National Insurance Scheme urged as 16.4 pct medical inflation threatens healthcare access

By DayakDaily Team

KUCHING, July 4: It is time to introduce a comprehensive National Insurance Scheme (NIS) to curb the soaring 16.4 per cent medical inflation rate this year — one of the highest in Asia — as healthcare becomes increasingly unaffordable for ordinary Malaysians, putting essential care further out of reach.

Brolin Nicholsion, special officer to Bandar Kuching MP Dr Kelvin Yii, pointed out that current safety nets like Social Security Organisation (Socso), Employees Provident Fund (EPF), MySalam, and Peka B40 offer valuable support, but they remain fragmented and lack the cohesion and inclusivity required to address the evolving needs of Malaysia’s workforce.

“Many self-employed individuals and gig workers, who now make up a significant portion of the economy, remain under-protected.

“A well-structured NIS can integrate existing initiatives and streamline resources from both formal and informal sectors to offer universal access to healthcare while providing basic income protection and long-term economic security to all Malaysians,” he said in a statement today.

Brolin emphasised that this alarming trend underscored the urgent need to explore a robust NIS as an inclusive healthcare safety net that ensures no one is left behind when illness strikes.

He noted that international models offer powerful lessons. South Korea successfully transformed its fragmented system into a unified National Health Insurance Service (NHIS), covering the entire population through a tiered contribution structure.

Taiwan, meanwhile, runs one of the most efficient single-payer systems globally, with low administrative costs, universal participation, and strong public trust.

“These models show that with political will and smart design, Malaysia too can build a fairer, more resilient healthcare ecosystem,” he added.

To succeed, Brolin emphasised that the NIS must include informal sectors from the outset – enabling digital contributions via e-wallets and user-friendly self-registration platforms.

“It must also ensure strong governance through transparent fund management, independent audits, and public oversight; and avoid redundancy and inefficiencies by aligning with existing schemes such as Socso and EPF,” he said.

He suggested for a pilot first, then scale, beginning with B40 gig workers or recent graduates before broader nationwide implementation.

“This is not just a healthcare policy — it is a nation-building strategy. The longer we wait, the more people fall through the cracks,” he said.

He urged policymakers to take action, warning that without intervention, the escalating costs will deepen inequality and erode the nation’s social fabric.

“It will protect vulnerable families from rising costs, empower youth and informal workers with real safety nets, and foster a fairer and more resilient Malaysia,” he concluded. — DayakDaily

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