Deductibles are the portion of medical that the insured has to pay out of their own pocket on top of the amount reimbursed by the insurer. For a global medical insurance policy, deductibles can be tacked on to cover a specific risk or chosen by the policyholder to minimize the premium cost. Several different types of deductibles can be placed on your global health insurance policy, depending upon which plan you selected. The larger the deductible, the lower the premium. As you would guess, the smaller the deductible the higher the premium that will be charged by the insurance provider. Most deductibles are per person per policy or calendar year. Some expat health clients like to have a large deductible so as to keep the premiums at a low level.
Co-insurance is a common form of deductible that forms a part of many health insurance plans. Some plans will have the insured member responsible for a percentage of claims incurred up to a maximum out of pocket amount. For example, you might be covered for 80% of maternity expenses. So if you have a maternity claim for $10,000.00, you will be responsible for 20% of the claim or $2000 out of pocket. Coinsurance is quite common in expat health plans and will help keep the premiums at a reasonable level, but will mean higher out of pocket expenses if you have a claim. Some plans will have coinsurance for claims incurred in the USA, especially if the claim is at a facility outside the insurer’s PPO network.