New report on the state of health insurance in China released!
Navigating through the hundreds and thousands of health insurance options in China can be hard, especially for those that are not as well versed in the world of insurance. In our goal to help clients make more informed insurance purchasing and renewal decisions, we’ve published a number of free health insurance guides and resources over the years; the latest addition being our first-ever report on the state of health insurance in China. Read on to learn about what you can expect from our newest report, or download it for FREE here today.
Inside our latest report on the state of health insurance
As the first of its kind in the industry to provide a snapshot into the current state of health insurance, our latest report utilizes the in-depth insights shared by our most experienced consultants, as well as the wealth of international health insurance data we hold. Despite its recent release, our report has already been featured on websites like Business Wire, ET Net, and IPMI Magazine, highlighting the fact that Pacific Prime is a trusted source for all things health insurance-related.
Answering the most commonly-asked questions
The State of Health Insurance in China 2017-2018 report has been created to make searching and buying international health insurance simpler, and answers the following five consumer-focused questions:
- What is the cost of international health insurance in China?
- What trends and drivers are influencing the cost of insurance, and where are costs heading?
- Who are the major insurance providers in China?
- What’s the most popular time period for buying insurance in China?
- What are the most common insurance issues faced by China-based businesses?
Eight sections of valuable insight
To present our key insights in an easy-to-digest format, we’ve divided the state of health insurance report into eight sections:
- About the report & Pacific Prime China
- The cost of international health insurance in China
- Average health insurance premium inflation in China
- Major insurers in China
- When do people buy health insurance in China?
- Recent changes in health insurance in China
- Global/regional trends impacting international private medical insurance in China
- Top 3 health insurance issues China-based companies are struggling with
Key China health insurance insights
Here, we look at some of the most prominent findings revealed in our latest state of health insurance report:
The cost of international health insurance in China
Section 2 of our report addresses one of the most frequently asked questions in the world of China health insurance: “What’s the cost of health insurance in China?” Based on the data generated for our 2017 Cost of Health Insurance report, we discovered that the average cost of international health insurance in China for four key demographics in 2017 was USD 10,695.
While knowing the average cost for all key demographics is helpful, breaking the figures down by demographics helps highlight what different types of customers should expect to pay for their international health insurance:
International health insurance inflation in China
Due to a substantial increase in health investment and reforms, China has seen a significant rise in their international private medical insurance (IPMI) inflation in recent years. In particular, China saw an IPMI inflation rate of 9.5% in 2015, and a premium increase rate of 12.06% in 2016, which was much higher than the global IPMI inflation rate of 9.2%.
We further looked at the Compound Annual Growth Rate (CAGR) of premium inflation between 2009 and 2016, and found two interesting trends:
- Average premium inflation between 2009 and 2016 actually decreased
- IPMI inflation in China has seen slightly higher increases than the global average
Most people buy international health insurance in Q3 (July to September)
Our analysis of sales data indicates that the most popular time for people to secure international health insurance in China is Q3, a key time period in which 27.9% of all customers purchase plans from us.
There are several reasons why this quarter is the most popular time for purchasing plans, including the fact that summer is usually a key period in which many people move jobs. Traditionally, we’ve seen many expats move in the summer so that they can match their children’s school schedule.
We also discovered a number of China-related factors that also impact the purchase of medical insurance. For example, major holidays like Chinese New Year, which usually takes place in February, have seen a negative impact on policies sold during this time.
Health insurance changes and trends in China
Our new state of health insurance report further noted several key changes in the Chinese health insurance market. These include:
- A shift from critical-illness to reimbursement policies
- Increasing focus on cost-containment measures
- Change in the type of risk insurers are willing to accept
The report also identified two key trends that we believe anyone who purchases health insurance should be aware of:
- Plan instability due to rising medical inflation costs
- Insurance fraud and claims abuse impacting products
For detailed analysis of the above changes and trends, download our new report today.
Top medical insurance issues faced by China-based businesses
While many insurance companies are putting a larger focus on the local market, challenges still remain for any China-based business looking to secure and manage an employee benefits solution. Here are what we believe to be the top issues companies are facing in China:
- Plan sustainability and competitiveness
- Uncertainty around premiums
- Finding affordable plans for Small and Medium Enterprises (SMEs)
Get your free copy of the state of health insurance report today
The above is just a short summary of the key insights generated by our latest Pacific Prime China study, so be sure to download the full report today for a comprehensive review of all findings. If you’re looking for regional analysis on the state of health insurance in Dubai, Hong Kong, or Singapore, or would prefer an overview of the global state of health insurance, please download the report(s) from their respective websites.
If you have any other questions about international health insurance in China, or the global insurance industry as we know it, please get in touch with our team today. We’re standing by to answer all your questions, guide you through all aspects of your insurance process, and give you a free quote!