Using EPF Savings for Insurance is BAD With Citing Long-Term Financial Risks

Health Minister Dr Dzulkefly Ahmad says using EPF Account 2 for a proposed health insurance scheme is voluntary, but economists warn it’s risky. Economists cautions that tapping retirement savings could worsen financial insecurity, especially as Malaysia’s population ages. He notes that most EPF members already have inadequate savings, and many Malaysians lack any formal retirement coverage.

Insurance? Bad Idea

Contributors can withdraw from EPF Account 2 to purchase insurance under the i-Lindung initiative. This initiative allows you to use your EPF savings to buy life and critical illness policies from approved insurance companies. The premiums are automatically deducted from your EPF account. 

Business News

Staff Writer

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