KUALA LUMPUR: Insurers have agreed to cap the increase for medical and takaful health insurance (MHIT) premiums by 10 per cent by spreading the changes in premiums over a minimum of three years for all policyholders affected by the repricing.

This measure will remain in place until the end of 2026.

With this measure, at least 80 per cent of policyholders are expected to experience yearly premium adjustments due to medical claims inflation of less than 10 per cent.

BNM in a statement today said policy holders who have signed up for policies which affected between 40 and 70 per cent can contact their insurer to avail of the interim measure. Policyholders who have surrendered their policies following the spike in premium price can also contact their insurer to get back on their medical plan.

The interim measures above are not applicable to premium increases that may apply when a policyholder moves to a higher age band.

Another measure to ease the burden on vulnerable groups of those above 60 years old, is to pause the premium hike for a year until 2026.

BNM governor Datuk Seri Abdul Rasheed Ghaffour said the interim measures will manage the issue of premium hikes while industry players and the regulators undertake important reform for a more sustainable and long term solution to medical inflation.