By Tan Wing Kit, Associate Partner of Excellence Leo
MY MEDICAL INSURANCE COVERS TOO MUCH?
If you look back into your medical insurance policy or even enquire your agents, most parents or family would notice that their policy (bought within the last five years) covers up to almost 1 million!
ISN’T THAT TOO MUCH ?
IS THE COMPANY or AGENT SELLING ME AN UNNECESSARY PLAN ?
Well, you’re not ENTIRELY wrong, perhaps just partially wrong.
Most of the time, people would say getting INSURANCE is EXPENSIVE, EXTRA or perhaps
I HAVE OTHER OPTIONS (eg. The Government Hospitals!)
But what’s more right than that statement which they fail to realise is,
INSURANCE is getting more EXPENSIVE because the MEDICAL COST is RISING!
In fact, the Medical Costs in Malaysia has been rising and rising just a little too much!
Perhaps, an average Malaysian wouldn’t be able to afford normal medical healthcare facilities if they are not well equipped with MONEY or INSURANCE in the next decades to come.
The above table content is from a personal financial knowledge blog on the medical costs data.
From the recent years in Malaysia. The costs since 2000 has in fact DOUBLE in just 15 YEARS !
Always remember,
MEDICAL INSURANCE = HOSPITALISATION and TREATMENT/SURGERIES BILLS for the hospital
(Read on the fine prints, ask your insurance agents/companies, what is excluded?)
This table with more shocking results is from The Star dated back to the year 2015.
Speak no more.
MY MEDICAL INSURANCE COVERS TOO MUCH LA!
Are you serious.
MEDICAL COSTS is obviously too much here perhaps not exactly now,
But in the coming years, YES!
RULE NUMBER 1 before buying medical insurance.
DO NOT BUY A MEDICAL INSURANCE.
You don’t need just ‘ANY’ medical insurance.
Each insurance plan is supposed to be tailored made, according to your affordability, to the coverage you need and to how long you need it for. It’s not a fast food restaurant where everyone gets the same burger and fries. If you treat it like a fast food restaurant, you would also get fast food results when you need to use it, which is obviously, UNHEALTHY !
RULE NUMBER 2 before buying medical insurance.
You are preparing your medical fees for the coming 40 to 50 years of your life, not just for tomorrow or this year.
It is EXPENSIVE as you see, it is RISING as you can read.
IF today the insurance you BUY only has RM100K coverage, please ask yourself,
Is RM100K enough if any complications are to arise in the next 40 or 50 years to come?
Are your ready to USE your hard-earned SAVINGS to pay off the Medical Bills?
IF you answer YES to any of the above questions, YOU ARE RIGHT!
YOUR MEDICAL INSURANCE COVERS TOO MUCH!
IF your answer is NO to any of the above questions, it’s time to replan your finances.
DO NOT BUY just because you need to buy.
BUY because YOU KNOW AND UNDERSTAND why you need to buy.
IF you don’t care about money, money wouldn’t care for you similarly.
IF you are to answer anyone today, ‘I HAVE INSURANCE’ but ‘I DON’T KNOW WHAT INSURANCE I HAVE’, then DON’T EXPECT to have FREE MEDICAL TREATMENTS tomorrow because you simply don’t care how your family and loved ones around you would be putting up announcement to raise funds for your next heart treatment, and borrowing from relatives who barely knows and care for you wellbeing.
