Great Eastern contributes to Malaysia government health plan

November 13 2018 by InsuranceAsia News Staff

Great Eastern is making a M$2 billion (US$480 million) contribution to Malaysia’s B40 Health Protection Fund, which was unveiled by finance minister Lim Guan Eng in his 2019 budget speech on November 2.

The insurer said in an announcement to Singapore’s stock exchange last week that the agreement is part of its corporate social responsibility efforts and in line with the objectives of the Malaysian authorities.

The fund will provide government and private funding to cover of up to M$8,000 of treatment and 14 days of hospitalisation for four critical illnesses for low-income families. The fund will be managed by Bank Negara Malaysia and be up and running from January 1 next year.

The deal is seen as a potential way of complying with Bank Negara’s decision to cap foreign ownership of insurers at 70%, with other insurers expected to also make contributions to the fund.

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