APHM Says Joint Ministerial Committee Addressing PAC Report

APHM says key pain points in the PAC’s report on health insurance and private hospital charges are being addressed through the Joint Ministerial Committee, adding that it has engaged MOH to improve hospital bill transparency in private hospitals.

KUALA LUMPUR, June 26 — The Joint Ministerial Committee on Private Healthcare Costs (JMCPHC) is addressing various issues in the Public Accounts Committee’s (PAC) report on health insurance premiums and private hospital charges, said private hospitals.

The Association of Private Hospitals of Malaysia (APHM), a member of the JMCPHC, said it supported initiatives by the Ministry of Health (MOH) and Ministry of Finance (MOF) to address medical cost inflation in Malaysia.

“This includes addressing key pain points highlighted in the Public Accounts Committee (PAC) report, many of which are already being actively deliberated and addressed through the JMCPHC,” said APHM in a brief statement today.

“In APHM’s capacity as an industry representative on the Committee, APHM has also engaged the MOH to enhance hospital bill transparency, an area that is currently being actively developed in collaboration with stakeholders.

“APHM also continues to support broader efforts of the JMCPHC to manage rising health care costs by contributing industry data and providing constructive input to inform policy development.

“APHM remains committed to the best care for patients, and this includes working closely with the government at the national level through the JMCPHC to develop evidence-based, transparent, and sustainable solutions that ensure the long-term affordability and quality of health care in Malaysia.”

The PAC’s report, which was tabled in the Dewan Rakyat yesterday, criticised cross-subsidies in private hospitals, such as high drug mark-ups to cover other operational costs, and unbundling for basic items like alcohol swabs that should have been included in the room charge.

The committee also noted that patients with guarantee letters (GLs) are charged higher than cash or pay-and-claim patients.

As for health insurance, the PAC highlighted sharp premium hikes of between 40 and 70 per cent, besides criticising the practice of risk selection and closed pools that penalise long-standing policyholders, especially senior citizens.

Government and Opposition MPs tore into both insurers and private hospitals during their debate on the PAC’s report in Parliament yesterday, calling for legal and regulatory reform for a fundamental change of the private health insurance and health care ecosystem.

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