Posted on August 29th 2018




Underwritten by the CPF board, the Home Protection Scheme is a mortgage reducing insurance. While it sounds like a scheme that protects the home, e.g., in case of fire, it is actually a scheme for homeowners. It protects the members and their dependents from being unable to pay the HDB mortgage, when unforeseen circumstances happen, e.g., death, total disability, etc.

How does the Home Protection Scheme work?

It insures the parties who are paying for the mortgage, proportionate to the couples’ contributions. For example, John and Jane pay $1,000 per month for their monthly installment. For illustration’s sake, let’s assume John contributes $600 whereas Jane contributes $400, thus forming a 60% and 40% contribution respectively. John’s HPS cover matches the 60% of his contribution, similarly the HPS covers Jane’s 40%. If John dies one day, his 60% contribution of