Medical insurance premiums set to increase
The rising cost of medical treatment will lead to an increase in medical insurance premiums in the UAE, a senior insurer said. "With premiums on medical insurance having dropped to a very low level in the past, the trend is all set to be reversed in the coming years in line with the increase in medical inflation," James Cooper, sales director, William Russell, a UK-based company with over 15 years of experience in looking after insurance needs of expatriates around the world, told The Business Weekly in an interview.
"I am not sure whether falling premiums will be sustainable in the long-term. In fact, we are seeing a huge increase in premium in the Far East, with China reporting a hefty increase between 10 to 22 per cent," he added.
With globalisation and an open economy it would be very difficult to imagine what the situation will be in the UAE two to three years down the line. "We anticipate that the premiums will increase in line with worldwide medical inflation.
Because the medical treatment costs are increasing in the UAE just as they are in China and the US. The premiums would have to reflect that increase as the insurance companies can't afford to swallow the hike," he said.
First venture
This is the first major venture of William Russell in the region and the company was attracted by the new legislation launched by Abu Dhabi to make healthcare mandatory with Dubai and other emirates following suit. "We had concentrated our efforts for many years in the Far East, Hong Kong and Malaysia, and felt that expanding our services here was a natural progression for us. We are looking to capitalise in the region through partnership and introducing our own range of products," he added.
Cooper was speaking to TBW on the sidelines of a function marking William Russell's entry into the region in partnership with Dubai Insurance Company. The partnership has launched a range of international health, income protection and life insurance plans designed specifically for expatriates and small to medium-sized expatriate employers.
The plans are underwritten by Dubai Insurance Company and administered by William Russell. The range includes GlobalHealth expatriate health insurance plans, GlobalLife, life insurance protection for individuals and GlobalIncome Protection, which provides a regular income if an expatriate is unable to work due to illness or injury.
"Choosing to live and work in the Gulf provides expatriates with a rewarding career and lifestyle opportunities, but they do need to make sure that they have the right insurance to financially protect income and the security of their families in the event of illness, injury or even death," Cooper said.
"I am not sure whether falling premiums will be sustainable in the long-term. In fact, we are seeing a huge increase in premium in the Far East, with China reporting a hefty increase between 10 to 22 per cent," he added.
With globalisation and an open economy it would be very difficult to imagine what the situation will be in the UAE two to three years down the line. "We anticipate that the premiums will increase in line with worldwide medical inflation.
Because the medical treatment costs are increasing in the UAE just as they are in China and the US. The premiums would have to reflect that increase as the insurance companies can't afford to swallow the hike," he said.
First venture
This is the first major venture of William Russell in the region and the company was attracted by the new legislation launched by Abu Dhabi to make healthcare mandatory with Dubai and other emirates following suit. "We had concentrated our efforts for many years in the Far East, Hong Kong and Malaysia, and felt that expanding our services here was a natural progression for us. We are looking to capitalise in the region through partnership and introducing our own range of products," he added.
Cooper was speaking to TBW on the sidelines of a function marking William Russell's entry into the region in partnership with Dubai Insurance Company. The partnership has launched a range of international health, income protection and life insurance plans designed specifically for expatriates and small to medium-sized expatriate employers.
The plans are underwritten by Dubai Insurance Company and administered by William Russell. The range includes GlobalHealth expatriate health insurance plans, GlobalLife, life insurance protection for individuals and GlobalIncome Protection, which provides a regular income if an expatriate is unable to work due to illness or injury.
"Choosing to live and work in the Gulf provides expatriates with a rewarding career and lifestyle opportunities, but they do need to make sure that they have the right insurance to financially protect income and the security of their families in the event of illness, injury or even death," Cooper said.
/The Business Weekly /
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