NO TOLERANCE FOR UNJUSTIFIED HEALTH INSURANCE PREMIUM HIKES, SAYS PM ANWAR 

BUKIT MERTAJAM, Jan 11 (Bernama) --The government will not tolerate unjustified increases in health insurance premiums, Prime Minister Datuk Seri Anwar Ibrahim said.

“If I am not convinced that the increase is reasonable, I will not support or allow it. This is our principle. Any increase in insurance premiums must be backed by valid reasons.

“For instance, one of the most unreasonable factors is the rate itself. There needs to be a standard, as seen in many countries.

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“At Georgetown University Hospital, Washington, if they provide a (heart) stent, it comes with a two or five-year guarantee.

“If any complications arise within those two years, the hospital is obligated to offer a reduction. We need to establish mechanisms like this," he said during the launch of the new block at KPJ Penang Specialist Hospital here today, which was also attended by Chief Minister Chow Kon Yeow.

Anwar also said that the fees charged to patients must be reasonable and closely monitored, as high medical costs are not due to medical specialists but the use of hospital rooms.

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He said some hospital rooms are at a three-star standard but are charged at five-star rates, and thus he urged private hospitals to cooperate on this matter.

“Doctors must understand that it should not be a question of whether the patient has insurance or not. If the cost is RM1,000, then it should be RM1,000, without discrimination. I understand my statement may not be popular, but we need to accept the reality,” he said.

Last year, the prime minister said the issue of insurance premium hikes, which ranged from 40 to 70 per cent, was still under renegotiation. Bank Negara Malaysia (BNM) is expected to finalise the report after discussions with insurance companies and takaful operators (ITOs) and other stakeholders.

Meanwhile, Anwar suggested that public and private healthcare management should consider investing in local companies capable of producing medications to reduce dependency on foreign pharmaceutical companies, whose products are often very costly.

Anwar, who is also Finance Minister, said both parties must find ways and methods to reduce costs and explore alternative solutions that meet global standards.

“Why should we be burdened by dependence on medications from the United States and Europe? We need to look for other alternatives that are generic and acceptable, such as those from Brazil, India, Turkey, and China, countries known for producing far cheaper generic drugs.

“Both the government and the private sector have been using vaccines and insulin for decades, spending hundreds of millions. Why can't we consider supporting local companies with the capability to produce these medications, reducing reliance on excessively priced drugs?" he said.

He also noted that to save on healthcare management, the private sector could find the best and most competitive solutions, such as purchasing medical equipment in bulk through collaboration with the Health Ministry, to secure lower prices.

Earlier, Anwar officiated the new South Wing block at KPJ Penang Specialist Hospital.

The hospital, equipped with Cryotherapy Cryo-7 technology, is the only hospital in Penang offering a specialised system designed to reduce pain and inflammation using cold air during the recovery process.

— BERNAMA