Why Sports Lovers Need Personal Accident Insurance in Singapore
There’s no shortage of sports and exercise activities to keep you active in Singapore. From mixed martial arts and yoga to swimming to football, there’s something for everyone. But no matter how cautious you are when participating in your favourite sports and physical activities—the unexpected might still happen.
In the event that you suffer an injury, your health insurance may be able to cover a portion of your expenses if you are hospitalised —but what if you are not hospitalised or the bill is beyond your health plan’s coverage? It’s worth considering a personal accident insurance policy. With healthcare expenses in Singapore rising every year, a personal accident insurance is a vital complement to your health insurance as a guard against enormous out-of-pocket medical costs.
What Is Personal Accident Insurance?
Personal Accident (PA) insurance is a standalone policy that helps cover outpatient and inpatient medical expenses that are incurred as a result of an unforeseen accident. What makes personal accident insurance a useful policy to have is that it helps offset the financial hardship you and your family may experience as the result of your accidental death or permanent disability.
Health insurance only covers medical costs incurred while you are in the hospital, not other expenses incurred from your temporary loss of income, need for physiotherapy or other recovery treatments. PA insurance covers the hospitalisation and medical expenses caused by accidental injuries that may happen while exercising or playing your favourite sport such as physiotherapy. PA insurance also provides optional coverage for infectious diseases such as hand, foot and mouth disease and dengue fever.
If you are a sports lover in your 20s, having a PA insurance to supplement your health insurance policy is more necessary than you may think. A study on sports injuries showed that 65% of sports injuries occur in patients aged 5-24, with over 60% of all sports injuries being strains, sprains and fractures. In addition, nearly 50% of all sports injuries involved general exercise and popular sports like cycling, football and basketball.
PA policies provide several “pillars” of protection that go into effect from the moments following an accident to the confirmation of recovery, disability or death.
Pillar #1: When the accident occurs
- Medical expenses for injury due to an accident (including physiotherapy)
- Ambulance fee
- Emergency Medical Evacuation
- Diagnostic procedures and tests for broken bones and fractures
Pillar #2: Coverage for your recovery
- Mobility aids
- TCM or chiropractor treatment
- Weekly cash
- Daily hospital income
Pillar #3: Protection against longer lasting impact (long term disability)
- Permanent disability
- Home modification
- Trauma counselling and additional physiotherapy if you suffer serious permanent disability
- Accidental death
- Child support fund
Do You Really Need a Personal Accident Insurance Plan?
PA insurance isn’t just for sports enthusiasts or working professionals who have risky jobs, because no one is immune to experiencing an accident. Even someone who just does leisure jogging weekly can suffer from a fall that requires months of recovery.
The reality is that if you go to the gym, play recreational sports or participate in any exercise activity, it might be considered “low risk” but there is no guarantee that’s it’s “no risk”. And medical expenses for sports-related injuries such as bone breaks and fractures can easily surpass $20,000. For example, the medical bill for treating a broken collarbone at a private hospital or clinic costs more than $23,000. And that doesn’t include additional medical-related expenses such as ambulance fees, mobility aids, diagnostic procedures, Traditional Chinese Medicine (TCM), physiotherapy and daily hospital income. This makes complementing your health insurance with PA insurance even more necessary for reducing any financial hardships you may face during your treatment and recovery.
Here’s a simple real-world example of why having personal accident insurance to complement your health insurance plan is a smart choice.
Scenario: An unexpected fall leads to hospitalisation
Bryan, a 25-year old sales representative and sports lover, suffered an unexpected leg fracture while playing his weekly game of football with friends. He was taken to the hospital in an ambulance and was admitted for further checks.
After visiting a panel doctor, he learned that he would be required to stay at a hospital for eight days, and was given 11 weeks of medical leave to recover. The total bill for his hospitalisation and treatment was $25,000.
Here’s a quick breakdown of how Bryan was able to minimise the financial impact of this bill by having Income’s Enhanced IncomeShield with the Deluxe Care Rider and PA Assurance Plan 2.
|Admission & Hospitalisation|
|Coverage||Claimable with Enhanced IncomeShield?||Claim with PA Assurance?|
|Ambulance fee||No||Yes ($200)|
|Hospitalisation & treatment at Private Hospital||Yes
($19,350 under the Preferred Plan; $4,400 under Deluxe Care Rider)
|Yes ($1,250) for balance not claimable under EIS|
|Daily Hospital Income||No||Yes (8 days x $200/day = $1,600)|
|Weekly Cash||No||Yes (11 weeks x $200/week = $2,200)|
Having PA Assurance can make a big difference in covering the cost of Bryan’s medical bill, and can help reduce out-of-pocket expenses. With the Deluxe Care Rider, co-payment of the total bill is capped at 5%—which is $1,250. This amount is easily covered by PA Assurance, which provided the following payouts to cover other expenses incurred during each stage of his recovery:
Admission & Hospitalisation - $25,000
Hospitalisation and treatment at a Private Hospital: $19,350 + $4,400 + $1,250
Additional claimable amount of $4,000 for the following:
- Ambulance fee ($200)
- Daily hospital income ($1,600)
- Weekly Cash ($2,200)
Total claimable amount: $29,000
After his discharge from the hospital for his leg fracture, Bryan visits a non-panel doctor incurring an additional $650 as follows:
- Mobility aids ($250)
- Physiotherapy ($250)
- TCM ($150)
|Discharge & Recovery|
|Coverage||Claimable with Enhanced IncomeShield?||Claim with PA Assurance?|
|Mobility Aid||No||Yes ($250)|
|Physiotherapy||No||Yes ($250) – claimable under Medical Expenses coverage|
|Traditional Chinese Medicine (TCM) or Chiropractor||No||Yes ($150)|
Total claimable amount: $650
PA Assurance provides another additional layer of protection that can also relieve long-term financial hardship in the event that you suffer an unfortunate accident or illness. In the event that you experience a long recovery period, permanent disability or even death—your beneficiaries can receive a lump sum payout of up to $1.5M to ensure they are well provided for.
Ready to Learn More About Income’s Personal Accident Plans?
Having the right personal accident insurance coverage to protect you from an unexpected injury is important, as medical costs are rising every year from medical inflation. With the combination of PA Assurance and Enhanced IncomeShield, you can get comprehensive protection that enables you to choose your own doctor from a panel of professionals, seek care in a public or private hospital, upgrade your ward and get reimbursed for a wide range of medical expenses.
These policies can give you greater peace of mind knowing that you can get the best possible care in the event of an accident while minimising the financial impact of healthcare costs. Learn more about how Income’s PA Assurance can help protect you from the unexpected. You can also visit Adviser Connect to speak to a trusted expert about these plans.
This article is meant purely for informational purposes and should not be relied upon as financial advice. The precise terms, conditions and exclusions of any Income products mentioned are specified in their respective policy contracts. For customised advice to suit your specific needs, consult an Income insurance advisor.