Page 7 - LIAM Annual Report 2020

ANNUAL REPORT 2020 5

Individual and Group Medical and Health Insurance LIAM has formed a Task Force comprising CEOs
policyholders who were at risk or exposed to the and Heads of Risk Management, Product
pandemic. Policyholders are eligible to claim for one Development, Marketing and Finance, to discuss
COVID-19 test up to RM300 as reimbursement through the areas that the industry needs to address in the
a dedicated portal www.MyCTF.my. next five years.

During the third wave of the pandemic, the The Task Force has identified several key areas for
industry expanded the CTF eligibility criteria to the industry’s growth and this includes a review of
include emergency and semi-emergency surgeries, the regulations around digital transformation, cloud
asymptomatic patients and hospital admissions. This computing and data storage to promote better
was to encourage more policyholders to go for tests innovation, establishment of a fund to accelerate
voluntarily as part of the industry’s efforts to curb the development of digital skills among the industry
the spread of the pandemic. LIAM also engaged workforce and to further address the challenges of
with private labs and public screening facilities for the Medical and Health Insurance (MHI) business.
discounted prices on COVID-19 tests.
The expansion in eligibility criteria resulted in an INDUSTRY’S WISH LIST IN 2021 BUDGET INCENTIVES
overwhelming response to the CTF. To date, over LIAM is pleased to announce that it has successfully
25,000 claims have been submitted through the lobbied the Government to accept our proposals to
MyCTF portal. be included in the Budget 2021 Memorandum which
was submitted to the Government on 28 May 2020.
The COVID-19 crisis has caused many Malaysians
to lose their jobs or suffer a steep drop in income. The tabling of the Budget by the Minister of Finance
Policyholders affected by COVID-19 are granted a 90- Malaysia, Yang Berhormat Tengku Dato’ Sri Zafrul
day deferment/no-lapse guarantee for 3 months. This Aziz on 6 November 2020, saw some of the industry’s
facility was made available from 1 April 2020 until 31 wishes fulfilled, including:
December 2020. This facility has now been extended
to June 2021. 1. RM50 Perlindungan Tenang Voucher for B40 and
the waiver of stamp duty for the purchase of
During this period, policyholders will continue to Perlindungan Tenang products for another 5 years
be protected even if they are not able to pay their to 2025;
premiums for 3 months. As at 31 December 2020,
more than 1 million policyholders have benefited from 2. Enhancing Long-term Protection and Security for
this initiative with total premiums valued at over RM1.6 the Rakyat by allowing the utilization of Employee
billion. Provident Fund (EPF) Account 2 for Life Insurance
and Medical Insurance.
The industry continued to provide other forms of
support to help policyholders keep their policies in LIAM subsequently engaged with the Ministry of
force. Some of these may include a restructuring of Finance and EPF to seek further guidance on the
policy features, such a lowering the sum assured or implementation of the above incentives.
temporarily shortening the policy duration, so that The first virtual meeting with EPF was conducted on
policyholders could keep their insurance protection. 25 November 2020. EPF will be engaging with the
In addition to the industry-wide efforts, individual life industry in 2021 to work on the proposal of utilising EPF
insurers have also rolled out various schemes to aid Account 2 for Life Insurance and Medical Insurance
policyholders throughout 2020. Protection including critical illness.
On the proposal for RM50 Perlindungan Tenang
NEW FINANCIAL SECTOR BLUEPRINT Voucher for the B40 community, on 22 January
2021-2025 2021, BNM arranged a virtual discussion with the
BNM is formulating a new Financial Sector Blueprint for Industry’s Associations to obtain feedback on
the operationalisation of the proposal before its
the next 5 years (2021 – 2025) to replace the former implementation. A survey with member companies
10-year Blueprint (2011 – 2020). An engagement was also conducted to obtain feedback on
session was held with LIAM and MTA on 19 November the Operationalisation of the RM50 voucher for
2020 to get the industry’s feedback on areas such Perlindungan Tenang.
as regulatory measures and business landscape,
strategic direction and positioning of the industry in These incentives augur well for the promotion of
the coming years, as well as digitalisation. financial inclusion among the B40 group and will also