Health Insurance Options for Pre-Existing Conditions
Securing a comprehensive health insurance policy in Southeast Asia is relatively straightforward. However, obtaining coverage for pre-existing medical conditions can be a challenge. Private insurance companies, driven by profitability, typically exclude pre-existing conditions from new policies to avoid potential additional medical costs.
Understanding Underwriting
When applying for private insurance, it is common to disclose your medical history. Insurers utilize this information, along with factors like age, to assess the level of risk you pose—a process known as underwriting. Based on underwriting, each reported medical condition can result in different outcomes:
- Accepted without additional cost: Certain conditions, such as broken bones or chickenpox, may be accepted without incurring additional premiums or exclusions.
- Accepted with additional premiums (loading): Conditions like obesity or cysts may be accepted, but the insurer may require higher premiums to account for the increased risk.
- Excluded from coverage Chronic conditions like diabetes or hypertension are often excluded from coverage altogether due to their long-term nature.
- No offer of coverage: In cases where there are multiple serious or chronic pre-existing conditions, insurers may choose not to offer any coverage (e.g., hypertension with diabetes or cancer).
Potential Solutions
Fortunately, there are two potential solutions that can address the challenge of obtaining health insurance coverage for pre-existing conditions:
Medical History Disregarded (MHD)
Certain employer group policies adopt a “medical history disregarded” approach. In such cases, pre-existing conditions are ignored, allowing employees to receive coverage regardless of their medical history. This option is limited to company policies, and the minimum number of employees required may surprise you—sometimes as few as five.
Moratorium Policy (MORI)
A moratorium policy can provide coverage for current or recent acute or temporary conditions. If you do not exhibit symptoms or require treatment, this policy will begin covering existing conditions after a waiting period of two years. Chronic conditions such as heart disease, cancer, stroke, or arthritis are generally not covered under this type of policy.
Working with an Insurance Agent
Insurance companies vary in their approach to pre-existing conditions. Some exhibit nuance and consult experienced medical staff, while others have rigid policies with little flexibility. If you have one or more pre-existing conditions, it is advisable to work with an insurance agent who can guide you toward insurers most likely to offer suitable policies. At Winson Health, we partner with over 30 insurance companies, providing us with deep expertise in navigating this area.
While obtaining health insurance coverage for pre-existing conditions can be challenging, viable options exist. Understanding the underwriting process and exploring solutions like MHD or MORI policies can help individuals with pre-existing conditions secure the coverage they need. Consulting with experienced insurance agents familiar with insurers’ policies and practices can significantly increase the likelihood of finding a suitable health insurance policy.
