Health Minister Datuk Seri Dr Dzulkefly Ahmad has clarified that a proposal enabling contributors to utilise their EPF Account 2 for the payment of health insurance premiums would draw only 1% from the account.

Dzulkefly also reiterated that participation in the scheme would remain entirely voluntary.

“Through this approach, the government hopes to expand access to faster, higher-quality private healthcare without increasing the financial burden on the people.

“It doesn’t come out of their pockets. Only about 1% of their EPF Account 2 would be used to pay for insurance. This is the best way,” he stated.

The initiative, which is currently under consideration by Putrajaya, aims to support the 16 million members of the Employees Provident Fund. Dzulkefly noted that approximately 32% of healthcare expenses in Malaysia are paid directly by individuals who do not possess insurance coverage.

EPF Account 2 is already available for specific uses, including education, medical expenses, housing, and partial withdrawals from the age of 50. Health-related withdrawals are currently limited to approved medical treatments, the acquisition of healthcare devices, and fertility-related procedures.

Previously, Bank Negara Malaysia urged insurers and takaful providers to reassess their pricing strategies. This follows widespread reports of sharp increases in medical insurance premiums, ranging from 40% to 70% this year.

(Source: Bernama) 

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.

• TAGS:
• Datuk Seri Dr Dzulkefly Ahmad
• Employee Provident Fund
• EPF Account 2
• Health Insurance
• Health Insurance Premiums
• Premiums

About THE AUTHOR

Samuel Chua

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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