Affordable Healthcare – Living in South-East Asia

Andrew Leeson

14/06/2024

Healthcare South East Asia

It’s not surprising that healthcare becomes increasingly important as we get older. It’s the number one issue we encounter when discussing some of the issues that stop people wanting to live in SE Asia in retirement. Just above leaving family and friends behind.

While we understand the importance of having affordable healthcare available as we age, it shouldn’t be a deal-breaker living in SE Asia in retirement.

SE Asia offers many world-class private hospitals and affordable public hospitals. Generally, you can insure yourselves to avail yourselves of those world-class private hospitals when needed and utilise the public hospital system when you have, perhaps, lesser ailments.

World Class Private Health Care
No time to read a book while you wait.

World Class Private Hospitals in SE Asia

Initially driven by the massive influx of tourists and expat workers, along with a rapidly growing local middle class, and now an increasing number of international retirees, SE Asia is home to a very large and growing number of world-quality private hospitals – whether you choose Malaysia, Thailand, Indonesia (Bali), Philippines or even Vietnam.

In saying that, you will find the best hospitals in the tourist areas and cities. So, if having easy access to world class medical treatment is a must right now then you may not wish to live too remotely.

Private hospitals have the most up-to-date facilities and equipment, employ English speaking professionals, many being internationally trained, and even have an international liaison department to help foreign nationals.

Private hospitals in SE Asia come at a cost

Unless you have a nice stash of funds somewhere, if you end up in a private hospital without insurance, or inadequate insurance, then you may be in for a nasty surprise when you get the bill.

Private hospitals, and even public hospitals may ask for payment up front if you do not have adequate medical insurance. 

International Private Health Cover
International private health insurance – don’t leave home without it.

International Private Health Insurance

If you are planning to live overseas for an extended period, then investing in a good international insurance plan is a great idea. 

Caution: If you only have travel insurance, and your insurer discovers that you are living overseas permanently, in most cases they are not required to pay out if you submit a claim. It’s best you check the conditions of the policy rather than rely on travel insurance under these circumstances. 

In some cases (such as Thailand), it is compulsory to obtain private medical insurance as part of the retirement visa requirements. However, we have been made aware that this minimum cover is not the best option in most cases as it does only cover to a minimum standard. Therefore, in Thailand’s case, we would only recommend this minimum cover if you had enough funds to self-insure and you only require medical insurance for the visa process.

What’s covered under International Private Health Insurance?

Coverage usually includes in-patient care, out-patient care, physio/recovery/wellness, evacuation (very important), dental, vision and more. Policies are usually renewed annually up until a certain age, such as age 80 or 85 but policies do vary.
The best advantage of having a private policy is that you can choose a private hospital and doctors of YOUR choice.

What if International Private Health Insurance Becomes Too Expensive?

We all appreciate that as we age some things droop, but other things rise. Well, no surprises that insurance premiums rise as we age as we become riskier to the insurer. If you do find yourself living in SE Asia in your mid-to-late 70’s and into your 80’s you might find that your premiums are becoming expensive.

This must be weighed against the cost savings in general of living in SE Asia. For instance, if it’s costing you $15,000pa less to live in say, Thailand, but you are paying $7,000pa in premiums then it’s still a good deal. Right!?

However, what we find when we do discuss this issue with older expats is in most instances they jettison the unnecessary parts of their policies. Some examples are: 

Seek a good International Private Health Insurance Broker

There will be a hundred and one companies trying to sell you a policy. But will the policy they are selling be suited to your specific needs? Will you be paying for things that you don’t need? Will you be covered for the activities you do or the places you go? What is the dollar figure cover able to pay for? And will this be enough for you?

I’ve never been a fan of blanket covers – one size fits all approaches. A good broker will ask you questions, find out your personal medical and financial needs and wants and explain to you your options based on what you say. And brokers don’t come with any extra costs to you. So why not?

If you need to discuss any of the above issues with a reputable broker, please contact Retire to Asia.

Thailand as a prison does not sound like fun. Make sure you have adequate insurance. 

A Swedish horror story – inadequate medial insurance in Thailand

Retire to Asia has had the privilege of presenting to a few expat clubs in Asia. Long term expats provide invaluable information and insight, as well as plenty of horror stories about what could go wrong for the underprepared, or in this case a Swedish gent that wished to save a few Baht and thought ‘it won’t happen to me’. I have never met this gent, but he is/was a member of a particular expat club that we have gotten to know, and this story comes from his fellow members.

This gent thought he was doing the right thing; he took out medical insurance that covered most major ailments. What he did wrong was that his level of cover only allowed him to claim approximately US$60,000 each year. Anything above this was on his own dime.

Now, US$60,000 can actually go a very long way in SE Asia medical treatment, even in a private hospital, and in a large majority of cases this amount would have been more than enough to cover the expenses……..but…….this gent suffered an initial major heart attack, survived but was in hospital for two weeks in ICU, then before he fully recovered and still in hospital suffered a series of strokes. In total he was in the ICU then his own room for many, many months with round the clock medical staff and all the modern equipment aiding him initially to keep him alive, then for his recovery.

The plus is that he was well looked after, excellent staff 24/7, best facilities, best equipment, and he survived. But it also came with about a US$360,000 medical bill. His insurer paid out the US$60,000 as per his policy, which meant that he had US$300,000 to pay out of his own pocket, which he didn’t have.

They took his passport away until he paid the outstanding medical bill!

In Thailand (and other SE Asian countries) the hospital can obtain the legal authority to take your passport from you until you pay your bill. Which is what happened. This gent was stuck in Thailand, no way of paying his medical bill, no prospect of working in Thailand and being able to pay off his medical bill and no way of leaving Thailand (legally). And all whilst not being in the best medical shape.

Moral of the story: don’t cheapen out on medical coverage to save what will only be a relatively small amount of money. Obtain a policy with either an unlimited spend, or at least go very high – into the hundred-of-thousands of US dollars so be safe.

It’s far better to start off with too much cover whilst ‘young(er)’, then if you are finding that premiums are becoming unaffordable, have a chat with a good broker to see what can be done. A good broker will help you make decisions that cut cost where able to whilst still retaining great cover, so you do not end up like the Swedish gent. 

Great Cover = Peace of Mind to Enjoy Retirement in SE Asia 

Bring Tolstoy’s War and Peace. 

Public Hospital System

The equipment used in the public hospital system may be a little outdated. This is fine if you need assistance with the basics, like a sprain, some stiches, flu, gastro and even a broken bone – typical outpatient care. You will find that the public hospital system will provide very good care for the day-to-day medical care that you may need, usually at an extremely reasonable price.

English in some instances may not be widely spoken causing some communication issues. However, the language barrier should not be a major factor if you are in a tourist area.

The biggest gripe of expats of the public hospital system is the long waiting periods. So be warned, bring a book or ensure your smartphone is fully charged.

Many countries in SE Asia do not have a private General Practice (GP) system, or it is not as developed as ‘back home’. This of course adds to the public hospital system’s wait times as the general population needs to go to a hospital or a clinic to see a doctor.

If you were to suffer a serious accident, injury or illness, the public system will be able to assist of course, but due to outdated equipment, possible communication issues, staff time being stretched thin and up-to-date staff training on major medical procedures perhaps being a bit lacking, you’d probably wish to be treated in the private hospital system. With your own room. 

Love Healthcare Insurance

Enjoy!

If you’d like more information or have any questions, please feel free to call 1800-961-377 or email in**@**************om.au and let the team at Retire to Asia help make your dream lifestyle a reality.

Andrew Leeson

Andrew Leeson

Over 20 years of experience helping people live a better life in SE Asia. Having worked in financial services in Asia I understand the challenges when moving to and living in a new country. I have travelled extensively throughout the region and experienced what SE Asia has to offer to retirees.

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