The escalating costs of healthcare services in private hospitals are anticipated to result in a significant increase in medical insurance premiums, projected to rise by 40-70% next year. This impending adjustment has led some policyholders to consider terminating their insurance policies due to the unsustainable financial burden.
A policyholder, identified as Hamidi, reported receiving notification from his insurance provider indicating that new premium rates would be implemented from February next year. Hamidi’s monthly premium, which previously stood at RM188.47, will increase to RM237.34. Last year, his premium rose from RM157.69 to RM188.47. He expressed frustration over the annual increases, questioning the justification for these hikes and the purported rise in treatment costs.
Another policyholder, Safie Wahab, noted an increase in his monthly premium from RM244 to RM377, a difference of RM133. He expressed concerns about the affordability of health insurance and hinted at the possibility of discontinuing his policy if premiums continue to rise.
Attempts by Utusan Malaysia to obtain clarification from insurance companies have been unsuccessful. Jacob George, President of the Subang and Shah Alam Consumers Association, has called for a cap on medical insurance premium increases. He urged insurance companies to disclose any annual losses if they plan to raise premiums and criticised the lack of transparency in premium adjustments.
Jacob George also noted that the proposed premium hikes do not align with the principles of the Madani government. He urged relevant ministers to intervene and prevent these increases, highlighting the difficulties policyholders face when filing claims.
Recent statements by PKR MPs have highlighted the strain on middle-class individuals, who are increasingly unable to afford private healthcare services. As a result, many are turning to government hospitals and clinics, exacerbating overcrowding issues in public healthcare facilities. Bayan Baru MP Sim Tze Tzin emphasised that rising private hospital costs are disproportionately affecting the middle class, with PKR backbenchers planning to gather feedback from those affected. This situation underscores the need for comprehensive strategies to manage healthcare costs and ensure accessible medical insurance coverage for all socioeconomic groups.
