Pacific Prime can confirm that IHI Bupa's premium increases for 2013 will fall below five year forecasts.
HONG KONG, Dec. 4, 2012 /PRNewswire/ -- Pacific Prime can confirm that IHI Bupa's premium increases for 2013 will fall below five year forecasts, supporting observations that the rate of medical inflation is falling for Pacific Prime clients worldwide. IHI Bupa has a substantial client base in Asia with Pacific Prime, and provides health insurance plans that cover clients worldwide, while offering life time renewability on policies.
IHI Bupa's Premium increases recorded over the past five years have shown a 13 percent average rise on the 'International Health and Hospitalization Plan.' This year however, premiums will only increase by 8.5 percent. This rate is in line with the 2013 premium rates released from other leading international insurers working with Pacific Prime namely, Allianz, Aetna and AXA PPP.
Mr Neil Raymond, CEO of Pacific Prime commented: "We have had real problems in Asia over the past few years with the cost of medical insurance policies and the amount by which they go up every year…the reality here in Hong Kong, China and Singapore is that the cost of treatment in leading facilities has been quickly increasing. Patients and clients recognize this but they do not make the connection to their insurance premium."
Pacific Prime is pleased that there will be no major adjustments to the benefits offered to customers paired with IHI Bupa policies. Coverage is not being downgraded at all but with Zurich, AXA Hong Kong and Cigna all entering the HK market in 2012, the increasing levels of competition will require IHI Bupa to focus on providing value for money policies to remain a leading health insurance provider in the region.
Mr Raymond commented: "I think part of the reason for the slowdown in health insurance rates... is being driven by increased competition. US insurers are increasingly looking overseas for opportunities and companies like Cigna are very active... this means the incumbents have to focus on service and value to maintain their position which is positive for clients."
Lower increases in premium rates for the future and the arrival of competitors like Cigna should ensure IHI Bupa continues to maintain competitive and comprehensive insurance plans; encouraging news for Pacific Prime policyholders.
SOURCE Pacific Prime