Guide To Employee

Health Benefits In
Malaysia
Guide To Employee Health Benefits In Malaysia |

Content
1) Introduction

2) Types of Medical Coverage

3) Popular Employees Healthcare Benefit

4) Organisation Expenditure on Medical Coverage

5) The Importance Of Medical Coverage

6) HealthMetrics Professional Plan

7) Getting Started with HealthMetrics

Guide To Employee Health Benefits In Malaysia |

Introduction
Employee retention and talent attraction for organisation are among the
challenges that many human resources professionals encounter in ensuring a
low turnover rate among their employees. Employee benefits are one of the
many perks believed to be a substantial factor for employees to perform better.

According to Insurance Business Asia, 23% of employees have recorded higher

job performance and invested almost two times of their effort voluntarily when
they have a great employee experience that includes an excellent benefits
scheme.

While there are various employee benefits to choose from, research from
Clutch shows 62% of employee prioritise health insurance coverage over any
other benefit as it is essential in terms of job satisfaction.

Hence, this eBook will provide insights towards the basics of employee health
coverage such as utilisation, corporate expenditure and ways to manage your
corporate healthcare plan through a digitalised platform.

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Guide To Employee Health Benefits In Malaysia |

Types of Medical Coverage

Outpatient care is any medical service you receive without being admitted to a
hospital or for a stay shorter than 24 hours. Here are a few example of inpatients
services :

• General Practitioners
• Dentist visitation
• Minor Surgeries
• Routine physicals

Inpatient care is when your are staying in a hospital and receiving medical care
directed by a physician or another medical provider. Inpatient stays can be very brief
or several weeks long. Here are a few example of inpatients services:

• Major Surgeries
• Childbirth
• Rehabilitation service

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 Guide To Employee Health Benefits In Malaysia |

Popular Employee Healthcare Benefit

Data Obtained From HealthMetrics Corporate Clients

The graph above displays HealthMetrics 1,000+ corporate clients that currently use
the HealthMetrics platform. The most popular benefits are specialist visitation and
health screening, followed by preventive care services such as medical checkup,
vaccination, and wellness.

It`s no surprise that health screening and specialist visitation are among the
popular choice, as it was reported that Malaysian employees are generally
unhealthy due to inadequate dietary consumption and physically out of shape.

According to the National Health and Morbidity Survey 2019, many Malaysian
employees suffer from multiple health comorbidities such as diabetes, hypertension
and obesity as the highest underlying health issue.

When these diseases are left untreated, it could lead towards complex
cardiovascular diseases ( heart attacks and stroke), cancer, and other chronic
diseases and would require cardiologists specialist for further diagnostics and
treatment.
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 Guide To Employee Health Benefits In Malaysia |

Organisation Expenditure on Medical

Coverage
Ever wonder how much do organisation spend on retaining their top-performing
employees ?

Data obtained from the Malaysian Employers Federation(MEF) Fringe Benefits

Survey 2020 provides comprehensive coverage of fringe benefits policies and
practices adopted by the public and private sector. The survey consists of 199
companies compromising various industries such as real estate, banking and
finance, logistics and consultation and many more.

In 2020 alone, showed that employers have spent RM 62.5 Million, with inpatient
contributing RM 36 million and outpatient contributing RM 26.4 Million. Below are
figures from each organisational hierarchy such as senior management, managers,
executive, expatriates and foreign labour.

Outpatient Coverage
Outpatient Expenses Paid by company for Outpatient Insurance Coverage For Medical Consultation Average Outpatient Expenses Paid Per Employee
Coverage Treatment ( RM/ Year ) (RM/ Year ) (RM)

Organisation
Expenditure For 26,496,095.01 156,991.03 4,553.78
Outpatient in 2020

Inpatient Coverage
Expenses Paid by Organisation Average Inpatient Expenses Hospitalisation & surgical Employee Dependants
Inpatient Expenses Paid by Organisation Average Inpatient Expenses Hospitalisation & surgical Employee Dependants
for Inpatient Treatment Paid Per Employee Insurance Coverage Hospitalisation Coverage
Coverage for Inpatient Treatment Paid Per Employee Insurance Coverage Hospitalisation Coverage
(RM / Year) (RM / Year) (RM / Year) (RM / Year)
(RM / Year) (RM / Year) (RM / Year) (RM / Year)
Organisation
Expenditure For 36,042,490.83 37,015.43 339,150.18 249,535.36
Inpatient in 2020
 Guide To Employee Health Benefits In Malaysia |

The Need For Medical Coverage

Mercer March Medical Trends 2021

According, to the Mercer March Medical Trends in Malaysia the cost of

medical treatment including inpatient and outpatient is increasing by 13% on a
year to year average. Hence, most Malaysian employers provide group medical
insurance plans to employees, to cover any accidents and illness as it can be
expensive to pay out of pocket.

Further research from the MEF, shows employers are now becoming more
aware of the importance of an extensive healthcare benefit program that
includes inpatient benefits.

However, it can be challenging for HR to craft an inpatient plan, especially for

corporate with large headcounts, as the services compromise complex
hospitalisation and surgery care when compared against outpatient service,
which generally deals with smaller scaled treatment.

At HealthMetrics, we asked our customers, listened to their feedback, and

we're excited to launch our Professional Plan, which includes inpatient
benefits modules to solve confusing inpatients matters and manage complex
healthcare expenditure more effectively.
 Guide To Employee Health Benefits In Malaysia |

HealthMetrics Professional Plan

HealthMetrics Professional Plan is a self-funded plan and is similar towards
Administrative Service Only (ASO) practice. It works by, organisation fund their
employee benefit plan and the administration is handled by HealthMetrics.

The benefits of using this plan are that there is no annual premium. Instead, it is
a pay-per-use usage, meaning the organisation will only pay the amount based on
their employee medical utilisation and a one-time refundable deposit to begin
using the service.

Summary of The Professional Plan

Two main costs for Fixed Cost: Variable Costs:
Employers to create
consideration: fixed One-time refundable Healthcare claims
and customise their
cost and variable cost deposit monthly depending
health plan
on utilisation

We at HealthMetrics, understand the difficulty in preparing a healthcare plan.

Therefore we have prepared a complimentary evaluation to assist you in picking
the right plan. Click here to conduct a free assessment to further streamline your
organisation healthcare plan.

Why Should My Organisation Consider

HealthMetrics?
No matter how large a company may be, you may not wish to handle all
insurance issues in-house. Outsourcing your plan's administration prevents your
HR team from enduring a learning curve and dealing with potentially confusing,
complicated insurance matters where mistakes can easily be made and cost your
company.
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Guide To Employee Health Benefits In Malaysia |

Getting Started With Healthmetrics

As an HR manager, you will be able to understand your employees’ medical
consumption and well-being. For example, suppose the medical claims for flu
have increased by 80%.

In that case, it`s an indicator of your workforce health, where you might consider
investing in a flu vaccination program for your employees to reduce overall
transmission of the disease and reduce absenteeism and presenteeism.

As a result, this can improve the employees’ experience and productivity at your
company. Employees will also have access to their allocated healthcare benefits
using the HealthMetrics mobile application. Through the HealthMetrics platform,
all the paperwork involved will be streamlined and automated for HR
teams when employees submit their medical or sick leave to go to the hospital or
the nearest GP.

All-in-all, HR teams can save time and cost while providing peace of mind to
employees. If you are ready to get started, speak to one of our consultants here
or visit our pricing page today.

About HealthMetrics

HealthMetrics, is an enterprise web-based software to assist HR in

simplifying and managing the complexities of employee healthcare Address
plans with our extensive healthcare providers and employee B-04, Level 4, The Place @ One City, Jalan
productivity analytics. USJ 25/1, 47650 Subang Jaya, Selangor

Our primary objective is to provide a hassle-free and cost-effective Email

solution for businesses to provide the hugely important employee marketing@healthmetrics.co
medical benefits. HealthMetrics’ complete health solution also
provides the flexibility to HR to implement other benefits such as Contact Number
dental or vision care within seconds. +603 7661 6229

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