Ensuring a healthy life as an expatriate(2)

Service-centered

John Williams, managing director of International SOS's China operations, a global medical and security service company, is starting to feel the pinch from top-end Chinese hospitals that are aiming to grab a share in the embryonic high-end medical care market.

International SOS is a membership organization that primarily works with companies to provide medical services to organizations and their employees, but it also collaborates with credit card companies and insurance firms to enable their clients to get access to international-standard medical facilities.

It opened an office in Beijing in 1989 and currently runs four clinics in Beijing, Tianjin and Nanjing. But Williams admitted the whole medical situation in China has changed very quickly over the past 10 years, especially in East China's coastal areas, saying there is a much more competitive business environment.

"The health bureau is encouraging the development of more community facilities because the hospitals are very busy with the volume of patients. Now many smaller clinics are run and operated by the Chinese," he said.

There are also many more options available than a decade ago. An increasing number of high-end facilities are embedded in Chinese local hospitals, such as the VIP unit in China's triple-A hospitals that have English-speaking doctors trained overseas, Williams said.

David Hayes, sales director of insurance brokerage Pacific Prime Insurance Brokers Ltd, is well positioned to echo such observations. His firm deals with individual insurance cases and he has noticed more patients are inclined to visit Chinese-run hospitals.

"Foreigners just want to speak English especially when they are sick. That's where the foreign facilities stand out. But the quality of Chinese facilities has significantly improved, notably those that run sections for foreigners," he said.

From time to time, Hayes said, foreign-owned facilities transfer a patient to a well-known local hospital if they are in a critical condition because he or she may get a better diagnosis and treatment.

For example, International SOS partners with around 600 hospitals nationwide on contract. The purpose, Williams said, is to send doctors to those hospitals and get to know better their standards and facilities should their members need access to the facilities, in the event of an emergency.

"Foreign facilities, such as Parkway and United Family, are sometimes incredibly expensive. For clients to feel safe, comfortable and with no language barrier, a good Chinese hospital is equal to, if not better than, a foreign one. This has happened over the past four years," Hayes said.

But choosing an insurance firm is a different story. The core competence in high-end medical insurance lies in the combination of network resources and localization abilities, according to industry insiders.

Buchan from Allianz is confident his company can leverage the comprehensive network of medical providers overseas to help clients access medical facilities in the shortest possible period of time.

It has a multilingual helpline and an "on-the-ground" doctor for additional support and advice for each policyholder. "This is the real advantage we have over local insurers," he said,

Likewise, Cigna has close ties with more than 100,000 healthcare providers outside its US headquarters and runs eight service centers 24 hours a day, seven days a week worldwide.

Usually a broker would recommend a customer depending on his or her budget and needs, said Ferte of expatmedicare.com in Shanghai, but clients still opt for foreign-owned ones for better coverage.

"Yes, we do recommend Chinese insurance companies but most clients prefer foreign firms, even though Chinese insurance companies are more competitive," she said.

"The thing is, local insurers' services outside China are not as strong compared with foreign ones and expats are looking for international coverage when they travel or return home."

According to Hayes, people generally get what they pay for in terms of medical insurance. While big-name insurers such as Cigna, Bupa or Allianz, provide comprehensive coverage, age, budget and gender become three decisive factors in choosing products.

A 20-year-old lady would be charged less because of the low likelihood she would develop chronic conditions, he said.

"But if you are a 30-year-old housewife and considering having a baby, you may want to get a Cigna plan with maternity cover included. Certain insurers are good at certain things and, in terms of the benefits, we will help you read between the lines," he said.