Saving by Choosing the Right Health Insurance Abroad
Saving money on your insurance isn’t always straightforward. Sometimes it can be as simple as changing insurers, but a good way to save on your premiums is by choosing the right plan first time.
Save a Little Money has previously written about the benefits of travel insurance, but what if short term insurance is not appropriate for you? In this article, Global Insurance Advisor – Pacific Prime Hong Kong explains what your medical insurance options are when travelling abroad.
Travel Insurance
As a brief refresher, travel insurance is a common product offered to anyone travelling overseas. It will cover a range of incidents that can happen while you’re away, with general benefits including:
- Flight cancellations
- Travel delays
- Emergency medical expenses, or necessary medical evacuations
- Repatriation costs
- Accidental death and dismemberment
These policies are designed for short term travellers (generally lasting between 3 to 12 months). While they offer travel-related benefits for those of you unfortunate enough to have lost travel documents or experience flight delays, the medical coverage is often less comprehensive than other types of plans. The main goal of a travel plan’s medical benefits is to get you well enough to fly home.
Travel plans are often the least expensive policy available, however. They’re also readily available from most airlines or travel agents at the same time you purchase your tickets.
You will need to keep in mind that many may not cover pre-existing conditions, some will cost more in certain regions of the world, and many insurers will not reimburse you should you cancel your trip before you depart.
Local Healthcare Coverage
Local healthcare coverage options come in three forms:
- Free, state funded health cover
- Compulsory state provided insurance
- Optional or mandatory private medical insurance coverage
The best option for you depends on where you’re heading to in the world. The NHS in the UK can provide tourists with fantastic medical care at virtually no cost.
In France, Couverture Maladie Universelle is paid for by compulsory deductions from employee wages, so expats can attend hospitals like a French national would. Finally, in places like the US and Dubai, obtaining health insurance can be legally required for a visa.
This option is great if you’re planning to spend a long time in one foreign country. Plans are designed much like what you might expect buying insurance in your home country; they can vary in coverage, benefits, limits, and provider networks.
It’s important to understand that if you are planning to travel a lot, local insurance plans will not be portable. This means that you might need to buy travel insurance for any short trips.
International Medical Insurance
International medical plans are your most comprehensive insurance solution, designed especially for expats. While they are generally the most expensive, you can expect the following features:
- Extensive medical coverage both in your home country and abroad
- Options to add dental, maternity and wellness benefits at an extra cost
- A wider choice of private and semi-private hospitals, medical staff and care options to choose from
These plans are perfect for the traveller looking to be based long-term in one country, while visiting a number of surrounding ones. They can take a lot of the stress out of travelling, meaning you can focus more on enjoying your overseas experience than planning it.
While international plans do cost more, they may cost you less than purchasing one local insurance plan, one home plan and several travel insurance ones.
Saving on Insurance: Making the Right Choice
Saving on your insurance options doesn’t necessarily mean choosing the cheapest policy available. Sometimes it can cost you more in deductibles and excesses in the event you need to claim.
Other times you might find the cost of multiple travel policies stacking up on you beyond what an international plan might offer.
Like our advice about insurance when travelling in Asia, it all depends on what your needs and requirements are. Being prepared needn’t cost you an arm and a leg, and using an experienced insurance broker like Pacific Prime can help you keep your costs low and your coverage high.
A broker not only does the “shopping around” of policies for you, but can talk you through your needs to ensure you’re getting the insurance you need.
About the Author
Pacific Prime is a leading brokerage firm based in Hong Kong, but with seven offices worldwide. Their expert teams have been serving expatriates with healthcare solutions for more than 15 years, and their marketing team are well known for their reputation of simplifying insurance for both consumers and the industry. If you need some free advice or a no obligation quote, contact Pacific Prime today!
Category: Insurance, Medical Insurance, Travel, Vacation
