SANDAKAN: Sabah UMNO has urged the State Government to provide clearer details on its newly-announced free group insurance scheme, emphasizing the need for transparency in funding, implementation, and long-term sustainability.
State UMNO information chief Datuk Suhaimi Haji Nasir acknowledged the scheme’s intent to assist low-income groups but raised several critical questions.
With coverage for 3.5 million Sabahans, Suhaimi questioned whether the state can sustain the financial burden without compromising allocations for healthcare, education, and infrastructure.
“If state funds are being used, how will this impact other essential sectors?” he asked.
The scheme runs from 1 May 2025 to 30 April 2028, but Suhaimi expressed concerns over its short-term nature.
“Is there a long-term policy to ensure continuity, or will this end as a temporary measure?”
Suhaimi demanded clarification on whether the state-owned insurer was selected via open tender or direct negotiation, stressing that public funds must be managed with accountability.
He called for details on how automatic registration will avoid data duplication or exclusion errors.
He also questioned if the RM10,000 (personal accident) and RM500 (death benefit) coverage is sufficient given rising living costs.
The scheme was approved by the Sabah Cabinet on April 9, as announced by Finance Minister Datuk Seri Masidi Manjun.
Key features include – free coverage for all eligible Sabahans, from infants to 80-year-olds; fast claims processing, with payouts within 14 to 30 days upon complete documentation; aims to ease financial burdens, particularly for the B40 group.
The government must define management mechanisms, funding sources and success indicators. Only with full transparency can this initiative be truly effective and sustainable, Suhaimi concluded. – James Leong
