Latest news with #RM273.24
New Straits Times
3 days ago
- Business
- New Straits Times
MP urges insurers to extend reinstatement application period
KUALA LUMPUR: Insurance companies have been urged to extend the policy reinstatement period by another 60 days, beyond its current expiry on June 30. Bayan Baru member of parliament Sim Tze Tzin said Bank Negara Malaysia's (BNM) interim measures have been crucial in helping policyholders revive terminated insurance plans following rising premiums. "I would like to urge those who have terminated their policies due to financial stress or premium increases, to immediately contact their respective insurance companies to review their cases for the possibility of reinstating their policies. "This period is important. Lapsed policies may still be able to be revived without any adverse impact on existing coverage, but action must be taken before the expiry date," he said in a statement today. He said that BNM's measures allow reinstating insurance policies without underwriting or a waiting period, just by signing a special form and paying a three-month premium. He cited the story of a man who took out a comprehensive insurance policy in 2014 at age 27, covering life, critical illness, personal accident and medical plans, with a starting premium of RM200 that rose to RM273.24 by 2023 after two revisions while also paying for his family's insurance. The man eventually terminated the policy in late 2024 due to financial struggles —only to suffer a stroke while uninsured — but was later able to revive it under Bank Negara Malaysia's Interim Measures, without underwriting or a waiting period, by signing a special form and paying three months' premium, Sim said, underscoring the need to revive terminated policies immediately. KW: nst, nation, malaysia, news, Bank Negara Malaysia, BNM, sim tze tzin, bayan baru, insurance, premiums
The Star
3 days ago
- Health
- The Star
Extend reinstatement application period, says MP to insurers
PETALING JAYA: Major insurance companies should extend the reinstatement application period by 60 more days, says Bayan Baru MP Sim Tze Tzin. He said in a statement on Tuesday (June 10) that this interim measure should be extended so that more people who have had to terminate their medical insurance have sufficient time to reactivate it. Sim then added that the reinstatement period to facilitate recovery will end on June 30 and said that since Bank Negara introduced the interim measure, one positive development is the increase in people reactivating their policies. 'This period is crucial. Lapsed policies may still be reinstated without adversely affecting existing coverage, but action must be taken before the deadline,' he added. Sim then said that he urged those who have terminated their policies due to financial pressure or premium increases to contact their respective insurance companies to check their cases for possible policy recovery. 'I also urge insurance agents and Malaysians to share this important information with friends and family. Do not wait until it's too late,' he said. Sim then said NAMLIFA Central Region had shared a true story about a 'Mr Ravi' who took out an insurance policy in 2014 when he was 27-years-old. He said that in this instance, the comprehensive coverage initially cost RM200 per month but rose to RM273.24 by 2023 due to two premium increases. Sim added that this policyholder struggled after losing his job during the Covid-19 pandemic and could not maintain payments. 'This financial strain led to him cancelling his policy in late 2024, leaving him uninsured when he had a stroke,' said Sim 'Fortunately, Bank Negara Malaysia's interim measure allowed him to reactivate his policy without undergoing underwriting, enabling him to claim for treatment, though many remain unaware of this opportunity,' he added.
