Broadly, there are 2 types of H&S plans: (1) Guaranteed renewable plans and (2) Non-guaranteed renewable plans (where the insurer reserves the right to cancel the policy)

The last entry age can range from 60 to 65 and the medical cover can be renewed up to age 75 or 80. However, most plans will not renew coverage after age 65 or 70.

It's important to note that even during the protection period, not all medical expenses are fully covered. It varies among policies and usually depends on the type of surgery. Your insurance contract may state the compensation you'll receive for different types of surgeries. However, there are also plans which do not have a surgical schedule but will cover up to annual or lifetime limits.

There are MediShield-type plans offered by private insurers which are subject to guidelines from the Ministry of Health (MOH). These plans usually come with co-insurance and deductible features. For such plans, Medisave funds can be used to make purchases, up to certain limits.

Most of them also allow you to renew coverage up to age 85 and some might even extend coverage to 99. However, they also have claimable limits and some benefits (eg. ambulance fees) cannot be offered under such plans.

For plans with co-insurance, and deductible features, you may still have to pay a sizeable portion of the claim*. Nevertheless, it still provides you good coverage even when you are old and no longer insurable.

Also, recently designed medical plans come with yearly and life time limits. This means that for large medical bills that surpass the limit, the insured individual will still have to bear some medical cost.

* There are riders available to cover this deductible and co-insurance payments but they will require you to fork out additional premiums and this have to be paid with cash.

There are critical illness insurance plans that payout huge lump sums to individuals upon claims. These are intended to pay for expensive medical treatment, post hospitalization treatment and adjustments to the current lifestyle.

The Life Insurance Association allows individual insurers to cover up to 30 major illnesses. Excluding the five most important illnesses; heart attack, cancer, stroke, coronary bypass and kidney dialysis; coverage for all other illnesses can vary from one insurer to another. This is because the probability of contracting these illnesses is much smaller than the five key ones.

With medical advances, critical illness claims have become more stringent. This is because with new medical discoveries, illnesses which were deemed critical in the past are now no longer seen as critical. As such, the definitions for critical illnesses may be subject to change over time.

As premiums for critical illness coverage is not cheap, it is best to purchase such plans when you're young. With age, you become more prone to such illnesses, hence the cost for such plans also increase with age. Insurers may also be reluctant to offer coverage for older people, especially those with a chequered medical history. This is because the probability of making a claim is higher for these individuals.

The first kind covers you, as long as the main policy is still in force. If the main policy is a whole life insurance policy, you will be covered up to age 99. A lump sum is payable either upon a critical illness claim or death claim, whichever come first.

For policies where critical illness is an additional benefit, a specific lump sum is payable upon a critical illness claim but what is different is that the main policy remains intact. For such policies, critical illness coverage is usually up to age 70 at most.

Often it's asked what amount of critical illness coverage is deemed to be adequate. There is no standard answer for this question. Much depends on the individual and the extent of coverage that's desired.

For example, an individual with a family history of certain critical illnesses may seek greater coverage in his younger days, when he is still healthy. The amount you will require, if you are afflicted with illnesses, depends on the nature of these illnesses and how extensive your treatment will be.

Most financial planners however will recommend their customers buy coverage of at least S$300,000. Most individual insurers will not accept coverage of more than $1 million per person.

Another important point to note is that for prevailing critical illness plans, hospital and surgical plans, etc., the amount of premiums you'll need to pay is usually not guaranteed. Hence the insurers may have the right to increase your premiums at its discretion.

When you are old, there is a risk that you may no longer able to perform basic daily activities like maintaining your personal hygiene, moving about, feeding yourself, etc..

When this happens, you will probably require nursing care which can be costly, especially if you choose to admit yourself into a private nursing home. There are public ones, but they are usually in high demand and may be fully occupied. Hence, the waiting time can be very long.

Insurance companies do provide coverage for such eventualities. The CPF Board has also arranged for its members to enjoy basic long term care coverage provided by two insurers. The benefits are basic but it is still something that can come in handy when you need it.

It's clear that even though there are insurance plans which offer you medical protection in your old age, these plans have restrictions which may limit the extent of your coverage.

For plans that offer you coverage even during your retirement, there is still the issue of having to fork out premiums in your old age, even though you may not be earning a regular income.

How then do you ensure that you will have a regular stream of income to help you make payments for your insurance premiums?

One solution is to purchase an annuity plan which guarantees annuitants a fixed income payable monthly until death. This guarantee is a good hedge against longevity.