STEPS should be taken to ensure all Malaysians can afford a medical card, since healthcare costs are continuing to rise, says Excellencia Solutions principal owner and certified financial planner Clarence Jacob Chua.

"One way is by allowing people to withdraw from their Employees Provision Fund (EPF) accounts to buy medical insurance.

"Neighbouring countries like Singapore are already practising this.

"After all, one can withdraw from their account to buy a house, why not allow it for health purposes?

"The authorities should understand that for an average family of five, a reasonable medical plan could cost between RM300 and RM400 a month.

"How many families can afford that?"

He believes less than 30 per cent of Malaysians have medical insurance.

"It's unfortunate that less than a third of the population has personal medical coverage.

"Those who actually have personal medical insurance are within the middle- to high-income groups.

"Unfortunately, the ones who really need a health plan are the middle- to low-income groups.

"There are so many varying factors when it comes to the cost of a medical plan. But generally, a reasonable medical plan can be as low as RM100 per month.

"The remainder of the population does not have a medical plan, not because of ignorance, but purely because of finances. Some don't have the money, while others have different priorities.

"Many families, especially those with many kids, don't have much disposable income, hence, insurance is not a priority.

"Housing, cars, education and childcare are some of the priorities people focus on.

"Also, many employees have a false sense of security by relying on medical coverage provided by their employers.

"Unfortunately, the coverage offered is generally inadequate and will be terminated when they leave the company or retire, which is actually when they'll need it the most."

He warned that Malaysians can expect to see a rise in healthcare costs in years to come.

"There is no such thing as healthcare costs going down.

" In fact, it is never going to get any cheaper.

"As Malaysia heads towards developed status, like Australia and the United Kingdom, Malaysians can expect to pay similar rates at the doctor's office or hospital."

Being in the industry for more than 26 years, Chua said he would see at least one medical claim each month.

"People may doubt the integrity of the industry, but 99 per cent of the time, guarantee letters are issued and people are spared thousands of ringgit.

"Of course there is that one per cent of cases which are investigated by the insurers, mainly because of existing health conditions prior to purchasing a medical card or non-disclosure."

Certain quarters have commented that private hospitals don't have separate rates for policy holders, this is entirely untrue, Chua added.

"From my own experience, I can testify that a simple eye operation can cost 30 per cent more if you have a medical card.

"There is no reason private hospitals should be doing this.

"However, when questioned, hospitals claim they're doing the public a favour by offering discounts for those without medical insurance."

He said the public and insurance companies are at the mercy of doctors and hospitals.

"People can debate about it until the cows come home, but if private hospital charges could have been regulated, it would have been done already."

source:NST