MOH Moves To Tighten Rules On Private Healthcare Charges

Samuel Chua

9th December 2025 - 4 min read

The Ministry of Health is reviewing amendments to the Private Healthcare Facilities and Services Act 1998, or Act 586, in an effort to strengthen regulatory oversight of charges imposed by private healthcare providers. The amendments are still under review and have not yet been tabled or enforced. According to Deputy Health Minister Lukanisman Awang Sauni, the review reflects growing concern about medical cost inflation and the rising use of private healthcare services in Malaysia.

Expanding Act 586 To Address More Types Of Charges

Lukanisman told the Dewan Negara that the ministry is studying how Act 586 can be expanded. At present, the Act regulates only consultation and procedural fees. It does not cover other charges that contribute to a patient’s total bill, such as medication, equipment, and selected facility-related costs.

He said the proposed amendments aim to extend the Act’s coverage to additional fee categories. This would give the ministry clearer authority to monitor and address price-related issues that fall outside the current scope. The review also acknowledges the wider ecosystem behind healthcare inflation, which involves the Ministry of Finance, Bank Negara Malaysia, and the insurance sector.

The deputy minister’s remarks were in response to Senator Dr R. A. Lingeshwaran, who asked about government plans to regulate non-professional charges more comprehensively.

Current Legal Framework Limits Fee Regulation

Earlier in the session, Senator S. Vell Paari requested clarification on what protection patients currently have against overcharging by private hospitals. Lukanisman noted that Act 586 sets out a fee schedule only for consultation and procedural services carried out by registered practitioners. Charges related to medicine, consumables, or hospital equipment remain outside the Act’s present reach.

This limitation has long been viewed as a gap in Malaysia’s consumer protection landscape, especially as private healthcare costs continue to rise. The ministry’s review aims to address this structural issue, though any changes will require formal legislative processes before they come into force.

Complaints Received And Enforcement Trends

Lukanisman shared updated enforcement figures to illustrate how cost-related concerns are being managed under existing laws. In the previous year, the Ministry of Health received 817 complaints regarding private healthcare practices.

Of these, 188 cases required enforcement action for issues linked to consultation fees, procedural charges, or medication costs. 70 cases involved consultation fees, 48 related to procedural charges, and 25 involved medicine costs. The remaining complaints fell under other areas regulated by the ministry.

He emphasised that members of the public who believe they have been overcharged for consultation fees can submit complaints through the Ministry of Health’s website or contact the Private Medical Practice Control Division for further assistance. These channels remain an important mechanism as the ministry works on strengthening the regulatory framework.

Penalties For Non-Compliance Under Existing Law

Under subsection 106(4) of Act 586, private facilities that fail to follow the approved fee schedule may receive a warning letter or face a monetary penalty. The maximum fine is RM5,000 for a sole proprietor and RM15,000 for organisations, corporations, partnerships, or associations.

In more serious cases, the ministry may issue a show-cause notice, which allows it to consider whether a facility’s licence should be suspended or revoked. These measures form part of the ministry’s current enforcement toolkit while legislative amendments are being drafted.

Strengthening Consumer Protection In The Private Healthcare Sector

The review of Act 586 indicates the ministry’s commitment to improving transparency and fairness in private healthcare billing. Once the proposed amendments are finalised and passed through the legislative process, they are expected to give the government clearer authority to manage cost-related issues beyond the limited categories currently regulated.

For now, the ministry continues to rely on existing laws, public complaint channels, and cross-agency collaboration to respond to overcharging concerns and support consumers navigating private healthcare costs.

Samuel Chua

Samuel writes about personal finance and financial news, focusing on how banking updates, policies, and promotions affect everyday money decisions. He enjoys making complicated financial topics easier to follow. Outside of writing, he spends his time watching TV shows and occasionally convincing himself he will only watch one episode.

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