President Dr. Mohamed Muizzu has announced major changes to the Aasandha national health insurance scheme, with individuals earning more than MVR 60,000 per month set to lose full state-funded coverage from next month.
Speaking at a press conference on Monday, President Muizzu said higher-income earners will instead receive Aasandha benefits through a co-pay or pre-pay arrangement, as the government moves to reduce expenditure and make the healthcare subsidy system more targeted.
According to the President, the reform is expected to save the state approximately MVR 287 million annually, allowing the funds to be redirected towards other public needs.
“Individuals earning more than MVR 60,000 will receive Aasandha through a co-pay or pre-pay system. This adjustment will save approximately MVR 287 million annually, which can be redirected towards other public needs,” Muizzu said.
The President argued that the existing system, which provides the same level of state-funded healthcare benefits regardless of income, is not financially sustainable. He said technical experts have advised that providing identical subsidies to the wealthiest citizens and average-income households is not the most effective approach.
The changes are expected to take effect next month. While some savings are anticipated this year, Muizzu said the reform’s full impact on Aasandha expenditure will become clearer next year.
Further details, including how the co-pay or pre-pay mechanism will operate, are expected to be announced by the relevant authorities.
Aasandha is the Maldives’ national health insurance scheme and provides state-funded healthcare services to Maldivian citizens. It is administered by Aasandha Company Private Limited, which is wholly owned by the government.
