A DETAILED study needs to be conducted to better understand the issue surrounding the differences in private hospital treatment charges between patients using guarantee letters and those who pay upfront before making reimbursement claims, said Deputy Finance Minister Lim Hui Ying
Bernama reported Lim saying that based on an analysis of private hospital billing claims submitted to insurance companies and takaful operators (ITO), there are certain cases where the total treatment cost is higher for patients using guarantee letters compared to those who pay upfront before claiming.
“Since the treatment charges imposed are less transparent, a more detailed study is required to understand this issue better and determine appropriate follow-up measures,” Bernama quoted her saying during a question-and-answer session in the Dewan Rakyat today.
Lim was responding to Sim Tze Tzin (PH-Bayan Baru), who had asked the Ministry of Finance to clarify the differences in private hospital charges between the upfront payment and reimbursement method versus the guarantee letter method.
The deputy minister emphasised that the government is aware of this issue, including the public’s concerns raised during the recent public hearing sessions held by the Public Accounts Committee (PAC).
Lim said the government, through the Ministry of Health Malaysia, in collaboration with various stakeholders, including the Ministry of Finance, private hospitals, and ITOs, is working to find a long-term solution to address the issue of rising medical costs and private hospital charges.
“This includes enhancing the transparency of medication costs and facilitating comparisons of common medical expenses. This integrated action plan was presented to the Public Accounts Committee (PAC) yesterday,” she said.
Additionally, Lim noted that based on initial findings from the integrated claims database of the insurance and takaful industry (ITO), several types of illnesses recorded high claim rates for hospital treatment in 2023 under medical and health insurance and takaful (MHIT).
Some of the most commonly claimed illnesses include pneumonia, spinal issues, digestive system disorders, and heart diseases. – February 26, 2025
