Prime minister Datuk Seri Anwar Ibrahim reveals that Bank Negara Malaysia (BNM) and the Health Ministry will implement measures to control the rising costs of insurance premiums. Responding to Suhaizan Kaiat (PN-Pulai) during the Prime Minister’s Question Time in the Dewan Rakyat today, he acknowledged the steep increases and their connection to medical inflation.
“We understand there are some hikes in insurance premiums, but reasonable reasons were given for it,” Anwar said. “However, there must be control.”
The prime minister further noted that both BNM and the Health Ministry are working to establish a mechanism to mitigate these hikes, ensuring the increases are not overly burdensome on patients or contribute to inflation. He highlighted that the government, through collaboration between Bank Negara, the Treasury and the Health Ministry, is taking a proactive approach to this matter.
Anwar says that the agencies are focusing on crafting a comprehensive framework to regulate medical and health insurance operators. Additionally, they will come up with a strict guideline so that medical and health insurance or takaful operators take certain issues into consideration.
Prior to this, it was reported that medical insurance premiums are projected to rise by 40% to 70% next year due to escalating private healthcare costs. Bank Negara Malaysia has called on insurers and takaful operators to review their repricing strategies to ensure fair implementation, including managing premium increases gradually and considering the impact on policyholders. The central bank also directed these providers to offer viable options for those heavily affected, ensuring continued coverage amidst the hikes.
(Source: The Star / Utusan Malaysia)
