Some private hospitals may be removed from insurance panels for saying no to 'exorbitant' discounts, says association
25 Feb 2025, 09:09 pm
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KUALA LUMPUR (Feb 25): The Association of Private Hospitals Malaysia (APHM) said some of its member hospitals risked being removed from insurance panels for being unable to meet insurers’ requests for “exorbitant discounts" on patient bills.

In a statement on Tuesday, APHM urged patients to verify with their respective insurance providers as hospitals delisted from the insurance panel will no longer offer cashless facilities or accept guarantee letters.

Patients will still be able to seek treatment at these hospitals but they will have to pay upfront and claim reimbursements on their own from insurers, the association added.

APHM said its member hospitals have already implemented various cost-containment measures, particularly after Covid-19, to address medical cost inflation.

The hospitals have consistently provided reasonable discounts to insurers, the association said, but added that "exorbitant discounts are not sustainable and will compromise the quality of care that our patients expect to receive".

APHM also noted that its member hospitals have reinvested profits annually into the latest technology and infrastructure, which it believes is vital in enhancing patient treatment through less invasive procedures and in improving survival rates.

The association said it is currently in discussions with the Ministry of Health, Bank Negara Malaysia and the Public Accounts Committee "to explore transparent and collaborative solutions that address the issue of medical inflation".

Edited ByS Kanagaraju
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