Key Concept: The most significant differences in international health insurance are not in the benefits and rates, but rather in the wording of the plan definitions and exclusions by which your insurance benefits are actually paid . . . or not paid!
Here are 8 tips and suggestions intended to help you identify the best choice for your exact needs and situation. (Note: Comparisons below are for guidance purposes only. Please confirm all details in plan brochures.)
| 1. Coverage Period (or Policy Period) |
This is a seemingly obvious definition, but we start with this term as it is used in other definitions here.
If a medical condition is first diagnosed or treated during the "Coverage Period," then eligible insurance benefits will be paid (subject to policy limits).
| 2. Benefit Period (very important!) |
* The "Benefit Period" is not the same as the "Coverage Period." The "Benefit Period" is the maximum period of time during which an insurance policy will pay benefits for a covered condition that was first diagnosed or treated during the "Coverage Period."
The "Benefit Period" may extend beyond the end of the "Coverage Period" (and often does). In many cases, a longer insurance Benefit Period is desirable.
* If temporary insurance is your only health insurance, then an extended Benefit Period is a vital feature.
Note: There are temporary international health insurance plans being sold today whereby the Benefit Period ends when the Coverage Period ends (unless hospitalized or some other extreme contingency). This is OK if you have full coverage upon return to your Home Country. Otherwise, if your plan has no extended Benefit Period, then the last few days or weeks of your insurance coverage could prove to be of limited value.
| 3. "Pre-Existing Conditions" (very important) |
All private health insurance plans contain "exclusions," which are conditions, circumstances, or treatments which are expressly not covered. One common exclusion is for "pre-existing conditions."
The definition of "pre-existing condition" varies by plan. Some plans have a clear or less ambiguous definition, using terms such as "symptoms," manifested," "diagnosed," etc. On the other hand, some plans have an ambiguous definition of "pre-existing condition," which could be interpreted less favorably for you.
(
) A check mark indicates some coverage for pre-existing conditions.
In Summary: The plan definition of "pre-existing condition" and possible coverage for such conditions (if any) can be key factors to when reviewing temporary insurance plans.
| 4. Do You Want The Option Of Home Country Treatment? |
On occasion, someone traveling abroad suffers an injury or illness, whereby they wish to return to their home country (including to the USA) for follow-up treatment and recuperation.
If you maintain domestic health coverage during your travel abroad, then this plan feature may not be of importance to you. However, if temporary international health insurance will be your only health insurance, then how a policy treats "Home Country Treatment" can be a very important consideration.
| 5. Definition of Home Country |
Temporary health and travel insurance plans cover you while traveling "outside of your Home Country." For most people, this definition is straightforward. However, you should understand how each plan defines "home country" to be sure you are eligible.
Note: temporary health insurance plans do not go into effect until you leave your Home Country (as defined in the policy), and coverage typically terminates upon your final return. Exception: many plans contain limited coverage during one or more "incidental trips" back to your Home Country for a limited period of time, when you are able to demonstrate (for example, with a round trip plane ticket, etc.) the intention of resuming your travel abroad.
Important note for US Immigrants: If you are a recent US immigrant, please see our plans designed especially for you. As noted above, temporary travel insurance covers you while traveling outside of your "Home Country." As an immigrant, the USA is now your home country and ordinary temporary travel plans are not intended for you.
| 6. Who Regulates Your International Insurance Company? (important) |
In the USA, health insurance is primarily regulated by the individual states. If you are a USA resident traveling abroad or a visitor to the USA, I strongly recommend that you only consider insurance from companies that are registered (either "admitted" or "approved") to legally conduct insurance business in your State.
Here is a brief look at two ways an insurance company might be registered to legally conduct business in your State. (The exact terminology may differ from State to State.)
"Admitted" - The insurance company is fully regulated under your State's "life and health" insurance laws.
"Approved" - The insurance company operates under "surplus lines" insurance laws and is not fully regulated. However, if the State obtains credible evidence of unsatisfactory claims practices or unsatisfactory financial condition, then the State may revoke the "certificate of authority" under which the insurance company legally operates in that State. Such action could influence or encourage similar action in other US States and even in other countries.
Why depend on insurance from a company that is not legally registered in your State?
| 7. Lower Your Premium By Electing A Higher Deductible. |
The "deductible" is the amount you pay in eligible expenses before your insurance begins to pay. Most plans offer a choice of deductibles, such as $250, $500, $1000, etc. Today, most plan deductibles are cumulative, i.e. one deductible per policy period, rather than a separate deductible "per incident."
Here are 2 reasons why we normally recommend that you elect a higher deductible.
Reason #1. A higher deducible lowers your premium. For temporary plans, you save on average about 10% with the next higher deductible option.
Reason #2. In the event of a medical claim, insurance companies often request copies of prior medical records. This is to show that your claim is not the result of, nor related in any way to a "pre-existing" medical condition. In the event of a small claim, the need to provide prior medical records may not be worth your time and effort.
Remember that insurance is primarily for the big expenses, to keep you from going broke or possibly to save your life. Consider saving money by electing the highest deductible with which you feel comfortable.
| 8. A Higher Coverage Maximum for USA Visitors. |
Temporary health insurance plans offer a choice of coverage maximums, typically ranging from $50,000 minimum up to $1,000,000 or more.
When considering Temporary health insurance, realize that medical bills exceeding $50,000 are not uncommon in today's world, especially in the USA.
Suggestion: For travel to the USA, we recommend electing a medical maximum of at least $100,000 or higher. Simply put, what good is a $50,000 policy if you require $100,000 or more in medical treatment?
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