PAC to hold more proceedings on insurance hikes, hospital fees

 

PAC member Sim Tze Tzin said 17 proceedings and two public hearings have been held to gather feedback from members of the public affected by the price increases. (Envato Elements pic)

PETALING JAYA: 

The Public Accounts Committee (PAC) will conduct five more closed proceedings this month into the increase in health insurance premiums, private hospital charges, and their impact on public health.

In a Bernama report, PAC member Sim Tze Tzin said the committee would prepare a detailed and comprehensive report next month and present it to Parliament in June.

The Bayan Baru MP said that 17 proceedings and two public hearings had been held to gather feedback from members of the public affected by the price increases, with stakeholders such as the finance ministry, health ministry, and Bank Negara Malaysia (BNM) also involved.

“PAC will be calling several more stakeholders, including BNM (for the second time) and the Malaysian Medical Council after the festive season,” he said.

“… we hope our report can assist the government in formulating policies that benefit the people.”

BNM previously called on insurers and takaful operators to review their repricing strategies for more “reasonable implementation” after reports of a 40% to 70% hike in medical insurance premiums this year.

However, insurers and takaful operators said the increased medical insurance premiums were “unavoidable” in light of rising claims and medical inflation.

The interim measures laid out in December require insurers to provide alternative products at the same or lower price for those who wish to terminate their repriced subscriptions.

They also include a requirement for insurers and takaful operators to spread out the changes in premiums over a minimum of three years for all affected policyholders. - FMT