KUALA LUMPUR, July 30 — The development of the basic Medical and Health Insurance/Takaful (MHIT) product concept is targeted for completion by December 2025, with implementation planned for the end of 2026.
According to the Ministry of Finance (MoF), the structure and design of the product have yet to be finalised.
“Currently, active engagements with key stakeholders are ongoing to ensure that all feedback on the design features of the MHIT product aligns with the principles of affordability and long-term sustainability of the basic MHIT product,” the ministry said in a written reply published on the Parliament website yesterday.
The MoF was responding to a question from (Rtd) Navy Commander Nordin Ahmad Ismail (PN-Lumut), who sought clarification on the government’s consideration of allowing the public to use their Employees Provident Fund (EPF) Account 2 savings to finance health insurance.
He also inquired about how the government’s proposal would help ease medical costs and the timeline for its implementation.
The ministry explained that the government, through Bank Negara Malaysia, the Ministry of Health, and MoF, has introduced the RESET strategy as a strategic framework to address rising healthcare costs and private insurance.
One of RESET’s key pillars is to enhance MHIT by developing a basic insurance and takaful product that offers more sustainable and stable long-term premiums.
The MoF emphasised that purchasing this basic product is voluntary and the use of funds from EPF Account 2 is just one of the existing financial options available to users for buying insurance and takaful coverage.
“Once the basic MHIT policy is finalised, EPF is prepared to consider enhancements to the i-Lindung facility to allow the use of Account 2 funds for purchasing the MHIT basic product in the future,” it added. — Bernama
