Medisave Essay

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MSA consists of Medisave. It was an initiative by the government to develop a more sustainable and affordable healthcare system where it encourages individual responsibility, increases affordability and reduce moral hazards(Hsu, 2010).
Medisave is a national medical savings scheme which helps individuals put aside part of their income into Medisave to meet their future personal or immediate family's medical bills. The advantages of Medisave are increasing affordability and accessibility of healthcare to Singaporeans throughout their life.
Advantages of Medisave
Amidst the rising healthcare costs, healthcare services remain affordable as Medisave helps Singaporeans to save up for future medical bills instead of spending their money somewhere else (Wolf, 2010). Hence, when the need arises, Singaporeans are able to tap on their Medisave account to pay for their medical bills instead of large ‘out of pocket’ payment which may be difficult for those financially strapped such as the low income groups (Abeysinghe, 2014). Medisave also
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Firstly, Medisave discriminates against those outside the work force such as people with chronic illnesses, disabilities and housewives who are unable to work (Wouters, Cylus, Yang, Thomson, & McKee, 2016). Without steady income, they are likely to use up their Medisave quickly which means that for subsequent medical bills, they have to fork out large sums of money, thus making healthcare unaffordable in the long run.

To counter this loophole, the government encourages family support as one can pull money from family members’ accounts to pay for medical bills. However, with smaller families(MSF. Ministry of Social and Family Development., 2015) , family support is reduced, especially for the elderly.(Ministry of Health Singapore, 2016) Hence, the philosophy of ‘family as key pillar of support’ is becoming less relevant with Singapore’s ageing
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