There are a few things to think about if you’re changing jobs in Singapore. One is the insurance coverage gap. For example, before you start your new job, you might find yourself waiting for paperwork such as an Employment Pass to be processed. If you’re moving jobs within a competitive industry and are granted a period of “gardening leave”, corporate insurance stays active during that leave because you’re still on the payroll. But there is a gap from the day the gardening leave ends until your new job starts.
If you or a family member has an accident, falls ill or needs to see a specialist between one job ending and another starting – even if that gap is only a couple of days – you’re not covered. And, as we know, medical costs in Singapore are high.
Singapore Citizens and Permanent Residents are covered by MediShield Life whether they’re working or not. But there’s not the same safety net for those on Employment Passes, S Passes or Dependant’s Passes.
Let’s look at some frequently asked questions on this topic – and some solutions.
Does my health insurance automatically transfer when I change jobs in Singapore?
If you have group health insurance, the moment your contract ends, whether you resign or are made redundant, you are normally not covered by your employer’s group plan.
Is it okay to go without medical insurance cover for a few days?
We usually think we will be fine for a short while, but an accident or sudden illness is never on anyone’s radar or in anyone’s plans. If a medical condition crops up while you’re uninsured during a coverage gap and it becomes an ongoing concern, a new insurer may deem this to be a “pre-existing condition” when you later apply for personal health insurance.
This can lead to several negative outcomes for your future health insurance coverage, including:
- Exclusions: The insurer may refuse to cover treatment related to that specific condition.
- Premium loadings: You might be charged higher premiums because of the condition.
- Reduced coverage: The insurer may provide restricted coverage for the exact issue you now need to be covered for.
Essentially, this gap between jobs is not just a time of no insurance; it’s a window where your future insurability can be negatively impacted.
So, what should a person do when they’re changing jobs?
Here are 5 steps you can take.
#1 Evaluate your current plan
Before handing in your notice, check what your current employer’s international medical insurance covers and when it ends. Verify if any personal health insurance you currently hold is adequate as standalone coverage.
#2 Verify details of your new plan as soon as possible
Confirm the details of your new employer’s insurance plan before your start date, specifically looking at limits, networks, family coverage and how pre-existing conditions are handled.
#3 Do not assume continuity
New medical insurance policies do not automatically cover the same conditions, family members or healthcare providers as your previous plan. Explicitly compare the two plans to identify potential gaps before making changes.
#4 Maintain overlapping coverage
Do not cancel or reduce any existing personal cover immediately when your new group plan begins. Consider keeping your personal plan for a period of time to properly compare the plans and ensure you understand what the new one covers.
#5 Consider top-up or international medical insurance
Top-up plans sit on top of your employer’s plan to extend limits and fill gaps, and they continue independently if you leave your job. For those who move between countries, International Health Insurance (IPMI) provides a portable solution not tied to any single employer, country or local system.
What if I already have personal health insurance?
If you have private cover, ensure that your policy is up to date, that premiums are being paid directly by you rather than your employer, and cover is sufficient for any significant medical issue, hospitalisation or specialist treatment. The good news is that changing jobs won’t affect a personal health insurance plan, so your cover continues without interruption.
If you are in an insurance gap now and don’t have personal health insurance, it’s a good idea to take out cover immediately. Premiums for a short-term or even annual personal health plan will be a lot less than paying for any procedures or hospital visits in Singapore.
As mentioned in point #4, above, it’s a good idea to keep personal cover going for a period of a few weeks after you start a new job. This way, you can compare and contrast plans, get to know your new cover, and work out if there are any gaps you feel need to be filled.
How does a top-up health insurance plan work?
Top-up health insurance complements the existing cover provided by your employer, by increasing limits and helping to fill any gaps. Depending on the product, when you leave your job, the policy will continue independently, providing cover during the transition. The conditions covered by the policy from day one can also remain covered regardless of changes to your employment. Dependants can be covered individually, too. This means that cover for family members doesn’t hinge on your employment status.
Depending on how old you are and how much cover you request, a top-up plan can cost from around a couple of hundred dollars a month. Since a hospital admission can cost tens of thousands of dollars, it makes financial sense to have additional protection in place.
What about global health insurance for expats?
If it’s likely you’ll be relocating to a new work post internationally within the next few years, International Private Medical Insurance (IPMI) can be a useful option. Because it’s a fully portable plan – purchased once and renewed annually – it provides reliable, continuous coverage that remains stable even when you switch jobs or countries.
If you have more questions, or would like a quote, please get in touch.
Written in collaboration with Pacific Prime:
18 Cross Street, #09-02, 18 Cross
6346 3781 | pacificprime.sg
