EPF members may soon use Account 2 for health insurance, says Dzulkefly
KUALA LUMPUR: The government is considering allowing Employees Provident Fund (EPF) members to use their Account 2 savings to pay for monthly health insurance premiums.
Health Minister Datuk Seri Dr Dzulkefly Ahmad said if implemented, 16 million EPF contributors could gain access to private hospital treatments using their contributions.
The proposed approach, practised in several other countries, aims to ensure broader health insurance coverage for the public. Currently, 32 per cent of healthcare costs in Malaysia are paid out-of-pocket.
However, Dzulkefly stressed that participation in the scheme would be optional.
"A small percentage can be used for insurance payment. They won't even feel it, as it doesn't come out of their pocket. It's from the EPF. This is the best way. Eventually, our people will have coverage like in Singapore. But we can't force it," he said.
He said the members should have options as some may want broader insurance coverage available in the market.
The scheme differs from the ongoing i-Lindung initiative, which only covers disability, critical illness and life protection.
The government also plans to launch the 'Rakan KKM' initiative by the third quarter of this year.
"For example, hospitals in Putrajaya and Cyberjaya have ward branches and operating theatres that are often underused due to staff shortages. These are considered excess capacity," he explained.
Four hospitals have joined the programme so far: Cyberjaya Hospital, Putrajaya Hospital, Serdang Hospital and the National Cancer Institute (IKN).
"At the same time, we're creating more room. When people go to Rakan KKM partners, it opens space for the B40 group. They'll enjoy more appointments and access to doctors. This helps the lower-income group and civil servants use public healthcare more efficiently. That's the system we want to build," he added.
Fourty public hospitals with a total of 800 beds have been identified to join the Rakan KKM initiative in phases.
The project involves a total investment of RM85 million, including a RM25 million allocation under the 2025 budget.
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