THE head of an association representing private hospitals has urged the government to consider medical insurance subsidies for low-income Malaysians.

Association of Private Hospitals Malaysia president Datuk Dr Kuljit Singh said this would help ensure the poor had access to medical insurance.

"This could involve a system where patients pay a portion, and the government covers the remainder, particularly for those in lower-income categories, such as the B40 and some of the M40," he said in an interview with the New Straits Times.

"While some people can afford private healthcare, these groups are struggling with the rising healthcare costs."

The issue of more sustainable and affordable medical insurance had come under the spotlight recently amid rising medical inflation.

Last year, Malaysia recorded medical inflation of 12.6 per cent, significantly higher than the global average of 5.6 per cent.

Bank Negara Malaysia had required insurers and takaful operators to provide products with a co-payment feature from this month. The move was aimed at ensuring more sustainable and affordable insurance products.

Dr Kuljit said subsidies were also important because insurance companies struggled to keep premiums low amid rising costs.

He said insurers were introducing co-payments and removing cashless options as they could not arbitrarily raise premiums above a certain amount without approval from the authorities.

"I understand the difficulties insurers face. If premiums are capped while medical bills continue to rise, there is clearly a mismatch, and in such cases, the government may need to step in to provide support."

Dr Kuljit said while controlling private healthcare costs was essential, issues within the public healthcare system must also be addressed.

Once these issues are resolved, patients who cannot afford private care can be treated in the public system, while private facilities can continue to serve those who can afford them, he said.

"The capacity of the private sector is much smaller than that of the government.

"No matter how much public-private partnership is implemented, it won't fully resolve the challenges within the public sector.

"The budget should prioritise them (resolving issues within the healthcare system), as this would help alleviate the problem, given that many people can already afford private healthcare."

https://www.nst.com.my/news/nation/2024/09/1105804/rising-medical-costs-consider-subsidy-low-income-earners