Malaysian\u2019s total healthcare expenditure stands at RM45 billion annually, with approximately RM36 billion spent on out-of-pocket private healthcare payments, said Health Minister Datuk Seri Dr S. Subramaniam.<\/p>\n
Out-of-pocket healthcare payments refer to payments made with personal funds or savings, instead of medical insurance.<\/p>\n
\u201cAccording to international health organisations, any country with an out-of-pocket payment rate exceeding 15-20% has a higher risk of facing financial catastrophe.<\/p>\n
\u201cWe acknowledge that for Malaysia, the numbers are at an unhealthy level and the Government is looking at methods to reduce this rate,\u201d Dr Subramaniam added.<\/p>\n
Paying for medical treatments with personal savings can lead to a financial catastrophe, as one cannot predict future treatments or follow-up consultations, which can drive the medical costs even higher.<\/p>\n
\u201cThe Government is conducting a study on how best to overcome this situation and reduce the weaknesses in our national healthcare system.<\/p>\n[sc:sample_banner]\n
<\/p>\n
According to Dr Subramaniam, some individuals may not be able be eligible for private medical insurance because of the types of schemes, selection criteria, age barriers and coverage limitations.<\/p>\n
With only a small percentage of Malaysians having health or medical insurance, and the absence of social health insurance, Malaysians are accustomed to paying on their own for treatment.<\/p>\n
This may work for now, but may not be forever as patients can run out of funds quickly, leaving them in a dire straits as they cannot afford to continue treatment.<\/p>\n
The Government is currently conducting a study with Harvard University, US on how best to resolve this situation and reduce the weaknesses in our national healthcare system.<\/p>\n
They are also considering injecting innovation changes to maintain the sustainability of the current healthcare system.<\/p>\n