UK citizens working or living abroad, appreciate the case for buying private medical insurance. The number of policyholders is increasing at around 15 per cent a year, despite premium rises above inflation.
One reason is compulsion - governments are increasingly demanding that expats show proof of valid private medical insurance with their visa application or at the port of entry. Abu Dhabi and other United Arab Emirates states have removed the financial burden of treating expatriates from their state-financed health services. And in Saudi Arabia, it will not be long before all foreign employers must hold group insurance with a regulated provider.
Many in the UK buying second homes around the Mediterranean, or settling there permanently, buy insurance. They prefer private treatment even though some cover should be available free through the European Health Insurance Card (Ehic).
More than 4.5 million Brits live abroad, according to government figures. 800,000 Britons are in China, mainly in the former British enclave of Hong Kong. Many expats want flexibility in their plans, along with more comprehensive cover. Although based in one overseas country, it is common to travel to other countries for work or pleasure.
There is a difference local and international private medical insurance (PMI). Local insurers offer cover for many expats in countries such as
Spain and
France. Local cover is cheaper but the product is not a true international product, it is country-specific. Many local covers do not allow a return to the UK for private cover, while others will only provide cover within a country, or even specific areas within that country.
Asia-Pacific is seeing the greatest demand for international health insurance. Although healthcare standards are fast improving in countries such as China, they remain patchy and mostly below western standards. There is a need to go elsewhere for treatment if ill health or an accident happens.
If you are planning to live abroad, then look at all the options before deciding whether a local or international insurance is best for you.
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