Types of insurance for your home

Types Fire insurance Mortgagee interest policy (MIP) Home content insurance Mortgage reducing term insurance Home Protection Scheme (CPF) 
Who should buy HDB Fire Insurance Scheme
The HDB Fire Insurance Scheme helps to relieve flat owners of the financial burden of reinstatement work in the unfortunate event of a fire.

If you are currently an HDB flat owner with an HDB loan commencing on or after 1 Sep 1994, you are required to buy and renew the HDB fire insurance for your flat with HDB’s appointed insurer as long as you have an outstanding HDB loan.

Even if a flat owner is not required to do so, he or she can also buy the HDB fire insurance on a voluntary basis.

For more information on the HDB Fire Insurance Scheme, please visit HDB’s website (link).

Private apartment (with strata title)
The condo MCST is required to insure the entire property, but this may not cover improvements to individual units. Such owners should consider getting coverage for improvements to their own units

Landed property
Up to owner to assess and decide.
All properties
If your property is mortgaged to a bank, you may be required to take up an MIP.

Properties with strata title & MCST
The policy taken out by the MCST does not cover the bank’s interest in the property. If there is a failure to service the loan as a result of the damage to the mortgaged unit, the bank can make a claim on the MIP. The MIP protects the interest of the bank.


Where there is a claim by the bank for full repayment of the outstanding amount, you will need to repay this amount to the insurer. Where the bank claims for partial repayment of the outstanding amount, you will need to repay the insurer for the amount claimed by the bank, as well as to the bank for the remaining outstanding loan amount.

Not all banks require a housing loan customer to take up an MIP. Borrowers are encouraged to make comparisons across different banks and take up a mortgage product that best suits their needs.
Up to owners of all properties Up to owners of private properties with existing mortgage loans The HPS is a mortgage-reducing insurance that protects flat owners from losing their HDB flat in the event of death, terminal illness or total permanent disability. HPS insures flat owners up to age 65 or until the housing loans are paid up, whichever is earlier.

HDB flat owners using their CPF savings to pay for the monthly housing instalments are required to be insured under HPS. Flat owners using cash to pay the monthly housing instalments are not required to be insured under HPS but are strongly encouraged to do so.

For more information on HPS, please visit the CPF Board website.
What are the risks insured Fire & extraneous perils* Loan default in the event of fire Fire, extraneous perils and home contents Death and Total & Permanent Disability Death, Terminal illness# or Total Permanent Disability ((i) the inability to take part in any employment permanently or (ii) the total permanent loss of physical function of both eyes, two limbs or one eye and one limb#) of the insured
What is insured and the amount to be insured HDB Fire Insurance Scheme

It covers the cost of reinstating damaged internal structures, fixtures, as well as areas built and provided by HDB.

The sum insured is based on the flat type of your HDB flat. For more details, please visit the HDB’s website.

If you wish to protect your home contents (e.g. furniture, renovation, personal belongings), you can buy a separate insurance policy from an insurer of your choice.
Based on reinstatement value or outstanding loan amount whichever is lower Contents include furniture, appliances (e.g. the fridge, cooker, TV, computer, and smaller items like jewellery and handbags)

Up to customer’s requirement.

(based on estimated value of fittings, furniture and valuable appliances)
Up to a maximum of outstanding mortgage loan amount  The amount to be insured depends on the flat owner’s need for financial protection, which should match his declared share of repayment of the monthly housing instalments. This can be up to a maximum of 100% of the outstanding mortgage loan amount.

For claim events that occur before 1 May 2016, the lower of outstanding loan amount or the sum assured will be paid. For claim events that occur on or after 1 May 2016, HPS pays the sum assured of the insured.

# Note: Claims for terminal illness and total permanent loss of physical function of both eyes, two limbs or one eye and one limb can only be admitted if the condition occurs on or after 1 May 2016

* Examples of extraneous perils are earthquake, lightning, windstorm, flood, riot & strike damage, landslide, smoke damage, sprinkler leakage, explosion, water damage due to overflowing or bursting water tank. Please refer to the terms and conditions of the insurance policy for the scope of the insurance coverage.