Is Your Company’s GHS Plan Strong Enough?
If you’re reading this, chances are your company already has Group Hospitalisation Insurance (GHS) in place. That’s a good start.
But here’s the question HRs often forget to ask:
“Does our plan actually protect our staff — or is it just there to tick a box?”
In Singapore, it’s common for businesses to choose GHS based on lowest cost or a generic corporate bundle. But when a serious hospitalisation or outpatient issue arises, that’s when the true strength of the plan is tested.
1. Coverage Limits: $10K Sounds Okay — Until It’s Not
Many basic GHS plans cover inpatient care up to $10,000 or $20,000 per year. It sounds generous — until you see the cost of a 3-day stay at a private hospital or a minor surgery.
A single hospitalisation can easily cross that threshold, especially for:
- Day surgeries
- Emergency admissions
- Specialist-driven treatment plans
And unless there’s a pre/post-hospitalisation benefit, diagnostic scans and follow-up visits are on the employee.
2. No Outpatient = More Pressure on HR
Some companies skip outpatient riders to save a few dollars. But that often backfires:
- Employees push claims to HR through ad-hoc allowances
- Staff delay treatment, worsening conditions
- Morale dips when benefits feel incomplete
GHS plans with panel GP and specialist outpatient coverage reduce admin workload and support early care intervention.
3. Panel Limitations: Are You Sending Staff in Circles?
Cheap GHS plans often come with limited hospital or doctor panels. That means:
- Fewer clinic choices
- Longer waiting times
- Claims rejected due to out-of-network treatment
A plan is only useful if it’s accessible when staff actually need it.
4. Employee Type Mismatch: One Plan Doesn’t Fit All
We’ve seen companies offer the same GHS to all — but that can be a mistake.
- EP holders might need stronger private coverage
- S Pass/WP holders may already be covered by FWMI — but need outpatient add-ons
- Singaporeans/PRs with Shield Plans may want a complement, not overlap
An effective GHS strategy layers on top of what each group already has, instead of applying a one-size-fits-all approach.
5. Premium vs Value: Are You Saving or Just Exposing?
Choosing the cheapest GHS plan might save a few hundred dollars a year. But the cost of an uncovered claim, the reputational hit, or the HR fire drill can far outweigh the savings.
If the plan doesn’t reduce admin load, enhance staff satisfaction, or actually protect in a crisis — is it really saving anything?
In A Nutshell
Having a GHS plan is good.
Having one that’s fit-for-purpose, realistic, and HR-friendly is better.
Your employees won’t ask about policy caps or panel lists today. But when someone gets hospitalised, the gaps become real — fast.
Need a second opinion on your GHS plan?
Let us do a quick, no-obligation review. We’ll help you spot gaps, optimise your spend, and build benefits your team will actually use.
👉 Book your GHS plan audit here
FAQs
Q: Is Group Hospital Insurance mandatory in Singapore?
A: No, it’s not mandatory for all employees, but strongly recommended. Only Foreign Workers on Work Permits and S Passes require mandatory FWMI.
Q: What does a good Group Hospital Insurance plan cover?
A: It typically includes inpatient coverage, day surgeries, and optionally outpatient GP, specialist consultations, and pre/post-hospitalisation treatment.
Q: Can Employment Pass holders get covered under GHS?
A: Yes, but they are not automatically covered under any government scheme. GHS is often their only source of hospital coverage unless they purchase private insurance.