With rising healthcare and tuition costs, Malaysians are seeking smarter ways to reduce their financial burden. Fortunately, the government offers relief through education and medical insurance tax relief Malaysia, which allows taxpayers to claim deductions for specific insurance premiums.
Here’s how to make the most of these claims when filing your taxes in 2026.
What Is Education and Medical Insurance Tax Relief?
Under the Malaysian Income Tax Act, individuals can claim up to RM3,000 annually for insurance premiums related to:
- Education insurance (e.g. endowment or savings plans for children’s future studies)
- Medical and health insurance (covering hospitalisation, critical illness, surgery, etc.)
This RM3,000 is a combined limit, meaning you cannot claim RM3,000 for each. The total of both education and medical insurance premiums must not exceed the cap.
Tip: This is separate from life insurance and EPF relief, which has a separate RM7,000 combined limit.
What Qualifies for Education and Medical Insurance Tax Relief Malaysia?
To be eligible:
- The insurance must be registered in Malaysia
- The policy must be in the name of the taxpayer, spouse, or child
- Premiums must be paid within the assessment year (e.g. during 2026 for Year of Assessment 2026)
Claimable Insurance Types:
- Education insurance: Endowment or savings plans with an education benefit
- Medical insurance: Takaful or conventional policies covering hospitalisation, critical illness, or outpatient treatments
Not eligible:
- Life insurance (unless part of a separate category)
- General insurance (e.g. motor, home)
- Foreign policies
Always retain official premium payment statements from your insurer, as these are required for submission and audit purposes.
How to Claim This Tax Relief
When filing via e-Filing:
- Navigate to the “Education and Medical Insurance” section
- Enter your total premiums (up to RM3,000)
- Keep your receipts or yearly statements from your insurer for reference
- Submit before the tax filing deadline (usually by 30 April)
To understand how this relief fits into your broader tax strategy, Versa breaks it down further in its guide to education and medical insurance tax relief Malaysia, along with other tips to optimise your returns.
Conclusion: Claim What You’re Entitled To
In 2026, understanding how to maximise education and medical insurance tax relief Malaysia provides is more important than ever. By claiming what you’re eligible for, you not only protect your family’s future but also ease your tax burden.
Take advantage of available reliefs and plan your finances smarter with help from trusted platforms like Versa.