BNM's Interim Measures on Medical Health Insurance
In response to Bank Negara Malaysia’s (BNM) statement on 20 December 2024, we are reviewing our medical revision requirements to align with the interim measures announced. We are fully committed to supporting BNM's initiatives and will be reaching out to the affected policy/certificate holders.
We request for your understanding to allow us to work out the details on the interim measures under the guidance of BNM with your best interests in mind.
Kindly take note that this is applicable to policy/certificate holders impacted by medical revision effective 1 October 2024 onwards.
For further assistance, policy/certificate holders may reach out to our dedicated hotline starting 15 January 2025:
- PAMB: 03- 2771 2450 or shareyourfeedback@prudential.com.my
- PruBSN: 03-2742 4060 or customer@prubsn.com.my
(Monday to Friday, from 8.30am to 5.15pm)
References:
Link to BNM’s press statement: Interim measures to assist policyholders and to promote continued access to suitable medical and health insurance/takaful products - Bank Negara Malaysia
Link to BNM’s information on the interim measures: Interim Measures to Promote Continued Access to MHIT Products - Bank Negara Malaysia
Link to LIAM's press statement: Insurance and Takaful Industry Introduces Interim Measures for Policyholders/Takaful Participants Impacted by Premium/Contribution Repricing
Link to LIAM FAQs: FAQ-Interim-Relief-Measures-20Dec2024-FinalVersion.pdf
You can also refer to these FAQs to help you understand more:
FAQ
1. What are the BNM interim measures?
On 20 December 2024, BNM announced interim measures to help policy/certificate holders affected by premium/contribution adjustments revisions on their Medical and Health Insurance/Takaful (MHIT) plans. These measures aim to alleviate the immediate financial impact and ensure continued coverage. These measures are:
-
Spread out future premium/contribution adjustments.
For affected policyholders, premium/contribution adjustments will be spread over a minimum of three years (staggered premium/takaful contribution increases). This means at least 80% of policy/certificate holders will see yearly premium/contribution adjustments of less than 10% annually.
-
Special provisions for customers aged 60-years-old and above.
There will be a one-year pause on premium/contribution adjustment due to medical claims inflation for those aged 60 and above, covered under the minimum plan.
-
Policy/Certificate Reinstatement Options.
Customers who have surrendered their policies/certificates or whose MHIT policies/certificates lapsed due to repricing in 2024 can reinstate them without additional underwriting requirements. This option will be available upon request.
-
Alternative MHIT Product.
To supplement the interim measures, insurers and takaful operators must develop an appropriate alternative MHIT product within the next one year that carefully considers the long-term affordability of medical coverage.
Dedicated support hotline.
We have set up a dedicated helpline to provide guidance, address your inquiries, and offer solutions tailored to your needs
For further assistance, you can reach out to our dedicated hotline starting 15 January 2025:
-
PAMB: 03- 2771 2450 or shareyourfeedback@prudential.com.my
-
PruBSN: 03-2742 4060 or customer@prubsn.com.my
(Monday to Friday, from 8.30am to 5.15pm, excluding Public Holidays).
2. Is my policy/certificate impacted by these interim measures?
The interim measures are applicable to policy/certificate holders impacted by the medical revision effective as per the table below.
Medical Revision Effective Date |
Medical Plans |
|
PAMB |
PruBSN |
|
From 1 October 2024 onwards |
PRUHealth (PHL) PRUFlexi Med (PFM) PRUValue Med (PVM) PRUMillion Med (PMLM) |
HealthEnrich+ (HE+) HealthEnrich (HE) HealthProtector (HP) |
From 1 November 2024 onwards |
|
Medic Protector (MP) |
From 1 December 2024 onwards |
PRUMajor Med 1-5 (PMM) |
Takaful Health2 (TH2) Takaful Health (TH) Major Medical Cover2 (MMC2) Major Medical Cover (MMC) |
The following plans are excluded from medical revision and are not impacted by BNM interim measures:
|
We will reach out to affected customers once we have details on how the interim measures affect their policy/certificate and make the necessary adjustments.
3. I received a medical revision notification letter. What should I do?
We encourage you to continue paying your current premium/contribution to ensure the sustainability of your plan(s). We will reach out to affected customers once we have details on how the interim measures affect your policy/certificate and make the necessary adjustments.
Kindly take note that this is applicable to policy/certificate holders impacted by medical revision effective 1 October 2024 onwards, as guided in Q2.
4. The medical revision notification letter mentioned a Special Medical Plan Campaign. Is this still applicable?
Before BNM announced the interim measures, we launched a Special Medical Plan Campaign to defer the start of the new premium/ contribution rates and cost of insurance (COI)/Tabarru` deduction. This campaign is applicable for medical plan policies/certificates undergoing medical repricing from 1 October 2024 to 31 December 2024. We have extended the campaign to 28 February 2025, for customers with medical revision effective from 1 October 2024 to 28 February 2025.
We encourage customers to continue paying your current premium/contribution to ensure the sustainability of your plan(s). We will reach out to you once we have clearer details on how the interim measures affect your policy/certificate and make the necessary adjustments.
5. My premium/contribution was adjusted between 1 January 2024 and 30 September 2024. Am I eligible under this interim measure?
BNM’s interim measures are only applicable to policy/certificate holders impacted by medical revision effective 1 October 2024 onwards. You can refer to the table in Q2 for details on which policies/certificates are eligible.
6. What happens if I have already paid the new premium/contribution before these measures take effect? Will I get refunded and when?
If you are eligible under the interim measures, you will receive a refund on your premiums/contributions paid.
7. What is staggered/spreading out of premium/contribution increases?
Staggered or spreading out of premium/takaful contribution increases is a flexibility offered to adjust the increase in premium/contribution to a lower amount, distributed over a period of 3 or 5 years (depending on your medical plan). This is only a temporary relief measure to assist policy/certificate holders in managing their premium/contributions during this interim period. We will be reaching out to the affected policy/certificate holders with more information.
8. Will my benefits be affected by this new measure?
No, your medical benefits, including coverage limits, remain unchanged.
9. How will these measures affect senior citizens aged 60 and above?
For customers aged 60 years old and above, who are covered under the minimum plan, there will be a one-year deferment of the incremental or the repriced amount. This means there will be no repricing for one year for eligible policy/certificate holders, please refer to the table in Q2 for more details.
This one-year deferment on the adjustment or repriced amount does not apply to the premium/contribution increase that results from a policy/certificate holder moving up to a higher age band.
Please reach out to your Wealth Planner / Takaful Consultant or Bank Representative to find out more on your plan.
10. I have not made a claim, why am I still being repriced?
Insurance works on a risk-pooling concept. It is the equal sharing of financial risk among the large group of people contributing funds to the same pool. Insurers use the pool of money to cover large claims to minimise the cost of impact to the policy/certificate holders. When claims increase, the pool needs to be topped up by increasing premiums.
11. What are the other options available for me?
We offer several flexible options, including:
For PAMB customers:
Options |
Details |
Convert to a medical plan with co-payment options |
You may lower your premium by converting to a medical plan with co-payment options (i.e. Deductible / Med Saver / Coinsurance), if applicable. |
Review and downgrade current benefit(s) |
You may review and opt to downgrade your policy benefits to suit your needs, subject to the terms and conditions of the policy. However, we wish to remind you that any changes to your coverage will have an impact to your protection. |
Consider changing premium payment frequency |
You may consider changing your premium payment frequency to lower down lump sum financial commitment (if applicable). |
Consider a different medical plan |
You may consider purchasing a new or different medical plan offered by Prudential, subject to underwriting. |
Adjust Target Coverage Term (for Investment-Linked policies only) |
Shorten the target coverage term to match your needs and affordability. Note that this may affect the policy’s ability to sustain insurance charges deduction until the chosen expiry age. |
You may also contact your dedicated Wealth Planner / Takaful Consultant / Bank Representative for further advice and recommendations.
12. I surrendered/lapsed my policy/certificate due to repricing. Can I reinstate my policy/certificate under these interim measures.
Where applicable, policy/certificate holders who have surrendered/lapsed their policy/ certificate in 2024 due to repricing will be eligible for reinstatement without underwriting, within 12 months from the date their policy/certificate has been surrendered/lapsed.
13. How do I reinstate my policy/certificate?
To reinstate your policy/certificate, if applicable, you can reach out to your Wealth Planner / Takaful Consultant or Bank Representative or contact us from 15 January 2025 onwards for assistance.