Govt to pilot affordable MediAsas health insurance plan this month ahead of nationwide rollout in 2027, says deputy minister

KUALA LUMPUR, July 16 — The Base Medical and Health Insurance/Takaful (MHIT) Plan, or MediAsas, will begin its pilot programme by the end of this month, as part of the government’s RESET strategy to tackle long-term private healthcare cost inflation, the Dewan Rakyat was told today.

Deputy Finance Minister Liew Chin Tong said the pilot programme would pave the way for the plan’s full implementation nationwide in January 2027.

“MediAsas aims to provide more affordable and sustainable medical coverage for the people in the long term. This will allow more Malaysians to access private healthcare protection,” he said during the question-and-answer session.

He was responding to a question from Pang Hok Liong (PH-Labis), who asked the Finance Minister to state the timeline for introducing regulations to ensure insurance companies control or reduce health insurance premiums that are placing a burden on the public.

Liew said the sharp rise in MHIT premiums in 2024 was driven by a surge in claims following Covid-19, as well as the postponement of premium rate adjustments by insurance and takaful operators during the pandemic.

Responding to a supplementary question from Datuk Mohd Suhaimi Abdullah (PN-Langkawi) on insurance companies’ practice of closing legacy portfolios, which was alleged to discriminate against senior citizens, Liew said the matter was being handled by Bank Negara Malaysia (BNM).

He said the issue had been flagged and was previously under the attention of a Parliamentary Special Select Committee.

He said BNM would introduce a no look-back policy under the MediAsas plan to ensure a fairer insurance market.

“Through this no look-back policy, people who reach a certain age will continue to have coverage even if they develop new illnesses, ensuring their policies are not terminated and they can continue to make claims,” he said. — Bernama