Medical Insurance Premiums to Go Up By 40-70%?

The rising cost of healthcare at private hospitals will reportedly lead to an increase in medical insurance premiums in 2025. Medical insurance premiums are expected to rise by 40-70% next year, with some policyholders choosing to terminate their policies as they are unable to bear the escalating cost of the monthly fees.

Utusan Malaysia reported the impending increase based on notices sent by insurance providers to policyholders, citing the rising cost of healthcare at private hospitals. A policyholder received a letter from his insurance provider stating that the new rates would take effect from next February. Another policyholder, said his insurance premium had increased by RM133, from RM244 to RM377 per month.

 

Source: https://en.wikipedia.org

Recently, a group of PKR MPs claimed that the rising cost of private healthcare services was forcing the middle class to seek treatment at government hospitals and clinics, exacerbating the problem of overcrowding at these facilities.

As mentioned previously in this blog, medical costs in Malaysia rose by 10% in 2022 and 12.6% in 2023. This is higher than the global average of 5% in 2022 and 5.6% in 2023. The reasons are several, costs of supplies, services, drug prices, elective medical procedures and so forth. But if a treatment is done and paid out one’s pocket then it is lower by 15% to 20% compared to under insurance. 

Maybe a National Health Fund (NHF) could provide the cover. And it is funded by both government and consumer. That will subsidise healthcare in Malaysia. If not, medical inflation will drive more into government hospitals! And where is Bank Negara in all of this? Protecting the insurance companies or the consumer?

Reference:

Medical insurance premiums reportedly set for 40-70% rise, FMT Reporters, FMT, 26 Nov 2024

Global Airfares Set to Rise in 2025!

Global airfares are set to become more expensive in 2025, according to an American Express Global Business Travel Group Inc forecast. Ticket prices will reflect higher costs and lingering supply-chain disruptions.

Fares on most routes will rise, though the size of the increases will likely vary greatly by region. North America and Europe are expected to see more “modest” increases of around 2% while Asia and Australasia, among the last regions to unwind pandemic curbs, are set to see rises of close to 14%.

While airlines are largely more bullish about demand in 2025, their near-term efforts to add capacity remain hampered by delays in both new Airbus SE and Boeing Co planes, as well as longer servicing of jet engines that prevent more aircraft from taking to the skies.

Increases in ticket prices in 2025 are likely to more than erase any decreases before 2024, meaning some fares may return to post-pandemic highs.

The key drivers pushing up airfares include rising wages and staffing shortages, particularly with the ongoing labour disputes in North America and the cost of fuel amid ongoing geopolitical tensions. In addition, airlines continue to add new surcharges and low-cost carriers have invested in expensive extras like airport lounges and better seats.

Routes between Europe and Asia will likely see a 6.6% jump for economy travel and 8.2% in business, driven largely by the higher costs associated with avoiding Russian airspace and curtailed supply, and as several European carriers pull out of China.

Australia is forecast to see the largest increases especially for domestic travel. Qantas Airways Ltd and Virgin Australia are set to consolidate their effective duopoly in the market following the collapse of smaller carriers Rex and Bonza.

That’s bad news for travellers and businesspeople. Alternatives like cruise holidays may bloom but these are for leisure travellers. Businessmen will still need air travel for their meetings. So, perhaps one other way is to look at zoom or such other avenue to reach out to businesspeople overseas. Anyway, decide your options wisely.

Reference:

Global airfares set to rise yet again in 2025, Amex report says, Adrian Wong & Danny Lee / Bloomberg, 25 Nov 2024

Use BM for Signages!

As many of us are aware, UMNO is the acronym for United Malays National Organisation. But Dr M in his 22 years as  the President of UMNO, did not insist for the party to be identified and referred to officially and publicly in Bahasa Malaysia, Pertubuhan Kebangsaan Melayu Bersatu (PEKEMBAR) instead of UMNO. 

Dr M recently called for the prioritisation of Bahasa Malaysia on business premises in the city.

When he was the President of UMNO, he didn’t refer to UMNO’s HQ, to its name in Bahasa Malaysia Pusat Dagangan Dunia Putra instead of PWTC which is the acronym for Putra World Trade Centre. He said English on the signboards, he can understand but not why the Chinese language which was displayed prominently. This should be limited to translations in smaller characters.

 

Source: https://commons.wikimedia.org

The last time, a non halal beverage (Timah whisky) used a Bahasa Malaysia term for its brand with English in smaller characters, it caused an uproar, and some called for the manufacturer to be banned. 

If he is sincere and concerned about the lack of usage of Bahasa Malaysia in signages, take the public transport and go around Kuala Lumpur. He will find himself in Pakistan with the big Pakistan bazaar at Masjid Jamek station. Take a stroll slowly to Leboh Ampang and he will find himself in India. Proceed to Jalan Silang and he will be entering Nepal, Myanmar and Vietnam at one go. There is no country border here. All of them mixed in one place. 

Quickly take a bus or monorail to Jalan Bukit Bintang. Here he will enter Africa, Middle East, China and Uzbekistan in one place. It’s a food haven. Then take the bus to Jalan Chow Kit. He will now enter Indonesia. There is Jawa Timur, Jawa Barat, Madura, Bali and particularly all parts of Indonesia at one place. He won't find this even if he goes to Indonesia itself. 

Not only are we part of China now. We are also part of Pakistan, Nepal, Myanmar, Vietnam, Africa, Uzbekistan, India and Indonesia. Does he welcome the presence of these various nationalities in the country’s capital? 

As with every business, the owners will try and push their luck in their application for permits / licences. If those who approved the licences and permits for them to operate are strict in their approval process and enforcement, do you think these business owners would have done anything different? All these didn’t drop from the sky suddenly. Who monitors them and carries out enforcement to ensure they operates within the confines of their approved permits and licensing? Who collects the fees for the licensing and permits? 

So, why don’t we just celebrate under the slogan “Live and Let Live”!

 

Reference:

Use BM for Timah whisky you complain, use English for buildings you complain, use Chinese for a non halal edible eat…, Opinion, https://newswav.com, 24 November 2024