EPF deny launching critical illness insurance scheme
Jun 11th, 2008 by Takaful
Source: Bernama, 11th June 2008
The Employees Provident Fund (EPF) Wednesday denied a report which said it had launched the proposed Critical Illness Insurance Withdrawal Scheme for its members.
Saying that the scheme had yet to be approved by the finance ministry, EPF public relations senior manager Nik Affendi Jaafar said it (EPF) was still in discussion with the Malaysian Trades Union Congress (MTUC).
He said the MTUC’s reservations on the scheme were well noted.
“We (EPF) will be holding further discussions with them (MTUC) to iron out the details. MTUC has no reason to worry that we will go back on our word,” he said in a statement Wednesday.
Tuesday, MTUC secretary-general G. Rajasekaran expressed shock that EPF had ignored its objections against the proposed scheme whose mechanism and benefits were to be managed by selected insurance companies.
The report in an English daily also quoted Rexit Bhd chief executive officer Chung Ho Cheong as saying that the scheme would allow EPF contributers to purchase critical illness insurance at a minimum cost of RM300 a year.
Rexit, a wholly-owned subsidiary of Rexit Software Sdn Bhd, was appointed by Life Insurance Association of Malaysia (Liam) to develop an e-Critical Illness System through Rexit’s e-Cover portal.
Nik Affendi said as such, the statement made by Rajasekaran and Chung was highly erroneous.
“To dispel any confusion, an official statement concerning the scheme will be issued, once the operational details are agreed upon,” he added.
Nik Affendi said as a customer-focused organisation, EPF would remain committed to protecting the interest of its members at all times, adding that members could rest assured that any withdrawal and benefit launched, would be for their benefit.