Before 1 July 2016, servicemen were automatically enrolled into the SAF Group Term Life (SAF GTL) Insurance scheme where servicemen were placed on a $100,000 Term Insurance coverage and the monthly premiums were paid by servicemen through deductions from their salary. In addition to the core plan prescribed by the Ministry of Defence (MINDEF), they could choose to voluntarily increase their insurance coverage by paying additional premiums under the Voluntary Scheme, which were likewise deducted from their salary.

To better recognise and protect those who contribute to national security, MINDEF and Ministry of Home Affairs (MHA) collaborated to introduce the MINDEF & MHA Group Insurance from 1 July 2016. The MINDEF & MHA Group Insurance replaced the SAF GTL Insurance Scheme and servicemen are automatically given a higher coverage of $150,000 for GTL and $150,000 for Group Personal Accident (GPA) insurance. This GTL and GPA coverage for SAF servicemen under the MINDEF & MHA Group Insurance Core Scheme, which provides life and personal accident insurance coverage, is paid for by MINDEF and MHA for their respective groups of servicemen.

In addition to the Core Scheme coverage, servicemen have the option to purchase additional insurance coverage for themselves and their dependents on a voluntary basis under the Voluntary Scheme. The Voluntary Scheme under the MINDEF & MHA Group Insurance, which has been available to MINDEF/SAF personnel since 1 October 2016, is a private agreement between servicemen and Aviva for their personal insurance coverage. A change in payment mode for the Voluntary Scheme was effected in April 2017 from monthly salary deductions to GIRO, so as to ensure continuity in voluntary insurance coverage should servicemen leave MINDEF/SAF and are no longer on payroll.

From July 2016 to November 2017, servicemen were informed of the changes with the MINDEF & MHA Group Insurance replacing the SAF GTL Insurance, including the change in payment mode for the Voluntary Scheme, through approximately 600 briefing sessions held in MINDEF/SAF premises, roadshows as well as through various written communications. Affected servicemen were given at least six months to effect the switch from monthly salary deduction to GIRO payment from their own bank accounts. Aviva also sent repeated reminders for servicemen who had not effected the switch in payment mode to avoid lapses in their policy, if they wished to continue with their voluntary insurance coverage. While numerous briefing sessions have been conducted and reminder letters sent, servicemen have the personal choice on the voluntary component and to act on them accordingly.

MINDEF understands that Aviva had sent four reminder letters to the widow's late husband between February 2017 and October 2017, including to his home address, to remind him to arrange for his premiums to be paid through GIRO if he intended to continue with the voluntary additional insurance coverage. As no GIRO arrangements were made, the policy was terminated and a termination letter was sent in November 2017.

Servicemen whose policies have lapsed under the Voluntary Scheme continue to be covered under the MINDEF & MHA Group Insurance Core Scheme. MINDEF's responsibility as a policy owner has been fulfilled through Aviva's payment of $150,000 under the GTL coverage to the widow in February 2019. There was no payment made for the GPA coverage of $150,000 as her husband's death was not due to an accident. His death was also not related to any SAF activities.