As we roll into January, the majority of us will have started making plans and goals for the year ahead. During this time, individuals and employers alike may also begin to consider purchasing or renewing their health insurance policies. In our goal to simplify health insurance and help those that are looking for plans make more informed decisions, we’re happy to announce the release of our inaugural report covering the current state of health insurance!
For a complimentary copy of The State of Health Insurance 2017-2018 report, be sure to visit our website here. If you’d like to learn more about our latest study, read on for further info on what you can expect to discover from our report’s key findings.
About our latest report on the state of health insurance
As the first of its kind in the insurance industry, our latest report provides a snapshot into the key aspects of the current global medical insurance landscape. In uncovering key findings and trends pertaining to the world of international health insurance, our study aims to answer the most common questions asked by our individual and corporate clients. These include:
- What can I expect to pay for international health insurance?
- How much will my insurance premiums increase in the future?
- What are the major international health insurance companies?
- What’s the best time to purchase health insurance coverage?
- What current global medical insurance trends should I be aware of?
Already featured on major websites like Business Wire and ET Net, our global report leverages the wealth of international medical insurance data we’ve acquired over the past 17+ years, and the insights shared by our most experienced advisors.
Eight sections of in-depth insight
In order to answer the above questions in an easy-to-read and comprehensive format, our report’s key findings are divided into eight key sections:
- About the report & executive summary
- The cost of international health insurance
- Global private health insurance inflation
- Pacific Prime’s top insurance partners around the globe
- When do people buy international health insurance?
- Recent global changes to health insurance
- Global trends impacting international private medical insurance (IPMI) around the world
- Top 5 health insurance issues companies are facing around the world
Key global medical insurance insights revealed
Among the headline findings from our latest study are the fact that:
The average cost of health insurance worldwide in 2017 was USD 8,105
Taking into account the international health insurance premiums for four key demographics from 10 major global insurers in 100 locations, the average cost of health insurance in 2017 was USD 8,105. When looking at the average cost of health insurance by demographic, the report found that families can expect to pay the highest premiums (an average cost of USD 11,551), followed by retirees (USD 9,008), couples (UDS 7,809), and individuals (USD 4,053).
Globally, medical insurance premiums inflated by 9.2%
Based on findings from our 2017 International Private Medical Insurance (IPMI) Inflation report, section three found that the average IPMI inflation rate in 2016 was 9.2%, the exact same figure as 2015!
Looking at data between 2009 to 2016, it’s clear to see that premium inflation rates have been variable during this time period. As such, this section provides an in-depth look at the global Compound Annual Growth Rate (CAGR) of IPMI inflation between 2009 to 2016. In addition to this, it also explores how the global CAGR compares with the CAGR seen in key markets for IPMI products: Hong Kong, China, Singapore, and UAE.
Top trends impacting IPMI around the world include:
- Insurers ‘onshoring’: An increasing number of international health insurers are ‘onshoring’ in order to become fully licensed to sell local health insurance plans in particular locations.
- Compliance: Insurers are faced with increasingly regulated operating conditions, as a growing number of locations have introduced new compliance regulations (e.g. minimum insurance requirements in Dubai).
- Digitization: From online portals and apps, to underwriting systems, digitization is a big emphasis for many insurers now.
Most people buy international medical insurance in Q2
While sales of IPMI products are almost equally spread out throughout the year, in our past experience we’ve found that the quarter with the highest percentage of global sales is Q2, which saw 26% of total sales in 2016.
To help individuals and companies determine the most optimal time to buy medical insurance, section five of our report also looks at the strategies to keep in mind when it comes time to renewing or purchasing a new plan.
The top health insurance issues companies are facing around the world include:
- Uncertainty around premiums: When faced with a premium hike, most companies find it hard to discern if the increase they receive is fair or balanced. This is where working with an independent broker like Pacific Prime can really help, as we are able to leverage our market intelligence and relationships with insurers to ensure better premium negotiations.
- Plan sustainability: When costs are increasing, how do you ensure that your corporate health insurance remains sustainable in the long run? There are many reasons behind a significant rise in premiums, including high claims by members, or member behaviours (e.g. choosing high cost providers).
- Ensuring benefits are competitive: Despite tougher financial positions, a recent Society of Human Resources Management survey found that nearly 40% of companies increased their overall employee benefits. This shows competitive employee benefits remain a high priority for many businesses.
- Communicating with and educating employees: Oftentimes companies can misunderstand their employees’ discontent with a benefits package as a sign that they haven’t implemented the best-fitting plan. However, sometimes the issue is not with the plan but the ways in which benefits are (mis)communicated to employees.
- Structuring relevant benefits: When faced with an increasingly diverse workforce, another challenge companies face around the world is how to shape their benefits to meet the expectations of staff across different generations, gender, culture and religious groups.
Download your FREE copy of our latest report today
For a complete review of our study’s findings, be sure to get your free copy of our State of International Health Insurance report here today. We’ve also published reports on the state of health insurance in China, Dubai, Hong Kong, and Singapore, which you can download from their respective websites.
Our first-ever state of health insurance report is a welcome addition to the repertoire of informative guides, infographics, and reports featured on our site. To discover our resources, click here to visit the ‘Prime Guides’ section of our website, or give us a call to talk about your global medical insurance options today!