As Malaysia steadily moves to join the comity of ageing Asian nations, it is also planning to introduce a major reform by bringing in a mandatory national long-term care insurance scheme. This could transform the whole system of elderly care and its funding in the country.
According to media reports, the proposed initiative, which is still being considered could require Malaysians to contribute a base premium of around MYR100 ($24.75) per month to finance long-term care services for senior citizens.
Kendana, the National Caregiver Council, Chairman and Group CEO of Seterra Group Rashidi Yahaya told media persons that the proposal is still in the developmental stage and all modalities of the scheme, including premium rates, contribution methods, coverage benefits, and eligibility requirements, are still under review.
He said Malaysia Productivity Corporation, insurance industry representatives, Retirement Fund, and Bank Negara Malaysia are participating in the preliminary discussions. The initiative is being developed under the National Long-Term Care Insurance Framework.
The discussion team is also examining several international models to determine the most suitable approach for the country. Long-term care insurance systems of Japan, Singapore, Australia, Germany and Sweden are being considered for developing a model system of elderly care in Malaysia.
The group would like to introduce a pilot as early as 2027, while the complete national framework is tentatively scheduled for rollout by 2030.