Reduction in Home Protection Scheme Premium from 1 July 2018

Home Pro­tec­tion Scheme (HPS) is an term-redu­cing mort­gage insur­ance man­aged by CPFB that will help HPS mem­bers to pay off the hous­ing loan in the event of death, ter­min­al ill­ness or total per­man­ent dis­ab­il­ity. It insures mem­ber up to 65 years old or until the loan is paid up, whichever is earli­er.

510,000 CPF mem­bers will pay less for their Home Pro­tec­tion Scheme (HPS) premi­um from 1st July 2018 onwards, when their insur­ance is due for renew­al. This will bene­fit 95% of the HPS mem­bers, with three quar­ters of them get­ting reduc­tion of at least 10% from their exist­ing premi­ums. The last reduc­tion in HPS premi­um was done in 2012.

Just to recap, CPF mem­bers have to be insured under HPS if they are using CPF sav­ings to pay for the hous­ing loan for their HDB flats. How­ever, they can choose to buy mort­gage insur­ance from private insurer as long as they can ful­fill the cri­ter­ia man­dated by CPFB. Vis­it HPS web­site to find out more.