Definition of Disability Insurance
Disability insurance is a form of insurance which serves as a partial replacement for one’s income when one is rendered unable to work. Such a circumstance usually takes place due to a physical injury or ailment. In Singapore, anyone who is able to afford disability insurance is permitted to purchase it regardless of their country of origin.
There are two types of disability insurance which exists in Singapore. These are short-term and long-term disability insurance. Any foreigner who intends to purchase insurance in Singapore should consider their needs which are related to the insurance before making a purchase so that everything they require to be insured is covered at the most affordable price which can be found.
Anyone, including foreigners, who purchases disability coverage in Singapore usually ought to know that it does not serve as a complete replacement for one’s income. Therefore, one should not become overly dependent on the money which would be generated through disability insurance.
The cost of disability insurance in Singapore is dependent on one’s level of coverage, income, age, and employment status. In most cases, the cost of disability insurance in Singapore, including that which is purchased by foreigners, typically increases as one ages because the person is more likely to suffer an injury which prevents one from working in the normal manner.
Why Foreigners Should Purchase Disability Insurance in Singapore
The most important reason why foreigners purchase insurance in Singapore is to protect themselves or their dependents if they are ever rendered unable to work. Many people from all over the world have come to Singapore in order to earn a living. However, it may sometimes be the case that a foreign worker in Singapore is stricken by physical misfortune. If the injury or illness is extremely severe, it will prevent the foreigner from being in any condition to return to the foreigner’s home country in order to claim any insurance benefits. Therefore, every foreigner who lives and works in Singapore is very much advised to purchase a suitable insurance plan with benefits which may be claimed within Singaporean borders.
Nevertheless, foreigners who already possess an insurance policy from their home country might sometimes be able to claim benefits from such a policy even while they are in Singapore. For this reason, it is crucial for such foreigners to verify just how their insurance policy will be able to cover them in Singapore if it is able to do so in the first place. It is advisable for them to ask their insurer about the various insurance plans available in Singapore so that they will choose the most suitable insurance according to their personal requirements.
Foreigners who live in Singapore may either choose to use local insurance or international insurance for their disability insurance. Any foreigner who purchases a local insurance plan is required to pay a premium which differs from that which is paid by Singaporeans. Although foreigners who are living in Singapore are ineligible for the benefits which may be received through the government’s MediShield Life Coverage program as well as other government insurance programs, this fact does not prevent them from purchasing disability insurance in the country. Disability insurance in Singapore may either be purchased from either a local or a foreign insurance company which is based in Singapore.