INSURANCE companies should be made to publicly disclose their financial data and explain whether the ratio of premiums collected versus claims paid is reasonable, said the MCA.
Following reports that medical card premiums are expected to leap significantly by 40% to 70%, its vice-president Datuk Ir Lawrence Low said if the companies are facing significant losses, they have a responsibility to strengthen cost control measures rather than passing the burden onto consumers.
“MCA is deeply concerned over the waves of price hikes which undoubtedly will load further financial burdens unto the, worsen socio-economic pressures and threaten the basic protection provided to policyholders.
“In addition to the insurance companies, the charges slapped by private hospitals remain at the heart of the issue.
“The financial reports of private hospitals at the end of each fiscal year reveal that none of them operated at a loss,” he said.
The MCA urged the Ministry of Health to take more proactive measures and strengthen regulation of private hospital charges, in particular, full transparency of all medical facility fees must be ensured.
Only then can the uncontrolled escalation in medical costs be contained, said Low.
He also called upon the relevant government departments, including Bank Negara, the MoH, and the Ministry of Domestic Trade and Cost of Living, to collaborate and formulate a comprehensive strategy.
“This should include holding inter-departmental meetings to discuss the reasons behind the price hike with representatives from insurance companies and private hospitals, as well as identifying solutions,” he said.
He said Cabinet ministers must demonstrate leadership by coordinating between departments and jointly seeking practical solutions to reduce the public’s burden.
“This issue not only affects the interests of policyholders but also concerns the sustainable development of the entire healthcare system.
“The government has a responsibility to protect the rights of consumers and ensure that policyholders do not become victims of unreasonable price hikes,” he added. - November 27, 2024
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