Dec
14
Aviva Setting Up Locally Compliant UAE International Health Insurance
Filed Under Aviva, Expat Insurance, Health Insurance, Insurance Company, International Healthcare, Medical Insurance, UAE Insurance | Leave a Comment
UK-based Aviva is moving to build a network in the United Arab Emirates to provide international health insurance products to expatriates situated on the Arabian Peninsula.
Many countries in the Gulf Cooperation Council (GCC) are facing rising costs of healthcare, often due to a rising number of instances of lifestyle related diseases such as diabetes and heart disease. Abu-Dhabi alone spends approximately AED1 billion (US$272 million) every year on healthcare costs associated with treating young diabetics at risk of suffering heart disease in the future.
Abu Dhabi is not alone in this, with GCC compatriot Saudi Arabia having similar problems. The rise of sedentary lifestyles in the region has pushed the levels of obesity up alongside diabetes and related diseases. As many countries in the GCC pay for a large proportion of healthcare in their countries, this rising tide of costly chronic and lifestyle-related health problems is becoming an increasingly large problem.
The GCC healthcare market is expected to grow by approximately 11 percent a year, from an estimated AED94 billion (US$25.6 billion) in 2010 to AED161 billion (US$43.9 billion) in 2015. Given that much of this expenditure on healthcare is paid for by governments, many in the region are looking at health measures to ameliorate the trend lifestyle diseases, as well as possible health insurance mandates.
Abu Dhabi has led the way in this regard, initially requiring mandatory health insurance policies originally for expatriates to get a visa, and later expanding that program to the point where mandatory health insurance is now a requirement for most citizens and residents in the country. While other countries in the region may be debating similar requirements, some health insurance companies are working proactively to provide products that offer customers quality products while fulfilling any governmental health insurance requirements.
International health insurance company Aviva has recently been working with Abu Dhabi-based Emirates Insurance Company to build up a UAE health insurance network. Their efforts have paid off, resulting in the creation of Emirates’ International Solutions product line, a group of 4 benefit plans designed especially for the UAE region which will be available after March 1st, 2012.
In being designed for the local region, international health insurance products that are to be available from Aviva will comply with local regulation. This means that any expats who live in Abu Dhabi will be able to take out one of the Emirates’ International Solutions products and have it satisfy the visa requirement for compulsory local insurance, allowing them to simply have one plan to cover them in Abu Dhabi and internationally.
In commenting on the recent news, the International Business Lead for Aviva, UK Health, Teresa Rogers noted that “Offering health provision in the UAE is complex due to different legislative requirements across each of the Emirates. We’ve worked with a specialist international law firm to help us develop bespoke solutions for our customers based in the UAE and we believe that our four products will enable us to respond to changes in legislation and customer needs both now and in the future.”
Company Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Nov
2
Is the Latin America Health Insurance Market in Good Shape?
Filed Under Aviva, Health Insurance, Healthcare, Insurance Company, International Healthcare, Medical Insurance | 2 Comments
In recent weeks there has been a wave of news from within the international Health insurance industry revealing that Latin America is causing a host of issues for Health Insurance companies.
The leading causes of concern are primarily fraudulent claims being submitted under plans, and massive overcharging by healthcare providers for individuals seeking treatment who are in possession of medical insurance coverage. Both these issues are leading to increased health insurance loss ratios for most companies providing policies to the region, and is placing the continued viability of international health insurance for LatAm in doubt.
This is especially concerning considering the fact that Latin America has weathered the global economic downturn in a fairly robust manner. Brazil, for instance, as a key market for many international insurance companies and a major emerging BRIC economy should present high growth opportunities for insurers.
Despite the perceived opportunities in the Latin American health insurance market insurers are increasingly wary of the region and are slowly beginning to pull out of these markets. One such insurance company planning to leave LatAm is Nordic, the health insurance brand of Europæiske Rejseforsikring A/S; Nordic has revealed that it plans to cease the sale of NHC Americas Health Insurance products.
The company is also moving towards a complete withdrawal from Latin America, and will no longer sell NHC products through Agents or Brokers located in the region.
The move has surprised many industry insiders as it has been known that Latin America was one of Nordic’s biggest markets, and the company was well placed to capitalize on the expansive economic growth of the region over the near term future.
However, Nordic sources have revealed that this withdrawal from the LatAm health insurance market was instigated after an extensive internal review, and is being conducted in order for the company to consolidate its positions in other markets, with Asia being a key focus.
Unlike the recent announcement regarding the complete shutdown of Aviva Global LifeCare Health Insurance products, Nordic has stated that policyholders currently enrolled on an NHC Americas health insurance plan will still be able to renew their policies going forward, and that the plan will be serviced in accordance with existing policy terms.
This means that in contrast to Aviva, Nordic will not completely disable its NHC Americas business, but rather stop the sale of any NHC Americas products to new customers. As such, existing NHC Americas policyholders will be able to receive continuing coverage for any medical conditions they may have developed while on their health insurance plan.
The two companies, Aviva and Nordic, could not have handled the “shut down” of their respective plans in a more contrasting manner. Nordic, unlike Aviva, has shown its commitment to policyholders and has displayed its intent to provide high quality on-going services to members who may have developed serious medical conditions while enrolled on their health insurance plan. Aviva, on the other hand, has shown a complete disregard for the impact of its actions on its clients.
While the Aviva Global LifeCare plans may have been loss making for the company, the position they have placed themselves in by simply ceasing to operate these products could do major damage to the perception of “safeness” which IPMI policies offer on a global level. Facing a similar position, Nordic has elected to stand by its existing customers who may have otherwise faced a difficult proposition in obtaining continuing coverage for this region.
Nordic will not force policyholders off plans which are already in place. This key distinction over the manner in which Aviva is treating existing members is a major insight into the duality displayed by many major Global health insurance providers in the modern age. For the international insurance industry to grow, consumers must have trust in the company they are working with, in that the protection they are purchasing is often intended to provide their medical coverage for the rest of their life. While Aviva may have had a negative impact on the perceived trust levels clients have towards their insurer, Nordic has proven that at least some international insurance companies do care about the people they are protecting, and that these insurers are committed to protecting customers over the long haul.
At present it is still unclear why NHC has made this startling decision. Market Analysts suspect that one of the major contributing factors is due to the company’s Claims Ratio in the LatAm region; future claims development in Latin America for NHC was viewed by insiders as potentially unsustainable.
While the news will undoubtedly come as a blow for individuals in Latin American countries due to the high quality and coverage levels associated with the NHC Americas policy, the fact the Nordic remains committed to continuing service of existing customers will be welcomed by many.
Oct
26
Aviva Global Lifecare Plans to be Shut Down
Filed Under Aviva, Expat Insurance, Health Insurance, Hong Kong, Medical Insurance | 4 Comments
Aviva Life Insurance Company Ltd, part of Aviva PLC, has announced to its brokers and agents in Hong Kong that the company will be cancelling its line of Aviva Global LifeCare products.
The Aviva Global LifeCare plan is an individual international private medical insurance policy licensed out of Hong Kong SAR.
In a recent communication to the Aviva distributor network in Hong Kong the company has stated that ”we have decided to discontinue any new business of our Aviva Global Lifecare products with immediate effect and also the renewal of all existing Aviva Global Lifecare policies.”
This means that any policyholders in possession of an Aviva Global LifeCare plan will be unable to renew their policy. However, until the plan reaches the renewal date, now the cancellation date, Aviva has confirmed that customers will be able to seek coverage under the plan.
This poses a grave concern for many individuals and families currently covered by the Aviva plan, as the cancellation will force them to seek alternative health insurance options. Any medical conditions developed by the policyholder while enrolled on the Aviva policy would subsequently be treated as Pre-Existing with any new health insurance application.
Pre-exsiting medical conditions are normally not eligible for coverage under an international health insurance policy.
As of the time of publishing, Aviva has offered no solutions for continuing coverage to Aviva policyholders currently suffering from severe chronic conditions whose plans will be cancelled. This means that individuals experiencing life threatening medical conditions, such as cancer, are now no longer to obtain coverage from a plan which they have been enrolled on for a number of years.
Additionally, many Aviva policyholders are finding that they have only just completed the waiting periods associated with coverage benefits such as Maternity, and are now being told that their policy is no longer being offered. These individuals must find new coverage and complete a new set of waiting periods before they are able to start their family with the protection they deserve.
A current Aviva policyholder, who did not wish to be named for this story, said of the cancellation:
“This is horrific; I’m absolutely outraged at the decision. This belies an utter lack of commitment to the customer and is, quite frankly, extremely disappointing from one of the world’s, supposedly, ‘premier’ insurance providers… How am I meant to get coverage now?”
Upon being asked if he had any pre-existing conditions which would require continuing coverage the policyholder stated:
“Yes, and it’s definitely a condition which will be excluded from my next plan – if I’m even accepted. The whole situation is verging on the criminal, in my opinion.”
One woman, asking to be called Mrs. S in this article, who had purchased the policy expressly for the maternity coverage said of the news that “this is insane! My husband and I were going to try to start a family this year…. We now have to wait another 10 months on a different policy before we can give birth? How can Aviva do this?!”
Aviva entered the international health insurance market with the Aviva LifeCare plan in 2007 and it is unknown at this moment why the company is choosing leave. Additionally, it is also unknown whether Aviva’s offerings in the United Kingdom or Singapore will be affected by this decision.
However, it should be noted that Aviva has had a history of extreme premium increases over the last 2 years with the LifeCare product, with average plan costs doubling for 2 consecutive years. This is unusual for Health insurance and may indicate a structural unsoundness at the core of the Aviva LifeCare business.
At this time International Insurance News recommends that any person holding an Aviva Global LifeCare Health Insurance policy should contact their agent, broker, or representative to establish continuing coverage options.
Oct
18
Aviva Upgrading Critical Illness Cover
Filed Under Aviva | Leave a Comment
Aviva PLC, the United Kingdom’s largest insurer, has announced plans this week to enhance its critical illness cover package with the addition of partial payments for several newly covered medical conditions.
From October 17, 2011 onwards, all new Aviva critical illness customers will be eligible to claim partial insurance payments for two early forms of cancer: low grade prostate cancer and ductal carcinoma in situ (DCIS), which is an early form of breast cancer. If either of these conditions is realized, claimants can receive 20 percent of their sum assured, up to a £20,000 maximum cap, when they undergo cancer treatment.
Under their updated critical illness policy, Aviva will cover all forms of recognized surgical treatments for both low grade prostate cancer and DCIS. Aviva notes that this could prove particularly relevant for breast cancer patients with their assortment of treatment options. While two thirds of all breast cancer cases in the UK are treated by a lumpectomy (the removal of affected cancerous area), many competing critical illness policies from other insurers only cover mastectomy (removal of the whole breast), and this, Aviva feels, gives their product an important advantage in the market.
Aviva’s new partial payment scheme is an additional benefit, separate from the main policy, and thus a customer’s critical illness cover will remain to be in place if they need to make a fresh claim in the future. In addition to this new rider, Aviva has updated their critical illness cover on a number of other conditions, and had allowed customers to bring claims more quickly for medical issues like Multiple Sclerosis (MS).
Commenting on these upgrades, Robert Morrison, Chief Underwriter for Aviva said “These enhancements are great news for customers who can now benefit from more comprehensive cover. Cancer treatments can take a huge emotional and physical toll, so this extra financial support is there to provide peace of mind so patients can concentrate on getting well.”
Aviva paid out £62 million (US$99.8 million) on critical illness policies during the first six months of 2011, a 21 percent increase over last year’s corresponding first half totals. In September the company disclosed that 755 UK customers had made claims on critical illness cover between January and June and they had received an average payout of around £81,000 each (US$130,000). Aviva’s typical critical illness claimant was described as a 44 year-old woman or a 45 and three months old man and the most commonly claimed-for diseases were cancer (accounting for 65.9 percent of all claims), followed at a distance by heart attack (11.3 percent) and stroke (7.9 percent).
Aviva reported that 92.5 percent of all critical illness claims were settled during the first half of the year, bringing the insurer’s claims paid percentage over the past 12 months to an insurance industry high of 94.3 percent. It has become common for many British insurance providers to publish half year, as well as annual, claims statistics for their clients. Being able to consistently report a high claims ratio can be seen as a valuable promotion tool for a company, demonstrating an ability to consistently meet obligations to clients. Increasing transparency and claims efficiency will work to improve the image of the insurance industry as a whole in the UK. In 2010 Aviva paid out the highest proportion of critical illness claims across the country.
Insurance Companies Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Sep
7
Aviva Reveals Large Payouts for Insurance Clients in 2011
Filed Under Aviva, United Kingdom | 2 Comments
Aviva PLC, the United Kingdom’s largest insurer with over 19 million customers, reported this week that it had so far paid out £212 million (US$ 341.28 million) on its critical illness and life insurance policies in the first half of 2011. This equates to a settlement on 98 percent of all claims made during that period.
Many British insurance providers are now publishing half year, as well as annual, claims statistics for their customers. Being able to report a high claims ratio can be seen as a valuable promotion tool for a company, demonstrating an ability to consistently meet obligations to clients. Both increased transparency and payouts will also work to improve the image of the insurance industry as a whole in the UK. So far this year, Bright Grey, Scottish Provident and Zurich have published their claims statistics. Zurich have so far paid out 89 percent of critical illness claims (for a total of £43.7 million (US$67 million)) while Scottish Provident paid 91 percent and Bright Grey settled 90 percent of claims.
On critical illness policies, Aviva paid out £62 million (US$99.8 million) during the first six months of 2011, a 21 percent increase over last year’s corresponding first half totals. The company disclosed that 755 customers had made claims on critical illness cover between January and June and that they received an average payment of around £81,000 each (US$130,000). The typical critical illness claimant was described as a 44 year-old women or a 45 and three months old man and the most commonly claimed-for diseases were cancer (accounting for 65.9 percent of all claims), followed at a distance by heart attack (11.3 percent) and stroke (7.9 percent).
Aviva reported that 92.5 percent of all critical illness claims were settled during the first half of the year, lifting the insurer’s claims paid percentage over the past 12 months to a high of 94.3 percent. Of the remaining unsettled claims, Aviva’s statistics show that around 6 percent were denied for failing meeting policy criteria. Meanwhile, the number of critical illness claims rejected for reasons of non-disclosure during the January-June period fell to 1.5 percent, a result the insurer described as significant.
With regards their life insurance policies, the first six months of 2011 saw Aviva pay out £150 million (US$241 million) worth of claims to the beneficiaries of policyholders who had died or had become diagnosed with a terminal condition. The company was able to settle 99.7 percent of all claims resulting from death, a stat Aviva understood to be “unsurpassed within the industry.”
Robert Morrison, Chief Underwriter for Aviva, suggested that these claims totals should restore confidence amongst customers, assuring them that the company will continue to support them through difficult periods of their lives. The evidence shows that in fact the vast majority of claims are settled quickly and only a few turned down for reasons of non-disclosure or from not meeting with certain policy criteria. “At Aviva we believe it is crucial we pay every claim we can. While unfortunately across the industry there are a small number of claims insurers are unable to pay…these latest figures should help to reassure customers that we are there to help them when it matters most.”
Mr. Morrison added that Aviva would remain committed to improving and developing new mechanisms to address critical illness claims. This month, the insurer introduced a new electronic group risk claims process designed to make it easier and more efficient for group risk customers to submit claims in the immediate aftermath of a policyholder death. Aviva also plan to add coverage extensions to its international private medical insurance products to better meet the needs of their expanding base of international clients. The additions come as a result of a recent research paper, conducted by Aviva, that revealed that over a third of all UK businesses worry about how they would manage if an employee was involved in an unforeseen accident while traveling abroad. “We would like to see critical illness claims figures rise even higher across the industry and at Aviva we are constantly reviewing how we work with our customers and advisers to assist them from the point of purchase. This way they can be confident that should the unexpected happen and they need to make a claim, we can help provide the financial support they require so they can concentrate on more important matters”, Mr. Morrison concluded.
The number of successful critical illness claims in the United Kingdom is increasing as insurers succumb to increased public and regulatory pressure to settle as many policies as possible. New data published by the Association of British Insurers (ABI) this month has shown that £1.9 billion (US$3.06 billion) was paid out in 2010 by insurance companies to claimants, up from £1.8 billion (US$2.9 billion) the previous year, with £1.14 billion (US$1.84 billion) coming through life insurance and £776 million (US$1.2 billion) spent on critical illness claims. According to the ABI, More than 40,000 British families and individuals received a claim payment last year, with an average settlement of £47,166 (US$75,533)(almost double the average UK salary).
The British insurance industry has taken action to better inform and educate customers about the details of their policies so that fewer claims are turned down in the aftermath of a critical illness or bereavement. In 2008, the ABI issued a public guidance on insurance claims, which increased transparency and ensured customers who applied for life insurance would not be penalized for accidental non-disclosure of medical information. This occurred amid a public backlash after the proportion of rejected claims reached a high of 16 percent in 2007. The ABI soon began introducing standard definitions for many of the more common conditions on contentious critical illness policies. Since the guidelines have been implemented, customers have developed a deeper understanding of their policies, reducing the number of claims turned down, and thus the number of complaints leveled at long-term insurers in the UK has reportedly fallen by over 50 percent. Both the insurance companies and clients have realized the importance of improved transparency and efficient payouts when settling critical illness and life insurance policies.
Organizations Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Association of British Insurers
The ABI (Association of British Insurers) represents the collective interests of the UK’s insurance industry. The Association speaks out on issues of common interest; helps to inform and participate in debates on public policy issues; and also acts as an advocate for high standards of customer service in the insurance industry. Every day, ABI members pay out an estimated £155 million in benefits to pensioners and around £58 million in general insurance claims.
May
24
More International Medical Insurance Providers Offer Full Underwriting Services
Filed Under Aviva, International Healthcare | 3 Comments
Morgan Price International Healthcare has become the latest international private medical insurance provider to respond to rising broker demand and offer full medical underwriting options for individual policyholders.
Morgan Price International Healthcare (Morgan Price) was established in 1999 to offer specialist international health insurance to expatriates working all over the world. Depending on location, Morgan Price plans are underwritten by Europ Assistance Holdings Irish Branch or Generali Worldwide Insurance Company Limited.
Full medical underwriting (FMU) options are now available through Morgan Price’s individual GlobalHealth and ExpatHealth insurance plans. These updates are the result of ongoing product development meetings with participating reinsurers as well as extensive feedback on expatriate health policy from the global intermediary market.
The announcement follows Aviva PLC’s plans, released earlier this month, to upgrade its international private medical insurance products to better meet the needs of their expanding base of international clients. Aviva’s ‘International Solutions’ modular private health insurance products now offer flexible coverage options to handle the large discrepancies in cost and quality of healthcare available when living overseas. A recent study conducted by Aviva confirmed that medical coverage issues continue to be a key concern in customers’ travel planning.
Most international private medical insurance underwriters have historically sided against providing medical cover for pre-existing conditions because expatriate clients usually will not have access to or the support of the state healthcare system in their new country of residence and employment to fall back on. While group coverage schemes above a certain size can often be underwritten irregardless of a particular group member’s medical history, individuals with pre-existing conditions have been left with few options when looking for coverage, either a policy with those conditions excluded altogether or one which is accepted but only on a moratorium basis.
Morgan Price is now one of a number of international private health insurance providers to offer comprehensive underwriting options. Last year, Bupa International announced plans to offer a similar service, initially through its direct sales channel and then on to licensed intermediaries. Other companies that feature full medical underwriting include DKV Globality and IHI Bupa, the Danish subsidiary Bupa acquired in 2005.
Speaking at the launch of Morgan Price’s full medical underwriting options, Jon Carpenter, Managing Director of Morgan Price, detailed how policyholders would be able to access the new service. Morgan Price customers will fill out a medical declaration (either online or in print), which will either result in coverage being confirmed at the normal terms or with the inclusion of a modified benefit or exclusion policy rider. The whole analytical underwriting process is expected to take no more than 1 working day in the majority of cases and “only a little longer” when auxiliary medical information is required.
According to Mr. Carpenter, the addition of full medical underwriting options will provide Morgan Price customers with “much greater certainty” about limits on coverage for any pre-existing conditions at the onset of the policy rather than at the critical claims stage.
Mr. Carpenter further stated that the move to implement more inclusive actuarial processes was a necessary development for Morgan Price. “Moratorium underwriting has worked well for us over the past 10 years, but in these days of greater clarity and transparency in all insurance matters FMU seemed like a natural progression,” he said, adding that the conventional practice for the entire expatriate health insurance industry may need to evolve. “Traditionally individual international business has been sold via the moratorium route as it is an immediate sell, but increasingly this is causing issues at the back end where customers expect fast claims turnarounds and payments. If a moratorium policy is being administered properly, then claims stage investigation is common, and this inevitably delays processing and payments while you track back through an expatriate’s medical history.”
“Underwriting up front might take a little longer but the benefits are in the claims process,” Mr. Carpenter concluded.
Insurance Companies Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Morgan Price
Morgan Price is a UK-based specialist international and expatriate health insurance provider for clients around the world with special focus on the Middle East. The company was founded in 1999 as a managing general agent who acts on behalf of international insurers in product design, administration, premium collection and claims handling.
May
5
Aviva Improves International Medical Insurance Policies
Filed Under Aviva, International Healthcare | 2 Comments
On May 4th 2011, Aviva PLC, the world’s sixth largest insurance group, announced an array of benefit enhancements to further improve upon their award-winning international private medical insurance services.
To better meet the needs of their expanding base of international clients, Aviva has been upgrading its international private medical insurance products. Aviva’s ‘International Solutions’ modular private health insurance products have been specifically designed to cover globally-mobile people who are living and working outside their country of nationality, such as expatriates. The policies offer flexible coverage options to handle the large discrepancies in cost and quality of healthcare available when living overseas. A recent study conducted by Aviva concluded that medical coverage issues have remained a key concern in customers’ travel planning.
Under the company’s new updates, International Solutions will raise the overall core benefit limit from £1.5 to £5 million (US$2.4 to US$8.2 million) and the previous newborn lifetime cover of £20,000 (US$33,000) for 112 days will improve fivefold to £100,000 (US$165,000) for 112 days. Routine chronic cover annual benefit has been further doubled from £7,500 (US$12,400) to £15,000 (US$25,000), while the medical practitioner annual benefit limit has been increased from £1,500 (US$2,480) to £2,500 (US$4,130).
In addition to raising the limits of their international offerings, Aviva has transferred a number of benefits from its supplementary cover options into the core cover for International Solutions products. This includes coverage for vaccinations, which had previously only been available to customers purchasing the Wellness Option module. There is also now an option to remove compulsory per claim excess on individual insurance policies.
Several of Aviva’s optional benefit packages have also been updated. The maternity option benefit cap has been lifted from £7,500 (US$12,400) to £10,000 (US$16,500) and there is now an increased annual compensation limit for consultations with a specialist, diagnostic tests and specialist-referred surgical procedures and physiotherapy, rising from £1,000 (US$1,650) to £2,500 (US$4,130). Improvements have also been made to dental and optical services, as well as increased out-patient service options for both individual and corporate International Solutions insurance policies.
To complement International Solutions’ coverage enhancements, Aviva has added a StandbyMD medical consultation service. This exclusive arrangement grants Aviva customers 24 hour access to a physician offering medical support and advice. The healthcare concierge service is available through 4,000 cities, across 86 different countries worldwide. StandbyMD provides international health insurance customers with prompt telephone access to a qualified physician. Policyholders can also elect to arrange face-to-face consultations or home visits.
Additionally, a new repatriation benefit rider has been developed for expatriate customers with the compassionate travel option, which will enable policyholders to return to their home country (or country of nominated residence) if certain medical treatment is not available locally. If a policyholder possessing the benefit is evacuated, Aviva will now provide compensation for someone to accompany them on their journey, even if the individual in question does not possess an Aviva international health insurance policy.
For expatriate clients, Aviva has introduced a new electronic service which will enable customers to keep important health records and allow prompt access to said vital information while abroad. The Aviva ‘My Health Passport’ is available through two different formats: a small software version used to store practical information such as personal details and GP and insurance contact information, and a printed booklet which covers more comprehensive health information.
Aviva has set up a new provider network in the United States through a partnership with Miami-based Olympus Managed Healthcare. This arrangement incorporates an additional 6,000 hospitals, over half a million doctors and 57,000 pharmacies into Aviva’s health provider network across the US. Aviva policyholders will be able to locate a qualified American doctor or hospital through the comprehensive online network. If customers choose to go within the health provider network they will have their bills settled directly by Aviva, removing the need for individuals to handle costly medical bills themselves.
Olympus Managed Healthcare are market leaders in claims management, handling over 125,000 claims a year on average. Aviva believes that this joint venture will provide customers with additional security, dedicated support and improved access to healthcare in the United States.
Teresa Rogers, international business lead of Aviva UK Health, commented on the inception of International Solutions policy updates: “By listening to our intermediaries and customers, we’ve been able to focus on improving the right things. We’ve enhanced the benefits and support that our customers tell us are most important to them. This not only includes increasing monetary limits, but also adding expert support services such StandByMD to further improve the peace of mind our customers receive from their policy.”
All new benefits will become available from July 2011 for both new customers and existing policyholders looking to renew their International Solutions service.
Aviva has been very proactive in expanding and upgrading its operations to attract more potential clients worldwide. Aviva has established a presence in many of the increasingly lucrative Asian insurance markets through joint ventures with locally based insurance companies in order to capitalize on the rising demand for insurance products and services in the region. The company has been able to maintain growth across key markets and will look to further improve upon its level of service to sustain strong performance through 2011.
Insurance Company Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Olympus Managed Healthcare
Olympus Managed Healthcare offers medical claims administration and cost containment services in the international marketplace. The company also provides third party administrator, call center, and consultations services, as well as other specialty programs. Olympus Managed Healthcare operates through a network of doctors and hospitals around the world. The company was founded in 1994 and is based in Miami, Florida.
Standby MD
StandbyMD is a healthcare concierge service that provides insured persons with personalized physician oriented access to healthcare services 24 hours a day, seven days a week and includes an assortment of both hands-on and referral based medical solutions.
Apr
27
Aviva: Half of UK Staff Want to Emigrate, Quarter Fear Worse Benefits When They Do
Filed Under Aviva, United Kingdom | 2 Comments
A new study conducted by Great Britain’s second largest insurer, Aviva PLC, reveals interesting developments on the changing attitudes of British workers when considering possible emigration from the UK.
The study, facilitated by market researchers OnePoll, surveyed 1,000 British employees nationwide aged 18 to 45 from 31 March to 5 April 2011, and found that over half (54%) of respondents would now contemplate leaving the United Kingdom and moving abroad.
While short respites outside of the UK have become more common, Aviva was surprised by the number of people contemplating better long-term prospects outside the country. Almost half (46%) of the respondents would consider a permanent move abroad compared to only 39 percent of those surveyed last year. One in five polled (21%) indicated however, that they would remain more cautious and only be prepared to move overseas for between one to three years.
The unconvincing forecast for the British economy has been the primary factor in the growth of these figures. Aviva’s survey discovered that 89 percent of respondents believed that the UK job market has been in perpetual decline for the last 3 years. More than half (54%) further admitted that government cuts have had a negative impact on their standard of living. Many of those surveyed claimed that the current culture of austerity and cost-cutting initiatives in Britain were now playing a key role in driving them to consider a move abroad.
More traditional reasons for emigration from Britain were also represented in the report. Almost half (45%) of respondents indicated that they were motivated to move abroad in pursuit of a better year-round climate. A further third of those polled (31%) believed that a move overseas could offer a healthier, less demanding and more varied lifestyle, with a better balance of work and family time available.
Aviva’s research showed that the same five countries first identified in the company’s 2010 study remained the principal re-location destinations of choice: Australia, Canada, Spain, New Zealand and the US. Other countries mentioned as popular destinations included: France, Germany, Italy, Switzerland and the UAE.
Addressing the UK study, Teresa Rogers, business lead for international private medical insurance at Aviva, said: “When times are tough, it might seem natural to set one’s sights on moving abroad. But our survey shows that there are certainly pros and cons to moving and people need to plan carefully if they are considering making their dream a reality.”
Indeed, the research highlighted that a quarter (25%) of British respondents worried that they might have worse benefits if they moved out of the country. More than a third (37%) acknowledged that they may have fewer state-funded privileges in their new foreign location.
Mrs. Rogers further highlighted that uncertainty regarding quality of medical service in a new country remained a chief going concern for expatriates. “Health is clearly a primary concern for people and whether you’re thinking of moving abroad for a short time or on a more permanent basis you need to take care to ensure you and your family are always properly protected,” she added.
Healthcare has been an increasing concern for Britons when considering a move abroad. Almost half (46%) of those polled believe the UK has superior health benefits to other countries worldwide. Over a third of respondents claimed the National Health Service (NHS) would be one of the British institutions they would miss the most if they left. This is an increase on last year’s results which indicated only a quarter (25%) felt the same way about the NHS.
Speaking for Aviva, Mrs. Rogers understood British concerns with regard to foreign healthcare services: “Healthcare provision varies greatly around the world and even routine medical care can prove costly in countries that don’t offer a similar service to the NHS.”
Anxiety about medical services overseas, prompted six in ten (59%) responders to declare that they would factor heath insurance into their travel planning. In contrast, 38 percent of those polled, claimed they would not arrange any sort of health insurance prior to moving.
Mrs. Rogers summarized Aviva’s assessment of these figures: “Although it’s very encouraging that over half of the people we spoke to would consider taking out international health insurance, over a third (39%) would sort their health insurance out only once they’ve arrived,” she said, adding, “this could leave them in a difficult position should the worst happen.”
To better meet the needs of their expanding base of globally mobile clients, Aviva has been upgrading its international private medical insurance products. These upgrades range from structural adjustments in the application and claims handling processes to minor changes in global group coverage policies.
Aviva has also been very proactive in expanding its operations to attract more potential clients worldwide. The company has established a presence in many of the increasingly lucrative Asian insurance markets through joint ventures with locally based insurance companies in order to capitalize on the rising demand for insurance products and services in the region.
In Asia, Aviva currently operates out of China, India, Malaysia, Sri Lanka, Singapore and Hong Kong, and recently agreed to acquire a 60 percentage stake in Asuransi Winterthur Life of Indonesia. Although Aviva has announced its intentions to pull out of its joint venture with First Financial in Taiwan, pending regulatory approval, the company remains otherwise committed to concentrating on both the Indian and Chinese key markets in the Asia-Pacific region and it’s well established client base in Western Europe and North America.
Insurance Company Mentioned
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Mar
4
Aviva Produces Sound Results In 2010
Filed Under Aviva, Insurance Company, Life Insurance, United Kingdom | 6 Comments
Britain’s second largest insurer Aviva has reported sound results for 2010, with a 33 percent jump in net profit to reach £1.46 billion (US$2.33 billion). This compares with results in 2009 when a profit level of £1.1 billion (US$1.76 billion) was achieved. Aviva also highlights plans for an overhaul of global operations during 2011.
Aviva’s pre-tax profits came in at £2.44 billion (US$3.90 billion) for 2010 – a significant year-on-year improvement of 35 percent – when a corresponding pre-tax profit of £1.8 billion (US$2.88 billion) was reported. Operating profit strengthened in 2010 to £2.55 billion (US$4.08 billion) an uplift from £2.02 billion (US$3.23 billion) in 2009 reflecting a 26 percent rise.
New written business in the UK, Europe, North America and Asia contributed to the Aviva’s groups profits, with double-digit growth recorded across the network.
There were strong sales in Aviva’s life and pension sectors, along with growth in the general and health insurance businesses. Aviva’s life and pension sales increased by 4.2 percent to reach £33.36 billion (US$53.37 billion), while sales activity in the general insurance and healthcare business were up by 6 percent to total 9.7 billion (US$15.52 billion) in 2010.
Last year, Aviva announced that steps had been taken to save £400 million (US$640 million) in group costs in order to make the global insurer even more efficient to help long term growth.
Andrew Moss, Aviva’s Chief Executive said: “Over the last few years, we’ve grown the business, significantly reduced costs and strengthened the balance sheet. As a result, we’ve created a good platform for the next phase of growth.”
In reporting, Aviva highlighted future plans for growth which will see the insurer focusing on 12 core markets earmarked for investment in a bid to strengthen the group’s market position. Aviva said it will concentrate more closely on its most profitable markets while potentially departing from some non-essential market sectors which have been delivering lower levels of financial return.
The revamping of Aviva’s operations will take place over the next 12 months, but no specific details were given on the extent of the restructuring programme.
Part of Aviva’s future plan is to focus on the UK and European savings and pensions market, where the insurer expects significant growth in demand over the next few years. The UK and European savings market is one of the largest in the world with potential growth expected to generate a total market demand reaching £1.05 trillion (US$1.7 trillion) by 2014; this position has been established by research conducted by Aviva last year. Aviva’s study found that European citizens need to save an additional £2 trillion (US$3.3 trillion) annually to fully close the pension gap for people retiring between 2011 and 2051.
While some rival insurers have shied away from western European life and non-life insurance markets – preferring to concentrate on the higher growth markets in Asia and Latin America – Aviva sees great potential from the need to recover the shortfall in the savings and pension market in the European region. The pressure on corporate funding for pensions over a number of years, and the increasing awareness that private pensions will be required to supplement the value of state pensions, has created a huge pensions and savings gap creating a demand for long term investment and saving products.
Aviva has built a strong reputation in the insurance market within Europe and has significant brand awareness. Optimizing its position in the life and pension market in Europe is, therefore, key for the insurer to bolster future growth. Although the European region has seen a slow recovery from the global financial crisis which arose in 2007-2008, there is evidence that key industries have strengthened, with high demand for insurance products in emerging markets such as Turkey.
In the relatively static market prevailing in North America, Aviva was able to grow its business in 2010, with the operating profit totaling £376 million (US$601.6 million) reflecting a 77 percent increase year-on-year. The growth in Aviva’s North American operation was down to stronger pricing and underwriting management, within a slowly improving economic environment.
Meanwhile in the thriving Asia-Pacific region, Aviva is continuing with its strategic goal of increasing its presence and improving its market position. The British insurer is growing through organic processes and extending franchising, while investing in key sectors to capitalize on the rapidly expanding economies and demand for saving and protection products in the region.
In China and India, Aviva saw their market position strengthen, with the insurer experiencing a significant increase in new business. Meanwhile, in the mature Asian market of Singapore, Aviva’s local operation on the island also demonstrated growth in business during 2010.
Aviva intensified operations in China and India during 2010 and has made the two economic powerhouse countries priority targets for market growth due to the rapidly expanding number of people in the middle class sector, with increasing wealth driving demand for insurance products. Overall Aviva’s sales in China increased by 28 percent and in India sales jumped by 22 percent.
Aviva has been able to deliver improved profit figures for 2010 due to the implementation of cost management actions, coupled with positive sales growth across key markets in the UK, Europe, North America and Asia. The overall profit increase was generated in a tough market climate, but Aviva intends to focus on core markets in 2011 with plans to inject capital in order to enable the company to augment its already strong market position.
Insurance Company Mentioned:
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Jan
6
Japan Post Insurance and Axa SA Top A M Best Lists of Major Insurance Companies
Filed Under AIG, Allianz, Aviva, Insurance Company, Life Insurance | 75 Comments
The Japan Post Insurance Company and AXA SA are identified as the world’s leading insurers in the latest report issued by renowned credit rating agency A.M. Best. The Japanese and French insurers emerged as the biggest insurance companies in a list registering the top 25 worldwide insurers measured by asset values and net premiums written.
The Tokyo-based Japan Post Insurance Company was reported holding assets totaling US$1.1 trillion in 2009, making it the largest insurer by asset value, although it was only ranked fourth in terms of net premiums written at US$81 billion. The French insurer AXA SA took top spot for net premiums written.
The ranking by assets was dominated by life insurance companies, with non-life insurers dominating the net premium written table. The latest A.M. Best report is based on insurers’ financial results for the year ending 2009, reflecting differences in each country’s regulatory and reporting requirements. The rankings take into account currency values for consistency purposes.
The total value of the 25 insurers ranked by assets amounted to US$25 trillion, while the value of the 25 insurers ranked by net premiums written totaled US$1.3 trillion at the end of 2009.
The Japan Post Insurance Company is government-owned although its parent company – the Japan Post Holdings Company – was slated to be privatized, but proposals were subsequently scrapped when a new Japanese government – The Democratic Party of Japan (DPJ) – took office in August 2010. The company specializes in the provision of life insurance products and services sold through post offices and directory managed stores.
Within the list of the 25 largest insurance companies there were 13 European-based insurers ranked by asset values, while North America and Asia were each represented by 6 insurers in this category. In terms of the specific countries in which these companies were based; Japan had 6, the United States 5, the UK 4 and France 3, with the residual 7 companies based in the Netherlands, Germany, Italy, Switzerland and Canada.
In the ranking of companies by net premiums written there were 9 European and 9 North American based insurers, with 7 Asian based insurers – including 5 in Japan – making up the 25 largest insurance companies globally.
A.M Best recognized that rankings could have changed since 2009, with the subsequent completion of mergers and acquisitions between insurers and some restructuring of operations. Most notably, the positioning of AIG – ranked third by asset value with US$847.6 billion and sixth by written premiums totaling US$62.2 billion in 2009 – will change as it seeks to sell-off companies such as AIG Edision Life Insurance and AIG Star Life Insurance in Japan as well as Nan Shan in Taiwan as part of its divestment strategy – having already sold Alico to American insurance rival Metlife. While AXA is set to expand its global reach after bidding for AXA Asia Pacific Holdings Ltd in late 2010 to increase the French insurer’s exposure in the region.
The net premium written rankings includes China Life and the Life Insurance Corporation of China and India in the list representing two of the largest insurers from the two most populated countries in the world; both countries having fast growing economies. Asia, especially China and India, have emerged in recent years as significant growth markets for global insurers with home domiciles in Europe and North America. Insurers such as AXA, Aviva, Prudential, Aegon, Zurich, Allianz and Generali have all highlighted the Asian region for expansion of operations, particularly for life and health insurance products, often forming joint ventures with locally based insurers.
In traditional, more established markets, insurers will be seeking to optimize opportunities for changes in the provision of healthcare services, particularly in the United Kingdom and the USA, and to redress shortfalls which have occurred in the pension industry.
A.M Best: World’s Largest Insurers
Largest Insurers Ranked by Assets (2009)
1. Japan Post Insurance Co. Ltd. (Japan)
2. Axa S.A. (France)
3. American International Group Inc. (United States)
4. Allianz SE (Germany)
5. Assicurazioni Generali SpA (Italy)
6. Aviva plc (United Kingdom)
7. MetLife Inc. (United States)
8. Prudential Financial Inc. (United States)
9. Legal & General Group plc (United Kingdom)
10. Nippon Life Insurance Co. (Japan)
11. National Mut Ins Fed Agricultural Coop (Japan)
12. CNP Assurances (France)
13. Aegon NV (Netherlands)
14. Manulife Financial Corp. (Canada)
15. ING Groep NV (Netherlands)
16. Zurich Financial Services Ltd. (Switzerland)
17. Prudential plc (United Kingdom)
18. Munich Reinsurance Co. (Germany)
19. Dai-ichi Life Insurance Co. (Japan)
20. Hartford Financial Services Group Inc. (United States)
21. Predica-Prevoyance Dialogue du Credit (France)
22. Berkshire Hathaway Inc. (United States)
23. Meiji Yasuda Life Insurance Co. (Japan)
24. Standard Life Plc (United Kingdom)
25. Sumitomo Life Insurance Co. (Japan)
Largest Insurers Ranked by Net Written Premiums (2009)
1. Axa S.A. (France)
2. Assicurazioni Generali SpA (Italy)
3. Allianz SE (Germany)
4. Japan Post Insurance Co. Ltd. (Japan)
5. UnitedHealth Group (United States)
6. American International Group Inc. (United States)
7. National Mutual Insurance Federation of Agricultural Cooperatives (Japan)
8. Munich Reinsurance Co. (Germany)
9. WellPoint Inc. (United States)
10. State Farm Group (United States)
11. Nippon Life Insurance Co. (Japan)
12. Aviva plc (United Kingdom)
13. Zurich Financial Services Ltd. (Switzerland)
14. Kaiser Foundation Group of Health Plans (United States)
15. CNP Assurances (France)
16. China Life Insurance (Group) Co. (China)
17. ING Groep NV (Netherlands)
18. Dai-ichi Life Insurance Co. (Japan)
19. Prudential plc (United Kingdom)
20. Life Insurance Corporation of India (India)
21. Aetna Inc. (United States)
22. Humana Inc. (United States)
23. Tokio Marine Holdings Inc. (Japan)
24. Allstate Corp. (United States)
25. Berkshire Hathaway Inc. (United States)
Insurance Companies Mentioned
Japan Post Insurance
Japan Post Insurance Co., Ltd was founded in 2006 and is based in Tokyo. Japan Post Insurance is a subsidiary of Japan Post Holdings Co., Ltd and provides life insurance product and services.
AXA
AXA Group is a worldwide leader in Financial Services. Headquartered in Paris, the AXA Group companies are engaged in life insurance, health insurance and asset management services among others. AXA’s operations are diverse geographically, with major operations in Europe, North America and the Asia/Pacific area.
AIG
The American International Group is a leading international insurance organization with operations in more than 130 countries and jurisdictions globally.
Prudential
Prudential has been in the insurance and financial services business since 1848. Today they operate throughout the UK, US and Asia offering international health insurance and retirement planning services, supported by 27,000 employees worldwide.
Zurich
Headquartered in Zurich, Switzerland, Zurich Financial Services Group is an insurance-based financial services provider with a network of subsidiaries andoffices in North America and Europe and also in Asia-Pacific, Latin America and other markets. Zurich is one of the world’s largest insurance groups, and one of the few to operate on a truly global basis. With 60,000 employees serving customers in more than 170 countries, our business is concentrated in three business segments: General Insurance, Global Life, and Farmers.
Aviva
Europe’s fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of its customers. They sell a broad range of insurance products including motor and property insurance, protection and health insurance, business insurance, life insurance and pensions.
Assicurazioni Generali SpA
The Generali Group is one of the most significant participants in the global insurance and financial products market. The Group is a leader in Italy and Assicurazioni Generali, founded in 1831 in Trieste, is the Group’s Parent and principal operating Company. Generali is one of the leading global players in the assistance sector thanks to the Europ Assistance Group, active in more than 200 countries with services in the motor, travel, healthcare, home and family sectors. In recent years, the Group has made a significant return to 14 central-eastern European markets and has set up offices in the principal markets of the Far East, including China and India.
AEGON
AEGON is present in more than 20 countries in the Americas, Europe and Asia, employing 28,000 people and serving more than 40 million customers. AEGON’s ambition is to be a global leader in helping its customers secure their financial futures and, in doing so, to grow its businesses profitably and sustainably. AEGON products include life, pensions, life reinsurance, individual savings & retirement products
MetLife
Possessing over 140 years of insurance expertise, MetLife aims to be an innovator in the field of international Life insurance. Globally, MetLife is able to offer its clients accident and health insurance, life insurance, disability income protection, and retirement and savings products.
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