Local national clients with Pacific Prime can now obtain international health insurance through Now Health. Many international insurers are unable to offer this insurance to local nationals due to the high risks of covering an employee in their own country. Local nationals are employees who work in their own country for a company based abroad.
By teaming up with Asia Insurance, a company underwritten by Swiss Re, Now Health can now offer plans which have overcome compliance issues and will offer coverage to mixed groups of local nationals.
Compliance issues pose the biggest problem for insurers, they must make sure they can legally cover local nationals in each country. Legal requirements are different for expatriates versus local nationals, and vary from country to country as well.
Typically a lot of resources are required for insurers to create legally sound policies. Now Health, by working with Asia Insurance, has had extra assistance to ensure compliance and can offer their plans to the local market.
International insurers tend to avoid the local market for other non legal issues too. Clientele mentality regarding policy usage, for example, can differ greatly between locals and expatriates. Expatriates may wish to return to their home country for treatment, whereas locals may make use of the local system. This can result in the need for a completely different matrix to calculate risk factors and generate appropriate premium rates.
Pacific Prime is keen to start offering policies to local national clients. By covering a group many other insurers are unable to, this move will undoubtedly strengthen Now Health’s competitive edge in the market as well as being a boost for Pacific Prime’s clients.