Some of these policies are very comprehensive, others are simply bare medical cover for the basic 36 illnesses. Depending on your industry and your company, you will enjoy different standards here. A rule of thumb is that if you were sent here by your company, you have high chances of enjoying a comprehensive coverage, while if you work on a local contract you are certainly on a simple basic cover.

If you are on a local contract, I don’t really need to sell you on the benefits of having your own insurance. Your reading this blog is proof enough of your having your eyes open to your needs.

If you are on an expatriate contract, depending on your company’s policy, you may want to consider the following. Most of these policies are group negotiated and some providers do not offer individuals or family options. Hence, once you move on from your job – to take up a better offer, take a one year sabbatical break, or early retirement – you may not have the option to continue with your current provider, and need to switch to another one.

This should not be a problem, as long as you and your family are healthy. But let’s imagine one second that you or your wife had a blood-related problem in the past few years, or your child develop diabetes due to a lack of exercise – get him a Wii ! – then the new policy will certainly consider them as pre-existing conditions and may exclude them from their policy.

The surest way to know you are protected according to your expectations, and ensure this protetions can follow you wherever you are is to get an international insurance for yourself and your loved ones. This means your personal insurer will overlap with your corporate one.

Having more than one insurance is 100% legal and is actually quite common, especially when both spouse work. Your personal insurance ensures continuity of cover should you move to another country / company down the road. Which you do on a regular basis when you are living the expatriate life, isn’t it?

If you don’t already have your personal international insurance, I invite you to give me a buzz, or check here to get some ideas of the type of cover and prices you may expect from an international provider.

Can a simple “A” make such a difference? Let’s go back to their definition.

Insurance: an equitable transfer of the risk of a loss, from one entity to another, in exchange for a premium

Assurance: The state of being assured; firm persuasion; full confidence or trust; freedom from doubt; certainty.

I think the difference is notable. Insurance is to get protection for specifics, while assurance is a lot more comprehensive. Medical insurance is typically what one can get in most countries, especially in Asia or America, while healthcare assurance is the preferred system for many European nations. The difference in perception can nurture surprises for European who are not used to be covered for specifics only. They usually expect to get the same level of cover as back home, even when picking the basic insurances.

Let’s review both to get a better grasp of their differences.

Medical Insurance
Typically local and international programmes and providers, who offer covers can be for emergency only or basic. They offer a choice of deductibles, exclusions, options and other customization to meet individual needs and expectations. Cover options can include hospitalisation, inpatient and outpatient costs, doctor and surgical fees, emergency evacuation (home country or nearest suitable hospital), physiotherapy, chemotherapy, radiotherapy, dialysis, local ambulance charges, organ transplants and others (though the list is already pretty good!)

Healthcare Assurance
Only international providers can assure you to such a level. It is much more comprehensive and protects your lifestyle instead of just offering specific insurances. As you can expect, its comprehensiveness means it is more costly. A lot of European forget how much their healthcare system is subsidised through taxes and are shocked to hear the cost of a decent health cover. The explanation is pretty simple. On top of all the medical cover, you get cover for dental, optical, maternity, chiropractors, osteopaths, acupuncturists, rehabilitation & home care and many others. It also is a rule of thumb that such provide offer better service and are more understanding.

If budget were not an issue, we would all chose healthcare assurance, isn’t it? Unfortunately we sometimes have to compromise. But we should do so knowingly. To help you in your research you should target an insurance budget of between 3% to 5% of your income. This should get you a good cover. You can also contact me should you wish to discuss this further!

The country you are living in / or to which you are moving to can have a bearing on your decision. Some countries enjoy better healthcare than others. However, I personally recommend expats do chose international cover over a local plan for the following reasons:

• They are international (Duh!), which means that you will not have to only rely on the medical facilities in the country you are living in. Many prefer to know they can go home, or to an alternative country,  for treatment should they become sick.
• They will follow you wherever you go. This ensures you don’t have any waiting period when moving to another country Icing on the cake, you don’t have to deal with potential pre-existing exlusions once you are insured.
• They gives you more freedom selecting where and by whom treatment shall be carried out. International provider usually enjoy much larger network of participating hospital.
• They usually are renewable for life. Whereas local plans will usualy only be renewable until age 65.
• Your level of coverage is much higher with an international policy, typically over 1 Million USD. You also enjoy fewer exclusions.
• International policy renewal premium are community rated. This means that your premium shall remain manageable even if you were severely ill over the past few years and had to go regularly to the hospital. To compare, local plans usually are based on previous years claim.
• International plan were set in place to replicate the same level of protection European used to enjoy back home. This means that they are not as cheap as local plans, but provide more peace of mind regarding the level of coverage in place.

At the end of the day, the choice is yours. There is no universal truth.