Latest news with #HousingAndDevelopmentBoard
CNA
31-07-2025
- Business
- CNA
FAQ: Do you need fire or home insurance, or both?
SINGAPORE: After a fire ripped through two flats in Toa Payoh on Tuesday (Jul 29), two home owners were left grappling with the loss of their units and belongings. The owner of the unit where the fire started told CNA that "everything is gone" and that his children now have "nothing". Of the 1,990 fires the Singapore Civil Defence Force (SCDF) responded to last year, nearly half - 968 - were fires involving residential buildings. How does a home owner recover financially after a fire? What is covered by insurance - and what type of insurance is needed? What is fire insurance? There are two types of insurance home owners can use to cover their homes and belongings - fire insurance and home insurance. For those with outstanding Housing and Development Board (HDB) or bank loans, fire insurance is compulsory. Home owners buy this with HDB's appointed insurer or with the bank providing the loan. Owners of HDB flats whose loans start on or after Sep 1, 1994 must buy and then renew their fire insurance plans every five years. The insurance scheme is meant to help alleviate the financial burden of repair works in case of fires. It covers the cost of reinstating damaged internal structures, fixtures and areas built and provided by HDB. The premiums are over a five-year term, and the price and coverage varies depending on the type of flat. For instance, the current five-year premium for a four-room HDB flat is S$4.59 (US$3.55) and insures a sum of up to S$117,000. The premium for a two-room flat is S$1.99 and covers costs of up to S$57,000. The current insurance provider - from Aug 16, 2024 to Aug 15, 2029 - is Etiqa. The provider for the five years prior was FWD. Many scenarios are covered under Etiqa's policy, including aircraft damage, smoke damage and malicious damage. The insurance also covers loss or damage to the insured property caused by a fire in an adjoining property, as well as any loss or damage caused during the operation to extinguish the blaze. For condominiums, the management corporation is responsible for insuring the buildings and common property for fire damage. Condominium owners with bank loans will also have to buy fire insurance. After the loan is fully paid, HDB or condominium home owners are not legally required to maintain fire insurance. But continuing coverage is "strongly recommended", said Ms Shirley Tan, chief marketing officer of Etiqa Insurance Singapore. "Home owners should consider the risks as a fire can cause serious financial implications, especially when affordable coverage options are readily available to ensure home owners have peace of mind," she added. But what fire insurance does not cover is the contents of homes - for example, furniture, clothes or jewellery. What is home insurance? What does it cover? Home insurance is different from fire insurance – it is optional and can be purchased from several insurers. The types of coverage differ across insurers, but they typically cover household items and personal belongings. In most cases, they also cover the cost of renovations after a fire, the removal of debris and other repair costs. Some insurers cover the cost of alternative accommodation and day-to-day costs, but only up to a certain amount. People should buy home insurance if they want to cover things in their homes that belong to themselves, said Ms Chen Xueyi, a senior financial consultant with an independently-owned financial adviser. The type of home insurance coverage also depends on the insurer and policy plan. According to the General Insurance Association's website, there are normally two types of coverage - insured perils and "all risks". Regular insured perils include fire, lightning, explosion, bursting of water tanks or pipes, as well as theft by violent or forcible entry. "All risk" policies offer wider coverage, but can be more expensive. There are some common exclusions from home insurance, including damage from fungi, wet or dry rot, and losses due to war or terrorism. How much do home insurance plans cost? Typically, the higher the sum insured, the higher the premium. The premiums for home insurance plans typically range from S$50 to S$350 per S$100,000 insured, according to GIA's website. For example, an owner of a four-room HDB flat will have to pay about S$46 for a one-year plan or about S$117 for a three-year plan for an FWD plan covering S$20,000 of home contents, S$20,000 in home renovations and S$82,000 for building costs. Bring the coverage up to S$100,000 for home contents and the premiums go up for about S$98 for a year's coverage and about S$250 for three years. How to make claims? You should submit your claim as soon as possible. For Etiqa, that is within 30 days. Most insurers have an online claim form, and may ask for supporting documents, including a repair quotation or invoice, as well as photographs. After a claim is submitted, the insurer will normally assess the circumstances and decide if a site survey is required. A loss adjustor may also get in touch with the home owner. So should you buy home insurance? Since fire insurance is compulsory as long as you have a mortgage, the bigger question for many home owners is whether you should buy home insurance. 'While fire insurance protects the structure; home insurance protects the contents within. Both are necessary to ensure added protection in the event of an unfortunate fire event,' said Etiqa's Ms Tan. She added that home insurance is not just a "nice to have but a must have", given that homes are "financial and emotional investments". "Whether you own an HDB flat, a condominium, or a landed property, and regardless of whether you live in it or lease it out, having home insurance is a practical and important safeguard," she said. An important thing to note as well is to check your policy exclusions, said financial consultant Ms Chen. 'Fire is a covered event, but sometimes you have to dig a bit deeper into the policy exclusions,' she said. It is important to make sure that your home insurance covers the reinstatement cost of your content and renovation so you are not underinsured, she said, adding that "very expensive items" at home may require separate insurance coverage.
CNA
29-07-2025
- General
- CNA
Fire breaks out in Toa Payoh flat
SINGAPORE: Firefighting operations are underway in Toa Payoh on Tuesday (Jul 29) after a blaze broke out in a Housing and Development Board (HDB) flat. The Singapore Civil Defence Force (SCDF) said it was alerted to the incident at Block 229 Toa Payoh Lorong 8 at about 1.10pm. "SCDF is currently at the scene conducting a firefighting operation," it said in a Facebook post. Footage showed thick smoke billowing out of several windows of the unit, with a few window frames mangled from the heat. The smoke could also be seen from the nearby Central Expressway. Videos from a CNA reader showed a cordon at the block with several SCDF officers on the scene. This is a developing story, please refresh for updates.
CNA
23-07-2025
- Business
- CNA
HDB launches 10,200 new flats for sale, with 4 Prime projects
SINGAPORE: The Housing and Development Board (HDB) launched 10,209 flats for sale in July's Build-to-Order (BTO) sales exercise, it said on Wednesday (Jul 23). This includes 5,547 BTO flats and 4,662 Sale of Balance (SBF) flats, it said in a press release. Seven out of 10 BTO flats up for sale have waiting times of four years or lower, including 1,396 units with less than three years' waiting time at Clementi Emerald and Bangkit Breeze. Sembawang Beacon, the first BTO project in the new Sembawang North neighbourhood, will comprise 775 units and has a wait time of three years. HDB noted that flat buyers looking to move into their homes sooner can consider applying in the SBF exercise, where 1,733 - or more than a third of SBF flats - have been completed. BTO FLATS, SUBSIDY CLAWBACK There are four standard and four prime BTO projects offered in the latest sales exercise, comprising flats ranging from two-room flexi to 3Gen flats. The standard projects on offer are in Bukit Panjang, Sembawang, Tampines and Woodlands, while the prime projects include two in Bukit Merah and one each in Clementi and Toa Payoh. "To ensure affordability, all new flats are priced with significant market discounts," HDB said. On top of the market discounts, Prime flats - which command higher market values due to their more favourable locational attributes - get additional subsidies to ensure affordability and accessibility. The selling prices for these new flats are substantially lower than the transacted prices of comparable resale flats, said HDB. Correspondingly, one of the additional restrictions that come with Prime flats is the subsidy clawback upon resale, which is derived as a percentage of the flat's resale or valuation price, whichever is higher. Alexandra Peaks, Alexandra Vista and Toa Payoh Ascent will have subsidy clawback rates of 11 per cent, while Clementi Emerald will have a 12 per cent subsidy recovery rate. "They are commensurate with the extent of the additional subsidies provided for the respective projects," HDB said. Eligible first-timer families stand to benefit from the enhanced CPF housing grant of up to S$120,000 (US$94,000). With the grant, homebuyers can purchase a 3-room standard flat starting from S$162,000 or a 4-room standard flat starting from S$248,000, said the Housing Board. CHANGES FROM JULY HDB also outlined some changes that will take effect from the current sales exercise, including improvements to the Family Care Scheme, which will provide priority access to parents and their children, when applying for a new flat to live with or near each other. First announced in March, the allocation quota for three-room and larger BTO flats for second-timer families has also been raised by 5 percentage points. The deferred income assessment rules have been expanded, such that only one party in a couple needs to be a recent or current full-time student or National Serviceman. Previously, both parties needed to meet the requirement. The Fresh Start Housing Grant, provided to support second-timer public rental families to buy a new standard two-room Flexi or standard three-room flat on a shorter lease, was also enhanced to S$75,000 from S$50,000. SBF FLATS The 4,662 SBF flats offered in the current exercise are more than the 3,000 units HDB previously committed to, it noted. Together with the 5,590 such flats offered in February, the total SBF supply this year has exceeded 10,200 flats. This is the largest annual supply of SBF flats since 2016, HDB said. Like BTO flats, SBF flats are subsidised and priced lower than comparable resale flats. Eligible first-timer singles can apply for any of the two-room flexi SBF flats across the island in this sales exercise, HDB said.
CNA
20-07-2025
- Business
- CNA
Some two-room BTO flats to be set aside for first-time singles who want to live near parents
SINGAPORE: The Housing and Development Board (HDB) on Sunday (Jul 20) announced the quota for Build-to-Order (BTO) two-room flats that will be set aside for first-time singles who are applying for a flat near their parents. The new Family Care Scheme (FCS), which was first announced by Prime Minister Lawrence Wong in the National Day Rally last year, comprises two components: FCS (Proximity) and FCS (Joint Balloting). PROXIMITY FCS (Proximity) allows parents and their children, regardless of marital status, priority access if they are applying for a new flat to live with or near each other. This will be rolled out in the July BTO exercise. Currently, up to 65 per cent of two-room flexi BTO flats and up to 5 per cent of Sale of Balance flats (SBF) are set aside for first-timer singles, after allocating flats to seniors. Within these quotas, 30 per cent of BTO flats and 2 per cent of SBF flats will be set aside for first-time singles applying under FCS (Proximity). This applies to Standard and Plus flats. For Prime flats, the percentages drop to 20 per cent and 1 per cent, respectively. The remaining quota will be for other first-time singles. Married couples and seniors currently have priority access under the Married Child Priority Scheme and Senior Priority Scheme when applying for new flats to live with or near their parents or married children. FCS (Proximity) will replace both of these schemes, with no change to the priority access for married couples and seniors. JOINT BALLOTING FCS (Joint Balloting) allows parents and their children, regardless of marital status, to jointly apply for two units in the same BTO project, where there are two-room flexi or three-room flats in the same project. This will start in the October BTO exercise, HDB said on Sunday. It will replace the Multi-Generation Priority Scheme for married children and parents to live near each other in the same BTO project. CHANGES FROM JULY Other changes that will start from the July BTO exercise have been announced previously. This includes HDB increasing the allocation quota of three-room and larger BTO flats for second-timer families by 5 percentage points. The revised proportion of BTO flats set aside for second-timer families: Up to 20 per cent of three-room Standard flats Up to 10 per cent of three-room plus and prime flats, and four-room and larger standard, plus and prime flats At least 80 per cent to 90 per cent of three-room and larger flats will continue to be set aside for first-time families. Changes to the Deferred Income Assessment (DIA) scheme and the Fresh Start Housing Grant for eligible second-time families will also take effect from the July BTO exercise. The DIA scheme allows eligible couples to apply for a new flat and delay their income assessment for housing grants or loans until just before they collect their keys. This will be expanded such that only one party in a couple needs to be a full-time student or national serviceman to be eligible. Previously, both parties needed to meet this requirement. The Fresh Start Housing Grant will be increased from S$50,000 to S$75,000 to support more second-timer public rental households with children to own homes. These families can use the increased grant to buy a new two-room flexi or three-room Standard BTO, or SBF flat, on a shorter lease.
