The government is open to exploring the feasibility of allowing users of medical and health insurance/takaful (MHIT) products to switch takaful operators without restarting the waiting period, akin to mobile number portability (MNP).

Deputy Finance Minister Datuk Seri Ahmad Maslan shared that such portability poses challenges as MHIT products involve long-term risk pooling and stringent consumer behaviour requirements. He noted that waiting periods are designed to prevent misuse by policyholders seeking coverage for pre-identified medical conditions without contributing to the risk pool.

"Without a waiting period, there is a risk of increased claim costs, which could raise premiums and affect affordability for other policyholders," he explained during the Dewan Rakyat session in response to a question from Tumpat MP, Datuk Mumtaz Md Nawi.

To safeguard policyholders, Bank Negara Malaysia (BNM) enforces strict regulations on waiting periods for MHIT products, including:

• Accident Coverage: Claims arising from accidents are allowed during the waiting period.
• Maximum Waiting Period: Limited to 30 days for general conditions and 120 days for specific illnesses such as cancer and heart disease.
• Disclosure Requirements: Insurers and takaful operators (ITOs) must clearly outline the waiting period in product disclosure sheets.

Additionally, ITOs must ensure that their agents assess the suitability of financial products for consumers based on their needs, risk profiles, and financial situations, according to BNM's "Fair Treatment of Financial Consumers" guidelines.

"The government remains committed to ensuring continuous and effective access to healthcare and will study the proposed portability of MHIT products to align with these objectives," Ahmad Maslan concluded.