Healthcare costs rise beyond just medication


PETALING JAYA: The rise in charges at private medical healthcare cannot be attributed solely to the increased cost of medicine, says the Association of Private Hospitals Malaysia (APHM).

Its president Datuk Dr Kuljit Singh said that the cost of medication has risen by 5% to 6%, aligning with the overall inflation rate.

“However, you can’t compare the inflationary rise affecting the healthcare industry to other industries.

“Every two years we are forced to keep abreast with the latest medical equipment, including robotics and cancer therapy.

“We don’t use equipment or therapies that are 10 to 15 years old.

“To make these changes is very expensive, and that contributes to inflation,” he said when contacted yesterday.

He said the higher medication cost has not been drastic unless it involves the latest medication meant for specific treatment.

“If there are those thinking we are inflating prices because we are profiteering, the answer is no,” he added.

He added that it is common practice for patients to be told upfront by their doctors the cost of seeking treatment at private medical hospitals.

“Patients know well beforehand what they are paying for, and they make a decision.

“It is the wrong narrative to say that we are squeezing our patients,” he said.

He acknowledged that using generic medication may help save costs, particularly for patients on long-term medication.

He also said that private hospitals offered patients the choice of using original or generic medications for treatment.

“However, there are patients that insist on using original drugs,” he added.

Dr Kuljit also said that patients are also given the option to buy medication from the hospital or a pharmacy.

Although purchasing prescribed medication from pharmacies may lower costs, he said there is a downside to this.

“A patient may have to spend time looking for the medication at several pharmacies to see if they have stock.

“Also, the hospital will not be responsible for the quality of the medication purchased from the pharmacy, as it does not come under the control of the hospital,” he added.

On Wednesday, Health Minister Datuk Seri Dr Dzulkefly Ahmad urged private healthcare facilities to take more decisive action to control the escalating cost of medical treatment, which has risen sharply in recent years.

Dr Dzulkefly expressed concern over Malaysia’s medical inflation rate, currently standing at 12.5%, more than double the global average.

Federation of Private Medical Practitioners Associations Malaysia (FPMPAM) president Dr Shanmuganathan Ganesan said that the rise in cost was not due solely to the higher cost of medication but the requirement for private hospitals to adhere to the Private Healthcare Facilities and Services Act (PHFSA).

“The government is responsible for the significant increase as layer after layer of regulations are piled on hospitals in the drive towards complying with PHFSA requirements.

“Every effort to comply can cost hundreds of thousands of dollars, and recurring costs at that,” he said when contacted.

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