Originally posted by oxford mushroom:
The usual bunch of losers ranting again, then run away when they lose the argument....
SingaporeÂ’s 3Ms plan has some glaring contradictions. Because our
health declines as we age and health spending increases accordingly, any
compulsory savings scheme based on the principle of self-reliance should
ask people to save as much as they can during their working years for
their health- and long-term-care costs, particularly the high costs after
retirement. However, Medisave caps the balance in the medical savings
account to a maximum amount. This amount is not sufficient
to protect the elderly who have serious chronic diseases and need
surgery. Moreover, CPF allows participants to withdraw their savings
savings at age Sixty-two (now sixty-five), leaving only a tiny balance in the account. These features defeat the whole purpose of compelling people to save so that they have the financial means to be responsible for their own health expenses.
Private insurance schemes tend to select healthy people to insure and
exclude those who need more health services. Often a nation justifies
using a public monopoly to provide health insurance to avoid this risk
selection. Public monopoly also pools the risk nationwide. The Singapore
government created the MediShield as a public monopoly, insuring its
citizens for a part of their catastrophic medical expenses. Yet MediShield
adopted the risk selection practices of private insurance schemes by
excluding as enrollees persons aged seventy and older and by not covering
some expensive services, such as treatments for congenital abnormalities,
mental illness, and HIV/AIDS (Central Provident Fund 1999).
These restrictions contradict the rationale for using a public monopoly to
provide catastrophic insurance and defeat the purpose of insurance.
These irrational practices leave those who need risk protection the most
without insurance coverage. Those who canÂ’t afford to pay have to forgo
medical care or plead for public charity.
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