife CareShield Standard or Plus, it’s easy to get overwhelmed by the fine print.

So, if you’re sitting down with a financial adviser representative or just doing your own homework, here are seven key questions that can help you figure out what kind of long-term care coverage you actually need, and how various plan benefits and features work. 

Here’s what we’ll cover in this article:


1. How much coverage do I really need?

2. Should I go for level or escalating payouts?

3. Can I get payouts for mild disability, or only severe ones?

4. Can I stack more than one CareShield Life supplement?

5. Will my premiums go up as I get older?

6. What happens if I recover after making a claim?

7. What if my financial situation changes – can I pause, cancel or reduce my premiums?

1. How much coverage do I really need?

Seeing how a relative struggled to care for her elderly mother who had lost her foot to gangrene, a diabetes complication, made me realise that long-term care isn’t about paying for nurses. It’s about preserving my own family’s quality of life too. I want to ensure that should I become severely disabled, they will have the resources to get professional help and don't have to sacrifice their own futures. That’s why figuring out how much long-term care coverage to get is important.

CareShield Life payouts start at S$662/month in 2025, but the latest research findings from Singlife’s Long-Term Care White Paper show that actual care costs can go up to around S$3,000/month or more, depending on the level of help you need. That’s a pretty big gap. Plus, costs can increase over time, at a rate of 4% inflation¹. 

When deciding on the coverage you need, think about this:

• Do you want to just offset the basics (e.g., part-time care), or
• Be able to fully fund private nursing or round-the-clock support?

Aside from the cost of care itself, you may be concerned about the impact of income loss on your ability to continue providing for your dependants, especially if disability occurs during your working years. Family caregivers may also have to cut back on work hours to provide care. So, you’ll need to take a holistic approach when deciding on the coverage you need. Certain CareShield Life supplements offer additional benefits to support caregivers and dependants.

Personally, I’ll be buying my CareShield supplement when I turn 30 next year to lock in lower premiums.

🗨️ Ask your financial adviser representative: Based on my lifestyle, savings and family responsibilities, how much monthly benefit should I aim for?

2. Should I go for level or escalating payouts?

Inflation affects every aspect of our lives, perhaps healthcare most of all. While I understand the importance of factoring it in when deciding on my monthly long-term care benefit, I’m also mindful about premium affordability in old age, especially since I hope to retire by 55. 

There are different types of long-term care insurance payout structures which can affect how your benefits keep pace with rising care costs over time. For instance, escalating payouts, which increase annually and come with increasing premiums, can help protect your purchasing power decades from now while level payouts, which are fixed and come with consistent premiums, offer predictability which might make more sense if you’re doing monthly budgeting and want to know how much in premiums you’ll be paying. Picking the right option for you ensures your coverage stays both relevant and affordable.

Under the national CareShield Life scheme, payouts start at a base amount, which was S$600 monthly in 2020, and increase annually until a claim is made. From 2026, payouts will increase at an enhanced rate of 4% per year, up from 2% currently. An individual who makes a successful claim in 2025, will receive up to S$662 per month, and in 2026, the amount will rise to S$689. The annual rate of increase is standard for all Singaporeans; there are no options to choose from. 

Meanwhile, CareShield Life supplements give you the option to not only choose your payout amount but also a choose between level and escalating payouts. For instance, with Singlife’s CareShield Life supplements you can choose either fixed payouts or escalating payouts that grow at 2% or 3% annually. 

So, what’s the difference?
 

• Level payouts stay fixed – ideal if you prefer certainty.
• Escalating payouts grow over time, helping to keep up with inflation. 

🗨️ Ask your financial adviser representative: Based on my age, budget and lifestyle, which payout type makes more sense for me?

3. Can I get payouts for mild disability, or only severe ones?

I used to think of disability in very severe terms, but this changed when a friend's father had a bad fall and couldn't bathe or dress himself for months. He didn’t fit the general definition of “severely disabled” but his life was completely upended. Seeing that made me think about the in-between stage. Getting financial help sooner for just one or two physical limitations could mean the difference between a downward spiral and a supported recovery.

CareShield Life pays when you’re unable to perform three or more Activities of Daily Living (ADLs) like feeding, dressing or going to the toilet.

However, CareShield Life supplements offer earlier payouts, starting when you have just one or two ADL limitations.

This could help in various ways:

• Getting help sooner provides crucial support during a difficult adjustment. When you suddenly struggle with a daily task you’ve always taken for granted, it can be a huge blow to your confidence. An early payout for a part-time caregiver can help ease this transition and preserve your quality of life. 
• Having funds for home modifications (e.g., portable toilet chairs), transport or intensive rehabilitation). In many cases of sudden-onset disability, such as following a stroke, early and intensive rehabilitation has been shown to help restore an individual’s mobility significantly.
• Caregiving often falls on family members, not professionals. Singlife research found that 2 in 5 dementia caregivers struggle with their own emotional wellbeing², a burden made heavier by the financial and physical demands of care, especially as families get smaller and support ratios decline.

Of course, more generous definitions tend to come with higher premiums.

🗨️ Ask your financial adviser representative: Does early-stage disability coverage matter for my situation? How much would it cost?

4. Can I stack more than one CareShield Life supplement?

Yes, you can. And it can be a smart way to build up your coverage over time. As someone who's still building my career, the idea of committing to a high premium for a higher coverage over the next 30 years feels daunting. Knowing that I can start with a foundational plan now and add another layer of coverage later when my income grows makes the whole process feel much more manageable. It’s like financial planning in building blocks instead of one giant leap.

For example:

• In your 30s, you could start with a basic plan with a lower monthly benefit.
• Later on, when your income increases, you could add on a second supplement to boost your payout without needing to cancel or upgrade your original plan. 

🗨️ Ask your financial adviser representative: How can I take a step-by-step approach to my long-term care planning?

5. Will my premiums go up as I get older?

CareShield Life premiums rise slightly with age until they’re fully paid at age 67, but you’ll continue to be covered for life.

I'm the kind of person who budgets for most things, so I personally prefer the certainty in knowing how much in premiums I need to pay . While a cheaper premium today is tempting, I lean towards locking in a level premium now. Who’d want to worry about affordability down the road when planning for retirement?

When it comes to CareShield Life supplements, it’s important to know this about pricing:

• Some offer level premiums, which stay the same throughout your coverage period.
• Others require you to top up a little more every renewal period for escalating monthly benefits (2% to 3%). 

🗨️ Ask your financial adviser representative: Is it better to lock-in a higher, fixed premium now or top up a little more every year for escalating monthly benefit (2% to 3%)?

6. What happens if I recover after making a claim?

Disabilities aren’t always permanent, and some severely disabled people regain partial or full independence with intensive rehabilitation.

This question brings a mix of hope and pragmatism for me. Of course, the goal after any disability is to recover. But recovery isn't always linear. Knowing that my policy doesn't just end after one claim is crucial, and having the peace of mind that the safety net I've paid for will still be there to catch me is crucial.
 

• With CareShield Life, payouts stop if you recover and no longer meet the disability criteria (i.e., you can now perform three or more ADLs).

🗨️ Ask your financial adviser representative: What happens to my plan if I get better, and can I claim again if my condition worsens later?

7. What if my financial situation changes – can I pause, cancel or reduce my long-term care premiums?

Let’s be real. Life doesn’t always go as planned, and most insurance plans aren’t like our Spotify subscriptions. I've seen friends deal with unexpected job losses or decide to take one-year sabbaticals. It’s a reminder that my financial situation in 10 years could very well be different. That’s why a plan's flexibility is a huge factor for me. I need to know that if I hit a rough patch, I have options to reduce my coverage without losing it completely. A plan that can adapt with me feels much safer.

MediSave fully covers CareShield Life premiums, and subsidies and support are available to ensure they remain affordable. Supplement premiums can also be paid using MediSave, up to a limit of $600 per calendar year per person insured.
 

• If you stop paying your premiums, your plan will lapse after a short grace period. You’d need to reapply from scratch later with new underwriting and higher premiums based on your age.
• Some insurers (like Singlife) allow you to downgrade your coverage to reduce your premiums (e.g., by reducing your monthly benefit*).

🗨️ Ask your financial adviser representative: If I lose income or retire, can I reduce my premiums without losing coverage?

Bonus: Does my plan cover overseas care?

Like many Singaporeans, I sometimes dream of retiring in a quieter place overseas. If I’m paying for long-term care coverage for decades, I want to be sure it will support me wherever my retirement plans might take me.

CareShield Life benefits take the form of cash payouts which you can receive even if you live overseas, but you need to notify them and complete a disability assessment with an MOH-accredited assessor while abroad.

Most supplements, including Singlife CareShield Standard and Plus, follow similar rules but you’ll want to check on the specifics of how to make a claim while staying abroad.

🗨️ Ask your financial adviser representative: If I live or retire overseas and become disabled during that time, will I still be eligible for payouts? How does the claims process work?

Final thoughts

Long-term care insurance isn’t just about planning for old age – it’s about making sure you and your loved ones don’t have to scramble for options if the unexpected happens.

The good news? You don’t have to make all the decisions right now. But the earlier you start, the more flexibility and affordability you’ll have.

And when in doubt, just ask.

Notes
1. Source: Singlife, "From awareness to action: Securing long-term care for a super-aged society".

2. Source: Singlife Dementia Care Survey 2024.

*T&Cs apply.

You need to have a CareShield Life (CSHL) or ElderShield (ESH) policy before you purchase Singlife CareShield Standard or Singlife CareShield Plus (“Supplements”). 
Supplements purchased by CSHL policyholders are regulated under the CareShield Life and Long-term Care Act. Supplements purchased by ESH policyholders 
before the transfer of ESH to Government administration are considered ESH Supplements, which are regulated under the Central Provident Fund (Withdrawals 
for ElderShield Scheme) Regulations. After the transfer, they are considered CSHL Supplements, regulated under the CareShield Life and Long-term Care Act. 
Buying a health insurance policy that is not suitable for you may impact your ability to finance your future healthcare needs.