David Healy outlines how insurers can help small- and medium-sized brokers expand into the international PMI market.
The global international private medical insurance (IPMI) market is expanding rapidly. Some industry watchers suggest growth in double-digits over the next year.
By contrast, the domestic private medical insurance market in the UK has been heading in the opposite direction. In 2011 total corporate subscribers fell by 3.1% from the previous year and personal subscribers by 8.8%, according to market analyst Datamonitor.
For health insurance brokers, there are significant opportunities in IPMI. Many brokers are considering entering the market for the first time and others want to expand their existing book of IPMI business. Many have misgivings about their ability to be successful in a complex market. Their typical concerns are outlined below.
Expert knowledge How to advise clients about their IPMI needs with limited specialist knowledge within the brokerage.
Compliance How to ensure that advice is compliant for each country and meets local regulations.
Global servicing How to provide an efficient, personal, service to clients who may be thousands of miles away.
Medical advice and support How to provide the medical advice and support clients' needs with no in-house medical expertise.
Technology How to use technology to help clients with limited technical resource.
The response to these issues is always the same: the right insurance partner can help you resolve them, allowing you to offer a comprehensive service to your clients and take advantage of this growing marketplace.
Now to tackle these concerns one by one.
Expert knowledge
You can provide expert advice to your clients by plugging in to the wealth of knowledge and experience insurers can offer you. This overcomes the cost and impracticality of employing an in-house IPMI expert or buying external resources.
The international private medical insurance market can be a very different environment, especially if you are accustomed to working only with UK PMI clients.
Your customers will be individuals and families living in far-away locations needing health insurance cover appropriate to their circumstances. Fortunately, there is plenty of support available to help you give the right advice.
By working with your insurance partners you will have access to the in-depth expertise you need. Some insurers will offer to train you and your staff - perhaps through in-house sessions. Access to instant support is also important.
One-to-one phone conversations with the insurer can make a real difference when there is a need to address a specific client requirement or resolve a technical issue. Most insurers will deal with these matters as a priority. More generally, insurers will have a range of hard copy and online material that can help your team to develop its IPMI knowledge base.
Compliance
The leading insurers have the expertise to ensure that client business is placed in full compliance with local legislation and help you resolve any other legal concerns you may have.
