Insurance-related tax reliefs (YA 2025)
| Relief | Limit | Notes |
|---|---|---|
| Life insurance / family takaful + EPF | RM7,000 combined | Up to RM3,000 for life insurance or voluntary EPF; up to RM4,000 for mandatory EPF |
| Education and medical insurance | RM4,000 | Raised from RM3,000 from YA 2025 |
| SOCSO and EIS contributions | RM350 | |
| Private Retirement Scheme (PRS) / deferred annuity | RM3,000 | Separate from the RM7,000 limit |
| SSPN net savings | RM8,000 | Deposits minus withdrawals; one parent claims |
| Medical expenses for parents (and grandparents) | RM8,000 | Includes medical examination up to RM1,000 |
| Medical check-up for self, spouse or child | RM1,000 | Within the RM10,000 medical relief |
What changes for YA 2026
- Insurance for children: life insurance relief and education and medical insurance relief now also cover premiums paid for eligible children. The limits stay at RM3,000 and RM4,000.
- The overall medical treatment relief stays at RM10,000, with wider vaccination cover.
- PRS relief has been extended to YA 2030.
How to claim
- Get your annual premium statement from each insurer; it shows the amount eligible for relief.
- Enter the amounts in the relevant fields in e-Filing on MyTax.
- Keep the statements for 7 years in case LHDN asks for them.
Only the protection part of a policy usually qualifies. For investment-linked plans, the statement shows the eligible portion.
Using tax relief in your planning
Tax relief is a bonus, not a reason to buy a policy you don’t need. But if you already plan to get a medical card or life cover, it helps to know part of the premium reduces your tax. Lulu can show you which of your current policies qualify and whether you are using the full limit.
These figures come from published guides on LHDN rules; check the official relief schedule on LHDN before filing.