Malaysia will launch a voluntary base medical and health insurance/takaful (MHIT) plan, expected to provide standardised, affordable, and value-based private healthcare coverage.
The base MHIT plan was developed with the support of Bank Negara Malaysia (BNM), the Ministry of Finance (MOF), and the Ministry of Health (MOH). It is designed to be easy to understand and sustainable, providing meaningful protection for individuals seeking private healthcare options.
The plan aims to achieve key public policy objectives, including enabling more Malaysians to obtain financial protection against high-impact healthcare expenses, channel private healthcare spending efficiently, and accelerate progress towards value-based healthcare. It also offers a standardised baseline for coverage, premium pricing, and claims practices, strengthening confidence in the private health insurance and takaful market while reducing out-of-pocket expenses.
The plan was developed after more than 60 stakeholder engagements, consumer focus groups, and comprehensive data analysis. It complements Malaysia's public healthcare system, which continues to provide universal health coverage for Malaysians. This comes as the government recently increased the public healthcare budget to enhance services, and the new plan is expected to preserve patient choice by keeping private coverage accessible and affordable.
BNM and MOH are working closely with the insurance and takaful industry, as well as private healthcare associations, to finalise operational details. The base MHIT plan is expected to be available to the public from early 2027.