REPUBLIC OF SINGAPORE
GOVERNMENT GAZETTE
ACTS SUPPLEMENT
Published by Authority

NO. 23]Friday, April 28 [1989

The following Act was passed by Parliament on 7th April 1989 and assented to by the President on 13th April 1989:—
Central Provident Fund (Amendment) Act 1989

(No. 23 of 1989)


I assent.

WEE KIM WEE
President.
13th April 1989.
Date of Commencement: 14th May 1989
An Act to amend the Central Provident Fund Act (Chapter 36 of the 1988 Revised Edition).
Be it enacted by the President with the advice and consent of the Parliament of Singapore, as follows:
Short title and commencement
1.  This Act may be cited as the Central Provident Fund (Amendment) Act 1989 and shall come into operation on such date as the Minister may, by notification in the Gazette, appoint.
Amendment of section 13
2.  Section 13(1) of the Central Provident Fund Act (referred to in this Act as the principal Act) is amended —
(a)by deleting the words “regulations made under section 56(1)(g), (j) or (k)” in paragraph (a) and substituting the words “section 37F and with regulations made under sections 37L(b) and 56 (1)(g), (j) or (k)”; and
(b)by deleting the words “or section 17” in paragraph (c) and substituting the words “, section 17 or section 37F”.
Amendment of section 34
3.  Section 34 of the principal Act is amended by deleting subsection (5) and substituting the following subsection:
(5)  The Board shall not be required to make any payment in respect of any member of the Scheme —
(a)if the death or incapacity of that member occurs within one year from the date he is insured under the Scheme and the death is the result of suicide or the incapacity is the result of deliberate self-injury; or
(b)if the death or incapacity of that person arises from war or any warlike operations or participation in any riot.”.
New Part IVA
4.  The principal Act is amended by inserting, immediately after Part IV, the following Part:
PART IVA
DEPENDANTS’ PROTECTION INSURANCE SCHEME
Interpretation
37A.  In this Part —
“appointed day” means the date of commencement of the Central Provident Fund (Amendment) Act 1989;
“incapacitated” has the same meaning as in section 27;
“Dependants’ Protection Insurance Fund” means the Dependants’ Protection Insurance Fund established and maintained by the Board under section 37G;
“Scheme” means the Dependants’ Protection Insurance Scheme established and maintained by the Board under section 37B;
“insured person” means a person who is insured under the Scheme;
“premium” means the annual premium payable by an insured person;
“insured sum” means the sum prescribed in regulations made under this Part which is payable on the incapacity or death of the insured person.
Establishment of Dependants’ Protection Insurance Scheme
37B.  The Board may establish and maintain a Dependants’ Protection Insurance Scheme for the purpose of providing that on the incapacity or death of an insured person at any time during the period in which he is insured under the Scheme, the Board will pay the insured sum in accordance with the Scheme.
Persons insured under the Scheme
37C.—(1)  Subject to the provisions of this Part —
(a)every member of the Fund for whom any contribution has been paid into the Fund during the 6 months prior to the appointed day; and
(b)every member of the Fund, other than members described in paragraph (a), for whom any contribution has been paid into the Fund on or after the appointed day,
shall be insured under the Scheme.
(2)  Subsection (1) shall not apply to —
(a)any member of the Fund who has attained the age of 55 years;
(b)any member of the Fund who is neither a citizen nor a permanent resident of Singapore;
(c)any member of the Fund who has lodged a written notice with the Board stating that he does not wish to be insured under the Scheme; and
(d)any member or class of members of the Fund whom the Minister may, by notification in the Gazette, specify.
(3)  Any person referred to in subsection (1) who does not wish to be insured under the Scheme may lodge with the Board a written notice in such form as the Board may require stating that he does not wish to be insured under the Scheme.
(4)  Notwithstanding subsection (2), any member of the Fund who is not insured under the Scheme may apply to the Board to be insured under the Scheme.
(5)  The Board may approve any application under subsection (4) with or without conditions.
Board may cancel insurance cover
37D.—(1)  If the Board has reason to believe that an insured person is incapacitated or suffering from terminal illness on or before the date of commencement of his insurance cover under the Scheme the Board may cancel the cover of that person under the Scheme and upon such cancellation, that person shall cease immediately to be insured under the Scheme.
(2)  All premiums paid by any person whose cover under the Scheme has been cancelled pursuant to subsection (1), together with the interest that would have been payable if the amount of such premiums had been standing to the credit of that person’s account in the Fund, shall be refunded to his account in the Fund except that no refund shall be made if that person has made or furnished to the Board any statement or fact that is false or misleading in a material particular.
Board may require insured person to furnish information
37E.—(1)  The Board may require any insured person to furnish to the Board such information as the Board thinks fit regarding the life and health of the insured person or members of his family.
(2)  The Board may also require any insured person to undergo such medical examination as the Board thinks fit.
Premium
37F.—(1)  Every insured person shall pay a premium of an amount prescribed by regulations made under this Part.
(2)  Notwithstanding anything in this Act, the Board shall be entitled to deduct the amount of the premium payable by an insured person from the contributions standing to the credit of that person in the Fund and, where any such deduction has been made by the Board, the Board shall as soon as practicable give to that person concerned notice in writing to that effect.
(3)  Where the amount of the premium which an insured person is liable to pay under the Scheme exceeds the amount standing to his credit in the Fund, the deficiency may be paid in such manner and within such time as the Board may prescribe.
Establishment of Dependants’ Protection Insurance Fund
37G.—(1)  The Board shall establish and maintain a fund to be known as the Dependants’ Protection Insurance Fund into which shall be paid all premiums collected under this Part and out of which shall be met all payments to be paid by it under the Scheme.
(2)  The Dependants’ Protection Insurance Fund shall be controlled and administered by the Board.
Period of cover
37H.—(1)  Subject to subsection (2), where the prescribed premium payable under the Scheme has been paid or deducted from an insured person’s contributions standing to his credit in the Fund, that person shall be covered under the Scheme from the date of such payment or deduction for a period of 12 months after the date of commencement of his insurance cover.
(2)  The persons referred to in section 37C(1)(a) shall, subject to payment of the premium payable under the Scheme, be covered under the Scheme from the appointed day for a period of 12 months after that date.
(3)  Subject to the provisions of this Part, the insurance cover under the Scheme shall be renewed annually by the Board.
Cover of insured person where contribution to his account in the Fund is not paid
37I.  Where any contribution to the Fund in respect of an insured person is not paid for whatever reason, the insured person shall not be covered under the Scheme at the expiration of 3 years from the date of payment of the last contribution to the Fund for the insured person unless before the expiration of the 3 year period —
(a)further contribution to the Fund in respect of the insured person is paid; or
(b)the insured person has lodged a written notice with the Board stating that he wishes to continue to be covered under the Scheme after the expiration of that period.
Amount payable on death or incapacity of an insured person
37J.—(1)  Where an insured person dies at any time during the period he is insured under the Scheme, the Board shall, upon proof of death, pay as soon as practicable the insured sum to the person or persons nominated by that person in accordance with section 24(1) or to the Public Trustee for disposal in accordance with any written law for the time being in force, as provided in section 24(2), if there is no person nominated or if any person nominated, other than a widow, is under the age of 18 years at the time of payment of the insured sum.
(2)  Where there is a claim made to the Board by an insured person on the ground of incapacity at any time during the period he is insured under the Scheme, the Board shall upon proof of incapacity pay to him the insured sum by monthly instalments of such amount as may be determined by the Board for a period not exceeding 3 years, subject to the condition that in the event the insured person takes up any employment the Board shall stop payment of any insured sum remaining unpaid at the date of his taking up the employment and such amount shall not be recoverable by him.
(3)  Where the insured sum is paid by instalment under subsection (2), interest at the prevailing rate declared by the Board under section 6(4) shall be paid to the insured person together with the final instalment.
(4)  Notwithstanding anything contained in this Part, the Board shall not be liable to pay the insured sum in respect of any insured person —
(a)if the death or incapacity of that person occurs within one year from the date he becomes an insured person and the death is the result of suicide or the incapacity is the result of deliberate self-injury;
(b)if the incapacity or death of that person arises from war or any warlike operations or participation in any riot;
(c)if he makes or furnishes to the Board any statement or fact that is false or misleading in a material particular; or
(d)if he is incapacitated or is diagnosed as having a terminal illness on or before the date of commencement of his insurance cover under the Scheme.
Non-application of Insurance Act
37K.  The Insurance Act (Cap. 142) shall not apply to anything done by the Board under this Part.
Regulations
37L.  The Minister may make such regulations as are necessary and expedient for the purpose of carrying out the provisions of this Part and, in particular, such regulations may —
(a)provide for the rate of premium payable by insured persons;
(b)provide for the manner and time of payment of premiums;
(c)prescribe the amount of the insured sum;
(d)provide for the refund of any premium and the circumstances under which the refund shall be made and at such rates as may be prescribed by the Minister;
(e)provide for different periods of cover in respect of different amounts of premium paid by an insured person;
(f)prescribe the evidence to be produced and the person, officer or authority to whom that evidence is to be produced for the purposes of this Part;
(g)provide for the manner in which money in the Dependants’ Protection Insurance Fund may be invested;
(h)provide for such information, evidence and documents that the Board may require an insured person to furnish for the purposes of this Part; and
(i)prescribe anything which under this Part may be prescribed by the Minister.”.