Influenza A (H1N1) covered under most existing health insurance plans

In the wake of the Influenza A (H1N1) outbreak, the Life Insurance Association (LIA) highlighted that most health insurance policies in Singapore do not exclude payments for medical costs related to pandemic influenza.

Coverage of Influenza A (H1N1) applies to Medical Expense (or Hospital and Surgical) policies including Integrated Shield Plans. As such, hospital and medication costs incurred as a consequence of H1N1 flu will be covered, up to the limits, sub-limits as well as any applicable terms and conditions stated in the policy.

All life insurance policies, such as participating policies, term policies and investment-linked policies, will pay on death or total and permanent disability due to any cause.

The LIA, which comprises the major life insurers in Singapore, nonetheless cautions policyholders not to take for granted, nor make assumptions, of the extent of medical coverage in their plans.

Its president, Mr Darren Thomson, said: This latest flu outbreak hits home the need for everyone to review their individual policies, enhance it if necessary, and, if the case may be, get a plan in place as soon as possible.

Despite the fact that we are also in the midst of an economic downturn, one should not defer getting an appropriate health insurance plan and life insurance plan that provide adequate coverage for you and your family in the event of a need for medical treatment or death.

While most health policies cover medical costs related to pandemic flu, policyholders should note that exclusion clauses in some health insurance policies can exclude Influenza A (H1N1). This applies to:

• Medical Expense policies where Influenza A (H1N1)-related costs are incurred during the quarantine or isolation period where quarantine or isolation is required by law, and
• Hospital Cash policies (or Hospital Income policy), where there is a specific exclusion of infectious diseases.

In addition, some group health policies do not provide coverage for pandemic conditions. The LIA strongly recommends all group policy administrators to review their group policy documents.

While health insurance policies generally provide coverage anywhere in the world, there are products with geographic limits. This means that treatment provided in certain countries or regions will not be covered.

Policyholders should also note that Influenza A (H1N1) is not classified as a critical illness and thus is not covered under Critical Illness policies.

Mr Thomson said that policyholders should ensure that there are no gaps in their coverage. Given that exclusions vary from product to product, we strongly urge policyholders who are unsure of what their policies cover to check with their representatives and life insurers.

It is worth repeating that protection is of paramount importance. The Influenza A (H1N1) outbreak, as was the case with SARS, is a clear reminder of the need to be prepared for the unexpected.

In line with the present Orange Alert code, the life insurance industry has taken specific precautionary measures to help ensure smooth business continuity. These are continually aligned to the prevailing recommended guidelines issued by the Ministry of Health.

For more information, please contact:

Ms Pauline Lim
Executive Secretary, Life Insurance Association, Singapore
Tel: (65) 6438 8900
Email: pauline.lim@lia.org.sg

Ms Margaret Cunico | Ms May Yang
Weber Shandwick Worldwide
Tel: (65) 6825 8007 | (65) 6825 8073
Mobile: 9277 5456 | 9782 9054
Email: mcunico@webershandwick.com | myang@WeberShandwick.com