MANILA, PHILIPPINES – 2018 data from the Philippine Statistics Authority show that half of the health expenses are shouldered by the out of the pocket budget of the household, with only 34% covered by the government (like Philhealth) and the remaining 12% covered by other means, predominantly private health insurance.
The Mercer Marsch Benefits 2019 Medical Trends Around the World stipulates that the Philippines is the second most expensive country in Southeast Asia in terms of medical expenses. With the 9.8% yearly growth rate in health expenditures, it doesn’t come as a surprise that families find themselves financially burdened when health problems strike.
The medical costs in the country is bound to increase in the years to come. And the sad reality is, only one in 25 Filipinos have some form of private health coverage but has a very limited amount, with an average cover of P150,000 a year.
Taking inspiration from these information, AIA Philam Life, the country’s premier life insurance company, developed AIA Med-Assist, a life insurance product that will help alleviate the financial burden of these unforeseen medical expenses. This innovative life insurance product seeks to bridge the gap between the HMO and critical illness coverage to ensure that savings remain untouched despite hospital confinement for more than 12 hours.
AIA Med-Assist provides an annual medical benefit from PHP500,000 up to PHP4 million per year (depending on type of package) to shoulder 90% of total expenses incurred during hospitalization such as basic hospital fees, room and board, doctors’ fees, and medicine. And more than the medical benefits, customers will have peace of mind knowing that there will be minimal loss in their income while they are hospitalized through the daily hospitalization income from their policy for each day they are confined due to a covered illness or injury.
“We at AIA Philam Life continue to innovate our product offerings to become accessible to the hard-working Filipinos who strive to provide a comfortable life for their family,” shared Kelvin Ang, AIA Philam Life Chief Executive Officer. “Our customers’ stories of struggle and success inspire us to develop products that will protect them from life’s many uncertainties so they can enjoy Healthier, Longer and Better Lives. With AIA Med-Assist, they can continue to live life without worries, despite medical emergencies,” he added.
On top of the medical-related benefits are the life insurance coverage and waiver of premium in case of total and permanent disability. It is also powered by Philam Vitality, AIA Philam Life’s science-backed wellness program that incentivizes members with rewards for knowing and improving their health.
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