Reference no: EM133338963

Assignment:

In Malaysia, the market penetration for individual health insurance is only about 18 percent. Most employers in Malaysia provide health benefits on self-funding arrangement and only a small number of employers purchase group insurance to cover in-patient care. Majority of the employers provide health care benefits for their executives and the benefit plan is non-contributory. Alternatively, for government servants, medical care is easily accessible for at a very minimal cost at public hospitals.

Apply your health benefits knowledge in the following questions:

a) Compare and contrast "Second surgical opinion", versus "Coordination of benefits" approach as techniques for cost reduction in group health care benefits plan design of the company.

b) Briefly explain the meaning of government daily cash allowance included in the hospital and surgical insurance.

c) Why do healthcare benefits cost so much to employers? Explain THREE (3) reasons.

d) Refer to the table below consisting a comprehensive major medical plan data

Based on the information given in the above table, calculate the following:

Comprehensive major medical plan
Covered Medical Expenses	RM4,000
Initial Deductible	RM500
Coinsurance	80%

ii) What is the total amount paid by the insurance company?

ii) What is the amount that must be paid by the insured?