Feb
26
Max Bupa gets Certificate of Registration from IRDA
Filed Under BUPA, Health Insurance, Medical Insurance | 2 Comments
Max Bupa Health Insurance, the general insurance joint venture between Max India and Bupa has been given its Certificate of Registration or R3 form, by India’s Insurance Regulatory and Development Authority (IRDA). This brings the total number of general insurers registered in India to 23.
The company plans to open in six main cities in India, namely Delhi, Mumbai, Hyderabad, Chennai, Pune and Bangalore in 2010, with further plans to be operating in 20 cities within three years time. While Max Bupa does not currently have precise targets regarding market share, number of new policies or gross written premiums, they plan to use market feedback and in depth research to help them expand to meet their geographical goals.
Damien Marmion, the chief executive of Max Bupa Health Insurance, said that since it is fairly easy for competitors to offer health insurance products with similar features, the company plans on individuate itself through its customer service. Max Bupa intends to forgo using third party administers in order to keep direct control of the customer experience and ensure the best possible service.
There is still some uncertainty as to what exactly Max Bupa’s health insurance products will initially look like. Chief executive Marmion said in one interview on the 11th of February, 2010 that “Our products will be all across the spectrum, with premiums ranging from Rs 3,000 to more than Rs 50,000. We also have some rural insurance obligations[,]” while in a later interview on the 18th of February he said that “We will initially offer one product with a number of variants”. Although Mr. Marmion said that their research has shown the cost of hospitalization to be one of the top concerns among consumers, so their early focus would be on providing hospitalization plans.
Companies Mentioned:
Max India:
Incorporated in 1988, Max India Limited is a holding company with business interests working in the healthcare and services industries. Their wide range of health related interests include a joint venture life insurance company, Max New York Life, a healthcare services company, Max Healthcare, and a clinical services company, Max Neeman Medical International. The Max India Group reported US$ 860 million in revenues for 2007-2008 and will soon add Max Bupa to their list of businesses.
Bupa:
BUPA is an international health insurance company that provides health insurance for individuals and companies all over the world. This company has offices on three continents and over 7 million customers’ world wide. As a provident association BUPA has no shareholders, because of this it uses its profits to invest in healthcare and medical facilities around the world.
Feb
26
Agreement reached between Implantable Provider Group and Blue Cross and Blue Shield of Florida
Filed Under Healthcare, Insurance Company, USA Health Insurance | 2 Comments
An agreement between Implantable Provider Group (IPG) and Blue Cross and Blue Shield of Florida, Inc. (BCBSF) has been reached allowing IPG to serve as the designated implantable device management vendor for the extensive provider network of BCBSF. IPG is one of the world’s leading providers of implanted surgical devices (such as pacemakers).
IPG streamlines the management and delivery of implantable medical devices by working directly with commercial insurance payers, clinical providers and facilities, and medical device manufacturers through its Implantable Device Management (IDM) solution. The IDM solution eliminates the complexity and the financial risks associated with the billing and reimbursement processes for providers, while maintaining patient access to innovative medical therapies that use life-saving and life-enhancing medical devices.
From now on, services such as device coordination, billing, replacement, tracking and other will be handled by IPG to the state-wide ambulatory surgery centre network of Blue Cross Blue Shield of Florida, which has over 4 million health insurance policyholders.
Companies Mentioned
Implantable Provider Group (IPG) works with commercial payors to manage all aspects of high-cost implantable medical devices. Founded in 2004, IPG primarily focuses on large, fast-growth device intensive markets, such as cardiology, neurology, orthopaedic and spine implants. The company’s Implantable Device Management SM solution simplifies the complex procurement, contracting and billing associated with these devices, thereby streamlining the process and normalizing costs for all parties, while also delivering many valuable ancillary capabilities. Implantable Device Management also offers benefits for health care providers and manufacturers.
Blue Cross and Blue Shield of Florida is the oldest and largest health plan provider in the state of Florida. The Blue Cross and Blue Shield system of plans consists of 39 independent and locally operated Blue plans with a total national enrolment of more than 100 million at year-end 2008, which equals one in three Americans. Blue Plans have experienced 14 consecutive years of positive enrolment.
Feb
25
4th Quarter Results show Allianz profits up as Aetna’s slide
Filed Under Aetna, Allianz | Leave a Comment
Results are out for the financial period ending December 31 2009, and insurers Allianz and Aetna have had different fortunes.
After reporting their results for 2009 Allianz, based in Munich, Germany, posted a 4th Quarter net income of 1.09 billion euros (US$1.47 billion), a well received change over the 145 million euro loss during the same period in 2008. This was helped greatly by Allianz’s Life and Health insurance unit posting a net income of 432 million euros in Q4 2009 after losing 505 million euros in Q4 2008.
Allianz’s net income for the 2009 fiscal year was 4.74 billion euros, up 13.2% over 2008, prompting Allianz to raise their dividend from 3.50 to 4.10 euros per share as they seek to attract new investors.
Hartford, Connecticut-based Aetna on the other hand reported a Q4 2009 net income of US$165.9 million, down about 14.8% from US$194.7 million during the same quarter in 2008. Despite an increase in yearly revenue from US$30.95 billion in 2008 to US$34.76 billion in 2009, Aetna’s year long earnings are down with net income for 2009 at US$1.276 billion, approximately a 7.8% drop from 2008’s US$1.384 billion.
Aetna’s operating earnings per share fell from US$0.96 in 2008 to US$0.40, which the group said was due to lower operating earnings in the Group insurance business, a lower Commercial underwriting margin due to increase costs, and an increase in pension expenses as well.
Companies Mentioned:
Founded in 1853, Aetna is one of the leading health insurance companies in the USA. Continually working on innovating and improving healthcare and services for their policyholders, Aetna is committed to providing comprehensive insurance coverage for American citizens.
Founded in 1890 as an accident and transport insurer, Allianz has grown into an international group doing business in asset management, banking and insurance, including their international health insurance brand, Allianz Worlwide Care. Allianz Group has over 75 million customers in approximately 70 countries around the world.
Feb
24
American International Group May be on the Road to Recovery
Filed Under AIG, Income Protection, Insurance Company, Life Insurance | 3 Comments
American International Group may be on the road to recovery 17 months after the company received a US$ 182.3 Billion bailout from the American government at the peak of the global financial crisis of 2008/2009.
AIG, whose failure threatened to collapse the USA’s economy, has improved its means to repay the bailout which it received through increased sales in the company’s property-casualty business. Property-Casualty contributed to a third of AIG’s revenue in the three quarters following the opening shots of the great recession. In conjunction with rising Life and Retirement product sales, the mainstay of AIG’s offerings, in the third quarter of 2009 the company looks well placed to pull out of what many industry analysts are referring to as a “death spiral”.
Managing Director of Nomura Securities International, David Havens, said “There are clear signs that AIG has pulled out of what could have been a death spiral.” Nomura Securities was a key player during the Global Financial Crisis, taking over the European and Asian business of defunct banking giant Lehman Brothers.
Industry observers are forecasting a positive outlook for AIG, and point to recently released third quarter results that see the company moving more in line with industry averages, rather than continuing poor performance. During the fourth quarter of 2008, the first full reporting period after they received their bailout, AIG posted Property-Casualty premiums sales of US$ 7.1 billion. This figure has risen during 2009 with the property-casualty arm posting sales of US$ 7.7 billion in the first quarter, US$ 7.9 billion in the second quarter, and US$ 8.1 billion in the third.
Life insurance however, may be slower to recover. During the fourth quarter of 2008, AIG posted Life insurance revenues of US$ 15.2 billion. The first quarter of 2009 saw British clients abandon the firm due to a perceived lack of confidence, and consequently saw Life insurance sales drop to US$ 14.5 billion. The life insurance arm of AIG continued to struggle in the second quarter of 2009 with sales down to US$ 13 billion, but a recent reversal of the downward trend, and an increase in Life insurance sales, up to US$13.7 billion in the third quarter, means that stability may be returning to this beleaguered company.
In other AIG news, AIG Star Life Insurance Co. Ltd, a life insurance subsidiary located in Japan, has formed a partnership with Orix Corp. to sell annuity products. Aiming to enhance AIG Star’s customer base, the two companies will pursue a venture which will see them jointly marketing annuity products to Orix Corp’s existing clients.
Companies Mentioned
The American International Group is a leading international insurance organization with operations in more than 130 countries and jurisdictions globally
A wholly owned subsidiary of Nomura Holdings, Nomura Securities is a finanical services company in addition to being a global investment bank. Based in Tokyo, Nomura Securities has approximately 26,000 staff worldwide.
Feb
23
BUPA Updates Online Intermediary System
Filed Under BUPA, Health Insurance, Insurance Company, Medical Insurance | 2 Comments
In an effort to make things easier for intermediaries selling and Bupa’s individual protection products, Bupa has updated their online trading system.The enhanced system allows intermediaries interact with Bupa’s products within the Bupa Extranet system in more a more in-depth manner, streamlining online administration of policies.
The increased functionality permits intermediaries to customize the product options to better suit their customers. Intermediaries may now also upload multiple product applications at once, make modifications on the policy all the way up until the policy is placed on risk, and set up single or multiple start dates and direct debits for clients.
The director of Bupa Health Assurance, Steve Payne, said that “Intermediary feedback has helped us to design a system which enables them to access our products in a menu-style format making administration simpler, quicker, flexible and more convenient.”
Companies Mentioned:
BUPA is an international health insurance company that provides health insurance for individuals and companies all over the world. This company has offices on three continents and over 7 million customers’ world wide. As a provident association BUPA has no shareholders, because of this it uses its profits to invest in healthcare and medical facilities around the world.
Feb
23
U.S Insurers can exploit global opportunities
Filed Under Allianz, BUPA, CIGNA, Insurance Company, USA Health Insurance | 4 Comments
Conning Research and Consulting, a division of Conning & Company, has released a study which finds that insurers operating in the USA’s domestic insurance market should focus their attention overseas if they are to see continuing high rates of growth and profitability.
Conning, a leading provider of insurance industry and asset management research and consulting services, released the study “Global Opportunities for U.S. Health Insurers” to help provide a solid framework for insurance providers to work within when expanding to international markets.
Sherry Manetta, an analyst with the company said, “U.S. health insurers have been successful focusing almost exclusively on the U.S. market up until now… However, the U.S. now accounts for 80 percent of the global health insurance market, while representing just 4.6 percent of the world’s population. Looking forward, both profit pressures at home and higher growth rates overseas will drive increased multinational expansion interest among U.S. health insurers.”
The study comes at a time when increased expansion is at the forefront of many international insurance provider agendas. With companies such as CIGNA, Allianz Worldwide Care, Aetna Global Benefits, and BUPA International all actively moving to consolidate their positions in the growing international marketplace, the study by Conning is a timely notification for many American insurance companies looking to revitalize their services.
Regarding the study, Stephen Christiansen said “In reviewing growth opportunities in health insurance beyond the U.S. market, Asia and Europe represent key near-term opportunities.” The Conning Director of Research went on to further elaborate saying that “U.S. insurers have built and are managing the world’s most complex managed health care system. With this infrastructure and expertise, U.S. insurers have the potential to emerge as front-runners of a vast global managed health care system should they decide to enter the competition already underway with Western European and Canadian multinational insurers.”
Companies Mentioned
Conning Research and Consulting
A provider of asset management research and consulting services to the insurance industry, Conning Research and Consulting has over 50 years experience in providing far reaching analysis to key industry decision makers.
BUPA is an international health insurance company that provides health insurance for individuals and companies all over the world. This company has offices on three continents and over 7 million customers’ world wide. As a provident association BUPA has no shareholders, because of this it uses its profits to invest in healthcare and medical facilities around the world.
For more than 125 years, CIGNA has been helping people lead healthier, more secure lives. The company provides health care and related benefits offered through the workplace. Key product lines include health care products and services (medical, pharmacy, behavioral health, clinical information management, dental and vision benefits, and case and disease management); and group disability, life and accident insurance. In addition, CIGNA also provides life, accident, health and expatriate employee benefits insurance coverage in selected international markets, primarily in Asia and Europe.
Allianz Worldwide Care was established in 2000 as the international medical insurance specialist of the Allianz Group. Allianz Worldwide Care is dedicated to providing superior health insurance policies to expatriates and their families all over the world. Headquartered in Ireland, this insurer has regional offices in Africa, the Middle East, Europe, and Asia, serving to provide their clients with the most comprehensive support network available.
Feb
23
British MP’s report says Homeopathy should not be funded by NHS
Filed Under AXA PPP, BUPA, Health Insurance, Medical Insurance, United Kingdom | Leave a Comment
British parliament’s science and technology committee, headed up by chairman Phil Willis, has finished a new report on National Health Service funding for homeopathic treatments and come to the conclusion that the funding should stop.
The committee of MPs said that since there is no evidence that homeopathic treatments work better than a placebo, the NHS should cease providing funds for homeopathic hospitals and that doctors in the NHS system should not refer patients to homeopaths.
The chairman of the committee held that prescribing placebos like homeopathy in the NHS is ethically dubious and may destabilize relationships between doctors and patients.
The committee also forwarded the idea that the Medicines and Healthcare products Regulatory Agency (MHRA) should bar homeopathic treatments from displaying medical claims on their labels. The report came out against further funding for homeopathic research as well.
On top of the NHS currently providing funds for homeopathic treatments, certain insurance plans from AXA PPP and Bupa as well as other private medical insurers and cash plan providers will cover homeopathy, although the extent of coverage may vary between insurance plans as well as on a case by case basis.
Companies Mentioned:
Originally PPP Insurance, it became part of the Global AXA Group in 1999 and changed its name to AXA PPP in 2002. AXA PPP is now an international health insurance company with over 2 million customers around the world.
BUPA is an international health insurance company that provides health insurance for individuals and companies all over the world. This company has offices on three continents and over 7 million customers’ world wide. As a provident association BUPA has no shareholders, because of this it uses its profits to invest in healthcare and medical facilities around the world.
Feb
22
Healthcare Finance Reform in Hong Kong
Filed Under China, Health Insurance, Healthcare, Hong Kong, Medical Insurance | 2 Comments
The much-anticipated public consultation on “Healthcare Finance Reform” to be launched on the second half of this year is starting to generate attention towards some of the main issues to be addressed, among which is the possibility of the Hong Kong Government implementing a company to provide medical insurance for cases where private insurers may not be able to provide a “reasonable cover” to policyholders.
Such a bold initiative is fueled by what the government perceives as the “low coverage” currently being provided by private insurance companies, which results in the insured person not being able to afford treatment in private hospitals. As a result of this, patients end up receiving the treatment they need in public sector hospitals.
Given that the products offered by some insurance companies exclude pre-existing and hereditary conditions, as well as mental and sexually transmitted diseases, an insured person in need of treatment has at the moment no other option but to seek treatment in public hospitals. This again, is perceived by the government as another way how the insurance companies are encouraging their policyholders to rely on the public healthcare sector.
The additional stress put on the public hospitals by patients already insured by private insurers is seen by the government as unfair. The insurance companies profit from the sale of insurance products that the policyholders cannot fully benefit from, ultimately transferring the cost to taxpayers.
One solution suggested by the government is that the insurance sector implements a compensation fund for the reimbursement of high-cost claims, to drive away potential liquidity problems from insurers.
Recently, the Hong Kong Federation of Insurers has agreed in principle to extend cover of pre-existing conditions and mental diseases. Further discussions with the government will be arranged to address the proposed standardisation of conditions and charges, counter-proposing also that the government subsidises directly these claims or sets a moratorium for claimants to receive full compensation after a pre-determined period.
Hong Kong residents in general will no doubt look forward to an improved healthcare system once the consensus on its reform is reached, and implementation of the changes needed are carried out by both government and insurance companies.
Additional Reference:
In order to put in perspective the above, you may refer to the articles: “Hong Kong Healthcare Reform; a worldwide issue” and “Hong Kong Healthcare Reform Stuck in Debate“.
Feb
22
Australian Govt. Debates Rebate for Private Health Insurance
Filed Under Health Insurance, Medical Insurance | 3 Comments
The federal government is trying to rally support behind a bill in the Australian Senate which would impact private medical insurance rebates for some Australians.
The proposal seeks to rule out a 30% rebate on private medical insurance policies for any individuals earning over AUD$75,000 and families earning over AUD$150,000 annually. The Treasurer for the Labor government is saying this measure could save AUD$2 billion (US$1.78 billion) in the next four years and AUD$9 billion (US$8.1 billion) in the next decade.
The opposition is, of course, opposed; fearing that any costs saved by adding a means test to the rebate would be passed onto consumers either through higher private insurance premiums or longer public hospital waiting lists if people drop their private health insurance cover.
The Treasurer has said that the Medicare Levy Surcharge will serve as an incentive for people with high incomes to not drop their private health insurance. The Medicare Levy Surcharge adds an additional tax of 1.0% of taxable income for individuals earning AUD$73,000 and families earning AUD$146,000 who do not have private health insurance coverage. This is on top of the Medicare Levy which is 1.5% of taxable income, payable by all resident taxpayers.
Feb
18
CIGNA Enlarges Providers Base in Russia
Filed Under CIGNA, Healthcare, International Healthcare | 3 Comments
As part of CIGNA International’s continued efforts to expand its international business base, it now possesses a network of 4,000 hospitals and clinics in Russia, as per announcement released early this week by the company’s marketing arm. Prior to this announcement, CIGNA Corp. counted with just 18 Russian healthcare providers.
This enlarged base of providers taps into a dense cluster of medical professionals residing in Moscow and St. Petersburg, where many expatriates work.
CIGNA International Expatriate Benefits is responsible for managing this network, which has a membership of about 300,000 expatriates, mostly non-Americans. In an effort to provide a wider range of services and quality healthcare to expats throughout Russia, CIGNA has taken steps to ensure that it is able to provide continuing high levels of service to its policyholders.
As part of its international push, CIGNA is expected to announce further expansions in the near future.
Insurance Company mentioned:
For more than 125 years, CIGNA has been helping people lead healthier, more secure lives. The company provides health care and related benefits offered through the workplace. Key product lines include health care products and services (medical, pharmacy, behavioural health, clinical information management, dental and vision benefits, and case and disease management); and group disability, life and accident insurance. In addition, CIGNA also provides life, accident, health and expatriate employee benefits insurance coverage in selected international markets, primarily in Asia and Europe.