Voluntary Health Insurance Scheme Explained
The Voluntary Health Insurance Scheme (VHIS) was introduced by Hong Kong’s Health Bureau and designed to create minimum standards for certified medical insurance plans. There are currently two VHIS plans available, Standard and Flexi, and any Hong Kong resident can apply.
Discover the world's top
health insurers.
Compare quotes with
a click of the button.
Are you an expat or local in Hong Kong looking to learn more about the Voluntary Health Insurance Scheme? Perhaps you’re interested in securing a VHIS health insurance plan through an insurance provider in Hong Kong. This article from Pacific Prime can help point you in the right direction.
We will explain what the Voluntary Health Insurance Scheme is, the key features and benefits, eligibility rules, and more. Keep reading to learn all about the VHIS in Hong Kong, or click here for a free health insurance quote!
What is the Voluntary Health Insurance Scheme (VHIS)?
The Voluntary Health Insurance Scheme (VHIS) is a policy carried out by Hong Kong’s Health Bureau to regulate hospital insurance plans offered to individuals by insurance companies.
The main goals of this scheme are to enhance the protection level of hospital insurance products, provide the public with the choice of using private healthcare services, and relieve the pressure on the public healthcare system.
Participation in the VHIS from insurance companies and consumers is completely voluntary and not required. To see if a company is participating in the scheme, you can check the list of participating insurance companies on the VHIS website.
Participating insurance companies will offer “Certified Plans” under the VHIS to consumers. Certified Plans are available in a Standard or Flexi option.
Standard and Flexi VHIS Plans in Hong Kong
The Standard and Flexi Plans are the two options offered by the VHIS and differ in terms of coverage and coverage limits. The Standard Plan offers more basic healthcare coverage while the Flexi Plan offers enhanced benefits and higher coverage limits.
The Standard Plan offers the minimum requirements of the Voluntary Health Insurance Scheme, with standardized benefits that will remain almost identical across insurance companies. The Flexi Plan offers the same basic protection as the Standard Plan but with enhanced benefits.
These additional benefits include higher coverage limits and wider benefit coverage. There is greater variation in Flexi Plans across different insurance companies, and so the exact benefits will depend on the provider.
Key Features of the VHIS in Hong Kong
Some of the key features of VHIS-certified plans include guaranteed renewal, coverage for unknown pre-existing conditions, and more. Each of these features helps add value and greater transparency to consumers living in Hong Kong.
A more comprehensive list of the key features of VHIS plans are:
- Guaranteed policy renewal up to 100 years of age
- No “lifetime benefit limit” up to 100 years of age
- Cooling-off period of 21 days during which you can cancel your certified plan and receive a full refund of the premium
- Partial and full coverage for *unknown pre-existing conditions that will be partially covered up until 3 years after policy inception and then fully covered after
- Congenital conditions treatment coverage
- Day case procedures coverage
- Prescribed diagnostic imaging coverage
- Prescribed non-surgical cancer treatment coverage
- Psychiatric inpatient treatment coverage
- Dental emergency treatment coverage under Standard plans and inpatient and outpatient dental coverage under Flexi Plans
*An unknown pre-existing condition is a health condition that has existed but you are unaware of its existence when applying for insurance coverage.
Benefits of the Voluntary Health Insurance Scheme
The VHIS offers valuable benefits to its participants like tax deduction incentives and improved access to private healthcare in Hong Kong. The Scheme was created to offer these benefits in hopes to improving transparency for consumers and lessen the burden on the public healthcare system.
We will discuss these benefits in further detail below.
VHIS Tax Deduction Incentives
Hong Kong taxpayers insured by a VHIS-Certified Plan may claim tax deductions of up to HK$8,000 (about USD $1027.45) per insured person for the premiums paid for the plan. These tax deductions have specific eligibility rules.
Improved Access to Private Healthcare in Hong Kong
VHIS-Certified Plans improve policyholders’ access to private healthcare in Hong Kong by giving them the choice of private healthcare providers, hospitals, and clinics. With private facilities open to them, they can avoid the long wait times at overburdened public facilities.
Eligibility for the VHIS in Hong Kong
Any Hong Kong resident that is between 15 days old and 80 years old is eligible to be insured by a VHIS-Certified Plan. Tax deductions from VHIS-Certified Plans are only available to policyholders who are Hong Kong taxpayers.
VHIS Tax Deductions Eligibility
To be eligible for claiming tax deductions from your VHIS-Certified Plan, you must fit the criteria below:
- You are a personal income taxpayer or his/her spouse
- You are the policyholder or the policyholder’s “specified relatives”
- You are a Hong Kong resident
A “specified relative” of a policyholder includes:
- Spouse
- Children less than 18 years old, children from 18 to 25 years old receiving full-time education, or children 18 years old or above who are unable to work because of physical or mental disability
- Brothers or sisters less than 18 years old, brothers or sisters from 18 to 25 years old receiving full-time education, or brothers and sisters 18 years old or above who are unable to work because of physical or mental disability
- Parents or grandparents who are less than 55 years old but who are eligible to claim an allowance under the Disability Allowance Scheme, or parents and grandparents who are 55 years old or above.
Public Healthcare Vs. Voluntary Health Insurance Scheme
Public healthcare has the benefit of being heavily subsidized, but the Voluntary Health Insurance Scheme offers its own value of greater flexibility and choice for its policyholders. We will discuss some more of the pros and cons of these options below.
Public Healthcare Pros and Cons in Hong Kong
Pros:
- More affordable
- No exclusions for pre-existing conditions
- Considerably higher quality than other country’s public healthcare systems
Cons:
- Overburdened public hospitals and clinics lead to long wait times
- Limited choice in choosing providers
- Crowded healthcare facilities
Voluntary Health Insurance Scheme Pros and Cons
Pros:
- Shorter wait times for specialized services
- Greater flexibility in choosing your provider or facility
- Tax deductions for Hong Kong taxpayer policyholders
Cons:
- Higher costs than subsidized public health insurance
- Possible exclusions for pre-existing conditions
Tips for Choosing a VHIS Plan in Hong Kong
Tips that will help you choose the right VHIS-Certified Plan for your needs include assessing your healthcare needs, deciding between a Standard or Flexi Plan, reviewing premiums and affordability, and asking a professional for advice.
We will discuss these points in further detail below:
- Assess Your Healthcare Needs: Consider any existing medical conditions you may have or potential health risks, as well as your dependent’s healthcare needs. If you expect to use healthcare services often, you will want to purchase a plan with comprehensive coverage.
- Choose Between a Standard or Flexi Plan: Once you have determined your healthcare needs, it will be easier to choose between a Standard or Flexi Plan. A Standard Plan offers more basic coverage for general healthcare needs while the Flexi Plan offers enhanced benefits and higher coverage limits.
- Review Premiums and Plan Affordability: Take the time to review premiums across different VHIS-Certified health insurance providers. The best VHIS-Certified Plan for you will have a premium that fits your budget while providing the right coverage for your needs.
- Ask for Professional Advice: Asking an insurance professional, such as an insurance broker, for advice can help you choose a plan that is the best fit for your needs, lifestyle, and budget. Make sure to choose a professional that offers impartial advice and is transparent and honest.
Frequently Asked Questions:
What types of medical services are usually covered under VHIS?
The Voluntary Health Insurance Scheme usually covers hospitalization costs, prescribed diagnostic tests, surgery fees, and before- and after-hospitalization consultations. The exact medical services covered by a VHIS plan will depend if it is the Standard or Flexi option.
What is the difference between a VHIS Standard Plan and a Flexi Plan?
A Standard VHIS plan covers basic medical needs, whereas the Flexi VHIS plan offers enhanced benefits in addition to basic medical coverage, higher coverage limits, and other comprehensive benefits.
Who is eligible to apply for the Voluntary Health Insurance Scheme in Hong Kong?
Any Hong Kong resident aged 15 days old to 80 years old is eligible to be insured by a Voluntary Health Insurance Scheme-Certified Plan.
Can I purchase a Voluntary Health Insurance Scheme Plan for a family member?
VHIS-Certified Plans are available for spouses, children, and other specified relatives. Specified relatives include brothers or sisters aged less than 18, and parents or grandparents aged 55 or above. Tax deductions can be claimed on premiums paid on eligible dependents.
Conclusion
The Voluntary Health Insurance Scheme (VHIS) creates minimum standards for certified medical insurance plans, giving consumers greater transparency as they shop for health insurance. With the help of VHIS, Hong Kong hopes to relieve the burden of its public healthcare system.
If you’re interested in comparing VHIS-certified or other private health insurance plans in Hong Kong, Pacific Prime can help. As an insurance broker, we give our clients free and unbiased advice and help them compare a wide variety of plans from global providers.
You can contact us online, or call us toll-free at 1-800-868-1451. If you’d like to compare quotes, use our free quote tool!
If you enjoyed this article, check out our others with similar topics like these below:
- Best Public Hospitals in Hong Kong
- Top 5 VHIS Options in Hong Kong
- The 20 Best Places To Live In Hong Kong For Expats
Serena earned her Bachelor’s Degree in Psychology from the University of British Columbia, Canada. As such, she is an avid advocate of mental health and is fascinated by all things psychology (especially if it’s cognitive psychology!).
Her previous work experience includes teaching toddlers to read, writing for a travel/wellness online magazine, and then a business news blog. These combined experiences give her the skills and insights she needs to explain complex ideas in a succinct way. Being the daughter of an immigrant and a traveler herself, she is passionate about educating expats and digital nomads on travel and international health insurance.
- The Best Places To Live In New Zealand For Expats - March 17, 2025
- The Best Travel Insurance for the Dominican Republic - March 15, 2025
- Meet the Best Travel Insurance Providers in Jamaica - March 15, 2025
Comments
Comments for this post are closed.
We'll notify you
when our team replies!