How many medical card should one have?

With rising medical costs and inflation, one might wonder if having one medical card is enough. Medical cards are used to help cover healthcare and medical expenses such as hospitalization and surgical costs, medications, doctor consultations, care providers, and sometimes dental expenses. However different from life insurance policies, a medical card works on the principle of reimbursement. In this article, we will look into the concept of a medical card and the scenarios in which having more than one medical card is considered to be useful.

In this context, the principle of reimbursement simply means that the insurance company will reimburse or pay the medical costs incurred by the insured. Different from a life insurance policy, where a lump sum payment will be paid out to the beneficiary, a medical card works solely on the basis of reimbursement. For example, if Alia pays RM300 for her medications, based on the policy terms and conditions, the insurance company will repay Alia RM300 for the medical cost incurred.

Now the question still remains, how many medical cards should one have? And the answer actually depends on the individual needs. In most cases, having one medical card should suffice, as most policies have similar health and medical coverage and policy exclusions. However, there are certain scenarios where having more than one medical card will come in handy.

First scenario, when you have low annual limits. Say if you have an RM50k annual limit, you may consider getting another medical card with an RM50k annual limit. This will increase your overall annual medical coverage to RM100k. But please do note that if the medical expenses incurred are RM1k, you can only claim or reimburse up to RM1k using one of the medical plans subject to the policy terms and conditions. Nothing more and hopefully nothing less. Another alternative is that you may just maintain one medical card and raise your annual limit by paying higher premiums.

Second scenario,when you have two medical plans covering two different illnesses. Again, most medical plans in Malaysia are quite standardized. However, there are medical cards now solely tailored to specific illnesses such as diabetes. Henceforth, it is absolutely crucial to read and understand the policy terms and conditions when you are having two different medical plans with different coverages.

Third scenario, when you have only the medical card provided by your employer. In this case, having another medical card outside of work is extremely helpful. This is because most of the medical plans provided by your workplace are basic policies. And in the case where you have to leave your job, you will be no longer covered by your employer. Hence, having a personal medical card provides backup protection for you.

Ultimately, it depends on the individual needs and factors such as budget, risk, and lifestyle preferences whether one should have more than one medical card. With rising medical costs, more people can’t afford private healthcare. This directly overwhelms the government healthcare facilities. Therefore, it is wise for every individual to have one medical card that can address urgent medical needs immediately.