Globalsurance Concerned after Aviva Ceases Medical Insurance on Two Plans in Singapore
HONG KONG, Dec.13, 2012 /PRNewswire/ — It has come to the attention of Globalsurance that Aviva Ltd, a Singapore-based subsidiary of Aviva PLC, is set to stop providing medical insurance coverage on its IdealMedical and Global Health insurance plans in Singapore.
These will no longer be made available and will not be renewed from February 2013 by Aviva. However, it is understood that Bupa and its partner Raffles Health Insurance (RHI), are set to take over the portfolio.
While it is thought that those conditions previously covered by Aviva will continue to be covered by Bupa, the benefits are believed to differ slightly and premiums are expected to rise dramatically. This latest move by Aviva is thought to potentially impact between 5,000 to 10,000 people.
This unfortunate news follows Globalsurance’s October 26th, 2011 announcement that Aviva Life Insurance Company Ltd were canceling their entire line of Global LifeCare health insurance plans in Hong Kong. Unfortunately for Aviva clients in Hong Kong at the time, no alternative solutions were provided for policyholders and a number of clients were left with uninsurable serious medical conditions as a result.
Affected Singapore Aviva IdealMedical and Global Health customers will be offered the option of either RHI-Bupa Worldwide Health Options or RHI-Bupa Health Select Asia Pacific products to transfer their policy to, without being subject to underwriting.
Premium rate implications for transferring policyholders will depend on client ages and the selected plan to transfer into, but it is suspected by analysts that rates may increase by as much as 100% in some cases. However, choosing to pay a more expensive health insurance premium rather than living with an expensive, uninsurable health condition is obviously the recommended option if available.
In light of this, the moves made by Bupa and RHI show significant promise of development in Singapore and Globalsurance customers should consider this form of support as a very positive move by both parties.