Galen Centre Proposes Mandatory Health Screenings for Malaysian Medical Insurance Amid High NCD Rates

The Galen Centre for Health and Social Policy has proposed mandatory health screenings before purchasing medical and health insurance or takaful (MHIT) products in Malaysia, addressing the challenge of undiagnosed non-communicable diseases (NCDs). Many policyholders might unknowingly carry pre-existing conditions like hypertension or diabetes, leading to potential accusations of insurance fraud upon claim. Implementing pre-screening could streamline medical underwriting, enabling insurers and takaful operators (ITOs) to better assess risk, set premiums appropriately, and determine coverage conditions including exclusions or waiting periods. However, insurers often market 'no medical screenings required' as a competitive advantage, which complicates the adoption of mandatory screenings. Malaysia currently lacks regulatory requirements mandating coverage for individuals with pre-existing conditions, despite high NCD prevalence—21 percent of Malaysians have diabetes and nearly 30 percent deal with hypertension, many unaware of their status. Health screening rates remain low, often due to perceived good health, absence of symptoms, or time constraints, which exacerbates undiagnosed risks. Cases such as a 57-year-old tongue cancer patient facing claim delays with Allianz Life Insurance highlight challenges in claims processing; insurers may defer claims pending investigations into undisclosed conditions. The Galen Centre emphasizes a need for compassionate and timely claim handling, placing patient welfare central to the process, rather than prolonged investigations. Insurance agents, while not formally involved in claims decisions, play a critical role as liaisons providing support and facilitating communication during claims resolution. Medical experts note that cancer development varies widely, with some tumors progressing rapidly within months, complicating determinations of pre-existing conditions. These insights underline the complex intersection of medical realities and insurance underwriting and claims protocols, stressing enhanced communication and regulatory clarity to align patient care with insurer processes.