Health Care Priorities
What executives in Mexico must know when choosing insurance
By Dr. Robert H. Page and Dr. Curtis Page
(this article was featured in the American Chamber of Commerce’s monthly magazine, Business Mexico)
Knowledge of and confidence in Mexico’s health system is paramount for doing safe business in the country. Setting up a company in Mexico requires not only a grasp of the local laws, tax codes and labor legislation, but also an understanding of how to protect executives, visiting engineers and company representatives in case an accident or serious illness occurs while in the country. Even if you buy an air evacuation membership, long term stays in Mexico will require medical checkups and primary care, especially for executives with families.
Contrary to what many believe about health care conditions in a developing country, Mexico has hospitals that rival some of the best in wealthy countries. Some examples are the Hospital ABC in Mexico City, Hospital San Javier in Guadalajara or TEC de Monterrey in Monterrey. Each of these hospitals has the latest in diagnostic equipment and excellent emergency care. And they are staffed with qualified, English-speaking doctors, many of whom were educated in the finest US, Canadian and European universities.
Contrary to what many believe about health care conditions in a developing country, Mexico has hospitals that rival some of the best in wealthy countries. Some examples are the Hospital ABC in Mexico City, Hospital San Javier in Guadalajara or TEC de Monterrey in Monterrey. Each of these hospitals has the latest in diagnostic equipment and excellent emergency care. And they are staffed with qualified, English-speaking doctors, many of whom were educated in the finest US, Canadian and European universities.
CONSIDERING THE OPTIONS
While most insurance plans will cover emergency care, additional insurance is often required for routine medical visits.
There are several different options available for temporary medical coverage in Mexico. The most straightforward is traveler’s insurance, which typically provides coverage from as short as a few days to as long as a year.
Many of these plans will pay for emergency for emergency medical evacuation, which runs anywhere from US$6,000 to US$50,000. Details of different policies are available on the Internet and can be purchased online. Some top insurance providers are ASA Inc., Amedex, Travelex, Travel Guard International, IMG, and Allnation Medical Plans.
When deciding on which temporary traveler’s insurance policy to obtain, it is important to look at the fine print. Many polcies require the purchase of additional riders to cover for riskier activities such as sports and/or certain business activities (e.g. underground mining operations). Also some policies, such as IMG, cut corners by not covering injuries to feet.
Lastly, patients typically have to pay for hospital and doctor visits out-of-pocket and file a claim with their insurance company to receive reimbursement. For an average family of four staying abroad, this kind of coverage costs between US$750-1,500 yearly with no deductible, although travel insurance premiums may vary significantly due to age, business activity, scope of coverage selected, etc. Usually, short-term coverage (i.e. days or weeks) costs proportionally less than a yearlong policy.
There are several different options available for temporary medical coverage in Mexico. The most straightforward is traveler’s insurance, which typically provides coverage from as short as a few days to as long as a year.
Many of these plans will pay for emergency for emergency medical evacuation, which runs anywhere from US$6,000 to US$50,000. Details of different policies are available on the Internet and can be purchased online. Some top insurance providers are ASA Inc., Amedex, Travelex, Travel Guard International, IMG, and Allnation Medical Plans.
When deciding on which temporary traveler’s insurance policy to obtain, it is important to look at the fine print. Many polcies require the purchase of additional riders to cover for riskier activities such as sports and/or certain business activities (e.g. underground mining operations). Also some policies, such as IMG, cut corners by not covering injuries to feet.
Lastly, patients typically have to pay for hospital and doctor visits out-of-pocket and file a claim with their insurance company to receive reimbursement. For an average family of four staying abroad, this kind of coverage costs between US$750-1,500 yearly with no deductible, although travel insurance premiums may vary significantly due to age, business activity, scope of coverage selected, etc. Usually, short-term coverage (i.e. days or weeks) costs proportionally less than a yearlong policy.
CHOOSING AN EFFECTIVE PLAN
More comprehensive and cost-effective coverage is available through Mexican insurance companies. These policies include check-ups, family care and orientation concerning alcohol and tobacco, as well as psycological care in some cases. Moreover, most of these carriers also offer corporate plans for the smallest and largest companies.
A couple of the big names in Mexico are ING-Comercial America, Royal & SunAlliance, AIG-Interamericana. Seguros Monterrey-New York Life, Seguros Banamex-AETNA, and Metlife.
When applying for one of these policies, be sure to acquire international coverage if needed, or simply request coverage in Mexico (instead of opting for a US$50,000 "emergency coverage" abroad that is usually offered at no extra cost by most local insurances), which will be considerably more economical.
Prices for the average family of four hover around UuS$2,500, with a deductible per event or diagnosis of some US$350. Again, prices vary widely according to coverage, age, deductible and area of the country, so it is wise to shop around before making a decision.
Typically Mexican hospitals and physicians accept these policies and do not require any out-of-pocket expenses in a hospital visit (except the deductible, which is usually waived in most plans in case of accident).
In most cases, the best forms of coverage are Global Insurance Plans. Although typically more expensive, these plans cover travelers and expatriates worldwide and do not require them to pay additional coverage. Furthermore, these policies are generally accepted throughout Mexico and the rest of the world, minimizing the chances that patients will have to pay out-of-pocket expenses for medical care.
International Health Insurance danmark (IHI) is one widely known company, and there are others icluding IMG, Specialty Risk International and Multinational Underwriters. An average policy for a typical family of four will cost around US$4,500 a year with a deductible of US$1,000 per annum.
Foreigners in Mexico might be concerned that cheaper medical costs and insurance results from inferior service. In fact, out-of-pocket expenses range from one-half to one-fifth of the cost of equivalent treatment in the United States. But contrary to popular misconceptions, health care is more expensive in the United States mainly because health management organizations (HMO’s) and astronomical malpractice insurance weigh it down.
In Mexico, as well as in the United States, health care and health insurance is a complex matter and should not be taken lightly. Seeking advice from a professional insurance agent or broker is strongly recommended.
A couple of the big names in Mexico are ING-Comercial America, Royal & SunAlliance, AIG-Interamericana. Seguros Monterrey-New York Life, Seguros Banamex-AETNA, and Metlife.
When applying for one of these policies, be sure to acquire international coverage if needed, or simply request coverage in Mexico (instead of opting for a US$50,000 "emergency coverage" abroad that is usually offered at no extra cost by most local insurances), which will be considerably more economical.
Prices for the average family of four hover around UuS$2,500, with a deductible per event or diagnosis of some US$350. Again, prices vary widely according to coverage, age, deductible and area of the country, so it is wise to shop around before making a decision.
Typically Mexican hospitals and physicians accept these policies and do not require any out-of-pocket expenses in a hospital visit (except the deductible, which is usually waived in most plans in case of accident).
In most cases, the best forms of coverage are Global Insurance Plans. Although typically more expensive, these plans cover travelers and expatriates worldwide and do not require them to pay additional coverage. Furthermore, these policies are generally accepted throughout Mexico and the rest of the world, minimizing the chances that patients will have to pay out-of-pocket expenses for medical care.
International Health Insurance danmark (IHI) is one widely known company, and there are others icluding IMG, Specialty Risk International and Multinational Underwriters. An average policy for a typical family of four will cost around US$4,500 a year with a deductible of US$1,000 per annum.
Foreigners in Mexico might be concerned that cheaper medical costs and insurance results from inferior service. In fact, out-of-pocket expenses range from one-half to one-fifth of the cost of equivalent treatment in the United States. But contrary to popular misconceptions, health care is more expensive in the United States mainly because health management organizations (HMO’s) and astronomical malpractice insurance weigh it down.
In Mexico, as well as in the United States, health care and health insurance is a complex matter and should not be taken lightly. Seeking advice from a professional insurance agent or broker is strongly recommended.