KUALA LUMPUR – Several PKR lawmakers have called on Bank Negara Malaysia (BNM) to step in following significant hikes in premiums for teachers subscribed to the NUTP Takaful Healthcare insurance scheme.
Bayan Baru MP Sim Tze Tzin, alongside Senators Amir Ghazali, Dr Mohd Azam, Isayiah Jaccob, and Bob Manolan, highlighted complaints from affected policyholders during a Public Accounts Committee (PAC) public hearing in Kuala Lumpur.
Sim said the insurance scheme, offered to members of the National Union of the Teaching Profession (NUTP), has undergone multiple provider changes over the years, shifting from Great Eastern in 2016 to Etiqa Takaful, and most recently to Prudential BSN Takaful in 2024.
Although it is not compulsory, many teachers opt for this group insurance due to its lower cost compared to private medical insurance.
However, policyholders have reported drastic premium increases. Some have seen their premiums rise by 852% over 12 years, with one case escalating from RM588 in 2002 to RM8,002 in 2025.
Others faced an abrupt 190% surge between 2023 and 2024 after the transition to Prudential BSN Takaful.
“The premium hikes are excessive and burdensome to policyholders. We urge Bank Negara to extend its interim measures to protect these subscribers and work towards a more sustainable healthcare and insurance system for the country,” Sim, who is a PAC member, told a press conference in Parliament today.
According to data compiled from premium hike notices, a policyholder’s annual premium under Etiqa Takaful was RM4,149.60 in 2023 but jumped to RM12,138 in 2024 under Prudential BSN Takaful, he noted.
Sim also stressed the need for regulatory oversight to prevent further financial strain on teachers and ensure affordability in medical insurance coverage. – March 13, 2025