Andrea:
So it’s watching what you spend fundamentally.  ,
Dr Lim:  ,
Definitely, because it is your own funds.  , But, because MediSave is intended to last you over a life, there will have to be boundaries and boundaries over what MediSave is ( and could ) be used for.
The health department then decides what is and is not worth paying for because we need to spread MediSave over a lifetime. From a population perspective, the ministry of health looks at it.
So I’m afraid you have to tell your neighbor that yes, MediSave can and does pay for many procedures ( and ) many tests on an outpatient basis, but it cannot be comprehensive. But this is a list that is constantly under review, so it will keep evolving, and… ( it’s ) always good to give feedback.
Andrea:
But the truth is that there will be times when we will reduce the amount we will spend on our MediSave money. What are the benefits and drawbacks of increasing MediSave consumption when it actually comes down to that?  ,
Dr Lim:  ,
Also, the benefit is that we have a nest egg that we’ve been forced to keep, which is a great thing. And ( with a ) 4 per cent interest, until interest rates came up relatively recently, MediSave was a really good deal. And I may tell my family that no one would give you a 4-percent guaranteed transfer if you had money, so instead of using MediSave, you could pay for it yourself.
But of course, this full dynamic… has changed. But actually, MediSave as the voluntary element, gives you the optionality. And one other item that’s worth noting about MediSave is that it is generational, meaning that MediSave can be used for another first-degree equivalent.