In recent years, Malaysia has seen growing utilisation of private healthcare services, leading to higher claims for insurers and takaful operators (ITOs). Bank Negara Malaysia (BNM), together with key stakeholders, are pursuing healthcare reforms under the RESET Strategy to address private healthcare costs and ensure that medical and health insurance/takaful (MHIT) products remains affordable and accessible for Malaysians.
Read the BNM Annual Report 2024 Feature Article entitled Securing Sustainable Access to Medical and Health Insurance/Takaful Protection to learn more about the key drivers leading to rising hospital bills and MHIT premiums.
Introducing MediAsas
The Base MHIT Plan, now known as MediAsas, is a key component of the RESET Strategy, a collaborative effort by the Ministry of Health, Ministry of Finance, Bank Negara Malaysia and key stakeholders. It is a voluntary medical insurance and takaful protection plan with standardised features. It is designed to provide more Malaysians with access to affordable health protection. The plan aims to improve access to private healthcare while supporting better healthcare.
MediAsas is intended to enable more Malaysians to obtain a basic level of health protection, particularly individuals who are currently uninsured as well as those seeking a more affordable alternative due to repricing or changes in their financial circumstances.
The design of MediAsas was developed following insights gathered from over 60 stakeholder engagements, consumer focus groups and extensive analysis, ensuring that the product meets consumers’ needs while supporting broader healthcare reform objectives.
The MediAsas Pilot Programme will commence at the end of July 2026 to test and refine operational processes, customer experience and implementation readiness. Insights from the pilot will help inform further enhancements ahead of the nationwide rollout slated for early 2027.
For more information about the Pilot Programme, please refer to the Frequently Asked Questions (FAQs).
Interim Measures to Promote Continued Access to MHIT Products
In December 2024, BNM announced interim measures to assist policyholders who are experiencing premium revisions for their MHIT products. The interim measures were introduced to help alleviate the immediate financial impact to policyholders and preserve MHIT coverage.
This includes any changes in premiums arising from medical claims inflation effected in 2024 until 2026, that will be spread out over a minimum of three years. The vast majority of policyholders experience yearly premium adjustments due to medical claims inflation of less than 10%.
Read the announcement for the full list of measures.For further information and to avail yourselves to the interim measures, contact your insurer or takaful operator.
MHIT Made Simple
Need guidance through the journey of purchasing MHIT product and making a claim?
Promoting fair, transparent and prompt MHIT claims management
Consumers are expected to be fairly treated throughout all stages of the claim processes. As part of claims management, insurance and takaful operators (ITO) or their appointed TPAs, will assess submitted claims to confirm that the treatments fall within the policy’s coverage. This is based on accepted treatment protocols and clinical practice guidelines.
Consumers who are dissatisfied with the resolution may escalate their complaint to the Financial Markets Ombudsman Service (FMOS). For matters outside FMOS’s scope, consumers may seek assistance from BNMLINK.
Healthcare Partners Protocol and Solutions Committee (HPPSC)
(previously known as Grievance Mechanism Committee)
Together with the Malaysian Medical Association (MMA), the Association of Private Hospitals of Malaysia (APHM), the Life Insurance Association of Malaysia (LIAM), Persatuan Insurans Am Malaysia (PIAM), and the Malaysian Takaful Association (MTA), as well as the Ministry of Health and Bank Negara Malaysia as observers, the HPPSC has been established to strengthen collaboration, transparency and fairness in medical claims management.
The HPPSC reviews cases related to claims procedures, such as guarantee letter issuance, disputes over hospital charges, and matters involving claims management. It also serves as an avenue for providers and medical practitioners to resolve issues that they may encounter in obtaining approval or payment for legitimate claims from ITOs.
