Medical claims growth set to stay in double digits, insurers pay RM13.5bil claims in 2025
KUALA LUMPUR: Malaysia’s medical claims are likely to continue rising at double-digit rates in the near term, fuelled by higher healthcare utilisation and growing demand for treatment, industry experts said.
Malaysia's medical claims costs are expected to continue rising at double-digit rates in the near future, driven by increased healthcare utilization and growing demand for treatment, according to industry experts. The Malaysia Medical Claims Inflation Report for 2025 indicates that medical claims inflation remained elevated at 12.28 percent, with 11.22 percentage points of the increase stemming from a higher number of claims and the remainder attributed to higher costs of care.
In 2025, the insurance and takaful industry paid a total of RM13.5 billion in claims, marking a 10.7 percent increase from RM12.2 billion in 2024. The shift in healthcare utilization patterns, such as a decrease in inpatient claims and an increase in daycare claims, also contributed to the rising claims costs. To address the issue holistically, collaboration among policymakers, healthcare providers, insurers, takaful operators, and consumers is essential.
The industry supports measures like deductibles, co-insurance/co-takaful, and the government's RESET initiative, MediAsas, and diagnosis-related group-based billing to enhance affordability and cost management.
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