Kuala lumpur: Insurers and takaful operators (ITOs) must submit comprehensive information to Bank Negara Malaysia (BNM) for approval before making any premium adjustments, Deputy Finance Minister Lim Hui Ying announced. She emphasized that BNM prohibits ITOs from implementing premium changes unless they fully adhere to the interim guidelines.

According to BERNAMA News Agency, these interim measures aim to protect policyholders facing premium adjustments in Medical and Health Insurance and Takaful (MHIT) products due to rising medical costs. Lim highlighted that the initial target was for 80% of policyholders to experience a premium increase of no more than 10% due to medical inflation. However, recent data shows more than 90% of policyholders faced adjustments under 10% in the first year, surpassing the initial goal.

Lim explained that for the minority of policyholders encountering higher premium increases, particularly with products not reviewed in a long time, ITOs offered more affordable alternative plans. Additionally, some MHIT policyholders saw premium increases due to age transitions, which were communicated at the time of policy purchase.

Lim noted that any issues arising from these adjustments would be addressed by the ITOs, advising policyholders with disputes to contact their respective ITOs first. Should policyholders remain dissatisfied, they can reach out to BNM Link, where disputes will be resolved individually.

Furthermore, Lim shared that BNM Link received 190 MHIT complaints from the public, with 94% of these cases, or 179, resolved by the ITOs. The government will continue to oversee the interim measures over the next three years and will take action against ITOs that fail to comply, she assured in response to a query from Sim Tze Tzin (PH-Bayan Baru) regarding violations of the interim measures and potential actions by BNM.