Medical Insurance

  • Individual
    		•
  • Family
    		•
  • Group
    		•
  • Travel
    		•
  • Teacher
    		•

    Local vs International Health Insurance HK

    When thinking about health insurance expatriates all over the world are faced with two choices; local or international health insurance. After arriving in a new country many expatriates often consider obtaining local medical insurance plans as they may seem like the only medical protection available. In reality, however, local health insurance plans often offer very little protection to individuals who travel around the world, and may leave you exposed to costly medical bills.

    One of the major differences between a local and a global health insurance policy is the issue of international portability. In the modern world international travel and relocation are a fact of life for many expatriates, if you should obtain a local medical insurance policy and then leave the country, the plan will not travel with you and you will be without the comprehensive protection that you need. International health insurance plans however, are typically globally portable, this means that even if you should leave your current country and relocate somewhere else, the plan will travel with you; giving you peace of mind that no matter what happens you will have the healthcare coverage that you deserve.

    In essence this means that a local health insurance plan will only allow you to receive treatment in the country where you are currently residing, severely limiting your healthcare options. Rather than limiting you to seeking treatment in one specific country an international policy will allow you to receive care with the doctor or hospital of your choice, anywhere in the world. This means that you are always assured of obtaining the best healthcare in the world. In this regards it is important to note that both local and international medical insurance plans will often have direct billing networks, however a local plan's direct billing network will only exist inside a single country, while international polices can offer direct settlement around the world.

    Another aspect of health insurance that many people neglect to consider is a policy's renewability. Local plans will often limit coverage to a certain age (typically 65 years), after which a plan can no longer be renewed. This is in stark contrast to international plans which will typically guarantee a policyholder the ability to renew their plan for life. This means that with an international health insurance plan you will never have to worry about developing a costly chronic condition as you will be able to renew the plan indefinitely.

    Despite these two major areas of consideration many expatriates will still decide to obtain a local health insurance plan, purely because the premium may be cheaper than an international policy when first purchased. What they do not realize is that unlike global medical insurance policies, which are community rated, local health insurance premiums are often based on the policyholder's claims history. So while a local plan may start out cheaper the premiums can quickly escalate based on the amount of claims that a policyholder makes. International medical insurance premiums will only calculate premiums based on a policyholders age and geographic area of coverage, never on an individual's claims history. This means that with an international health insurance plan you are able to claim for as much medical treatment as you need, without worrying about your premium.

    Hong Kong is the second most expensive place in the world to receive medical treatment, and as such obtaining a local health insurance plan with an experience calculated premium may be risky, as the premiums can potentially rise very quickly. An international medical insurance will give you the assurance that even though you may receive high quality treatment in the city, your premium will remain unaffected.

    International and local health insurance plans may seem extremely similar in the levels of coverage and protection that they will afford, but in reality are very different in the way that they can support you. For more information about the differences between a local and an international health insurance plan, or to receive a free medical insurance quote, please contact us today.