Before you step outside your current country of citizenship and go abroad, there are several important issues other than packing you swimsuit and lotion, International Medical INSURANCE. What? Yes, those of you who go on short vacations and return can easily acquire an online inexpensive temporary travel policy for the exact time you will be gone, however; for those real Robinson Crusoe types, permanent private expatriate medical insurance coverage is a must. So how do you start and how do you know what policy is best for you? This article will educate you enough to get onto the right track, so you are positioned to make an educated buying decision.
First, What quality companies are available to choose from? Being an International Insurance Specialist since 1992 has taught me to only offer Quality companies to my clients, so I will introduce you to the major individual private expatriate medical insurance players in the western hemisphere:
- Goodhealth/Aetna – www.goodhealthamericas.com
- Multinational Underwriters/Lloyds of London – www.mnui.com
- BUPA Latin America – www.bupalatinamerica.com
- International Medical Group – www.imglobal.com
- SRI – Seven Corners – www.sevencorners.com — which always seems to have the best rates
Second, You need to shop and compare or find a competent insurance specialist that represents many different companies and knows the underwriting ropes within each one. A professional who can customize a proposal and suggest the best policy that would fits you and your family’s needs.
Let me show you what I mean. I have a family of four, the father is age 44, spouse age 42 and 2 children ages 8 & 9…all are healthy. Let’s compare:
Company: Multinational/Lloyds Goodhealth/Aetna BUPA
Annual Deductible: $ 1,000 $ 2,500 $ 1,000 $ 2,500 $ 1,000 $ 2,000
Annual Premiums: $ 2.860 $ 2.429 $ 3.588 $ 3.066 $ 9.720 $ 7.706
Note: All Plans include USA/Canada coverage & Air Evacuation. BUPA Advantage Plan presented. Goodhealth/Aetna MHP Plan presented. MNUI Citizen Secure plan presented with a maternity & wellness benefit – automatically included. MNUI plan offers free coverage for up to 2 children under age of 9yrs-old.
MYTH: Many people believe that going directly to an online company and purchasing a policy will save them money? FALSE, the premium is the same, but the benefit of a qualified professional can be the difference between life and death!
Now let’s take a look at a different scenario: Female age 37 that has a pre-existing condition of non-chronic Endometriosis and occasionally suffers from cysts or fibroids.
Company: Multinational/Lloyds Goodhealth/Aetna BUPA
Annual Deductible: $ 1,000 $ 2,500 $ 1,000 $ 2,500 $ 1,000 $ 2,000
Annual Premiums: $ 1.994 $ 1.763 $ 1.266 $ 1.015 $ 3.728 $ 3.038
Note: The same plans are presented as in the first example. Notice that the rate for Goodhealth/Aetna is lower, reason being Goodhealth/Aetna prices based upon unisex age only, not between male and female like most carriers. ALSO, MNUI wanted to put minimum 24 month exclusion on the clients’ condition, while BUPA would accept with a 20% increase of premium, while Goodhealth/Aetna would have accepted with no exclusions and no increase in premium.
MORAL: Find a qualified professional to work with. If you did not have a broker who could approach several companies at once with the same information in hand, you would have applied and been rejected or exclusions attached before a company would have accepted you. The major problem is time…it could take up to 30 days to get the answer back from an insurance company that they are willing to insure you with exclusions or outright reject you. You could be shopping for months and in the mean time open yourself and family up to a possible catastrophic issue that could possibly break the bank!
Third, Try to choose a company that allows, “Freedom to Choose” any doctor or hospital in the world. Many companies are beginning to develop International Networks, which is fine by me, however; when I’m forced to ONLY use those facilities…I begin to question that plan. BUPA Latin America and worldwide have successfully established this type of structure for their middle & lower tier plans …which I’m not really sold on…especially when premiums are quite expensive for the limitations that one must endure.
Forth, Cheaper does not always mean the least expensive. I always apply a Cost to Benefit ratio, even that sometimes is trumped by another factor, what is the percentage of annual increase? This factor alone can add another cost dimension over the long run; the cheapest policy initially ends up costing more five years down the road, because one carrier increases may average 12-15% annually, while the more expensive one, initially, may only have an average annual premium increase of 7-10%.
Fifth, Air Evacuation is another major benefit that must be included, especially if your policy includes USA/Canada coverage. Some companies have lifetime limits of $ 50,000 USD while others have maximums that are equal to the lifetime or annual benefit levels.
Sixth, Some carriers offer Lifetime Maximum benefits while others offer maximums per year. Multinational/Lloyds, IMG (Gold), Seven Corners offers $ 5,000,000 USD. Lifetime coverage while Goodhealth/Aetna, (Mobile Health Plan), offers $ 2,000,000 USD. Per year and BUPA Advantage Care offers $ 2,500,000 annually.
Seventh, Lifetime Coverage is offered with most plans as long as you initially join prior to a certain age. Most carriers want the initial application prior to age 65 to allow lifetime continuation and many may also lower your “lifetime maximum” benefits after age 74.
To wrap it up, there are many variables in attaining the correct expatriate medical policy…I hope I have given you some insight and education of what to look for when deciding the type of policy and company you would like to put your trust, money & most importantly your life with.
If you are interested in alternatives and a Free Customized Quote, please feel free to contact us.