Types of Health Insurance in Hong Kong

Hong Kong boasts exceptional healthcare system that offers both public and private services. And just as there are many different options with regard to your medical treatment in Hong Kong, when it comes to protecting yourself from the cost of care you also have a wide range of choices available

One thing that should be noted is that health insurance isn't a necessity in Hong Kong; the government offers an extremely high level of care to all patients attending any of the city's publicly run medical facilities. This care is offered at a very low price point - in fact, for residents of Hong Kong who have come from almost any other country in the world, the cost of care at a public Hospital like the Queen Mary or Prince of Wales could almost be considered cheap.

Because of the simple fact that residents have access to the Public Health Care system in the city, a health insurance policy isn't a critical purchasing situation like it might be in a place like the United States of America.

Instead, health insurance in Hong Kong is almost an optional luxury that is entirely up to you to decide whether you want to purchase. But if you decide that you do want to take out a health insurance plan then there are surprising number of options in front of you.

Hong Kong or International health insurance? 

Geographical Areas of Coverage

As an international city, it may come as no surprise to learn that there are actually two very distinct types of health insurance available for purchase in Hong Kong.

The first type is going to be any policies that are underwritten by local Hong Kong insurance providers. We're going to call these Hong Kong health insurance plans.

In contrast to Hong Kong health insurance options sit the policies and products offered by international insurance providers. Consequently, will call these international health insurance plans.

The major difference between Hong Kong and international health insurance options is normally found in the coverage area offered by the policy. As you may assume, Hong Kong plans (generally) are much more limited in their geographical area of coverage compared to an international policy. This is simply because an international health insurance plan can offer coverage anywhere in the world; providing true global protection against your cost of Health Care anywhere on the planet.

Hong Kong health insurance plans tend to be far more focused and restricted in their coverage to healthcare costs that occur in Hong Kong.

Cost of Coverage and Premiums

Although the geographical coverage area is the first and most obvious area of difference between these two types of policy, the second major difference is going to be seen in how the premiums are calculated.

A majority of international health insurance products will have premiums calculated on a community basis. This means that anybody who is the same age, with the same policy, and the same coverage area will pay (ideally) the same premium. The policyholder’s individual medical history is not normally going to factor into the amount that they are paying for coverage under an international health insurance policy, neither will any claims made under the policy when renewing the plan.

International health insurance policy premiums will increase, but only due to the overall rise in global medical costs - which currently sits at around 10% per year.

However, Hong Kong health insurance products tend to be history, or claims rated. This means that the policyholder’s medical history under the plan will be taken into account on renewal. If any major claims have been made, realistically that individual can expect their premium to increase.

Because many Hong Kong health insurance policies are history rated, they often look like an attractive proposition on first purchase.

This is because the policyholder has no claims history under the plan, and the premium is going to be associated with the community - as long as no claims are made then the premium will remain steady, increasing only with the overall rate of medical inflation. However, any claims made under the policy will now factor into the premium at renewal. Any policyholder with this type of premium rating should expect an increase when renewing a plan which has been actively claimed on.

Hong Kong Health Insurance Benefits

Once past the two different types of Plans offered in Hong Kong the actual benefits provided by health insurance tend to be fairly Universal. Many products, whether offered by an international or Hong Kong Insurance Company, can be tailored to your exact needs and budget and this can be accomplished by adding or removing different benefits.

Inpatient Insurance Coverage

All health insurance plans will normally start with an Inpatient Insurance protection benefit.

This type of coverage protects you against the cost of medical care where an overnight stay in a hospital is medically necessary. Inpatient medical care is generally the costliest treatment any average person will experience over the course of their life. Organ transplants, heart surgery, tumor removal, these are all things that would require inpatient care and which would be covered under the inpatient benefit on a Hong Kong health insurance policy.

It is possible to obtain Inpatient-Only health insurance protection, which is often the cheapest form of health insurance available – whether purchased under an International or Hong Kong policy.

Outpatient Insurance Coverage

After inpatient protection comes the range of optional benefits it is possible to include on any health insurance you are considering. The most common optional benefit obtained under most health insurance products in Hong Kong is Outpatient Insurance Protection.

Almost the opposite of inpatient coverage, outpatient benefits protect you against your costs of medical treatment where an overnight stay in a medical facility is not necessary. Consequently, outpatient insurance covers things like General Practitioners visits, wellness checkups, and even vaccinations. While outpatient medical care in Hong Kong isn’t necessarily expensive (even at a private clinic), the average person will see an outpatient medical provider quite frequently over the course of their life.

Individual visits may not be too expensive, but the expense can accumulate over the total number of outpatient treatments you receive.

Maternity Insurance

Many Hong Kong and International Health Insurance policies will provide coverage against the costs associated with pre-natal and post-natal maternity treatments, the costs of childbirth, and treating congenital birth defects.

Some Insurance Companies will place significant restrictions on how to obtain maternity insurance. In some cases, this type of benefit is only offered on the highest level of policy, with the highest cost, while in others both mother and father must hold the same plan to obtain maternity protection.

Maternity insurance will typically increase the overall cost of a health insurance policy, and will normally be attached to a waiting period which must be completed before the coverage is applied, but can provide exceptional peace-of-mind to expectant parents.

Hong Kong Health Insurance Advice

CCW Global has extensive experience in assisting Hong Kong residents with their health insurance needs. Whether you travel internationally for business and are worried about falling sick or suffering an injury overseas, or you just want to make sure the kids are getting the vaccines on schedule without breaking the bank, our expert Health Insurance brokers can help you to find the policy that meets your specific requirements.

For more information about the Hong Kong health insurance options we offer, or to make an appointment with one of our expert brokers, please Contact Us Today.

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