Health Insurance

[jayboy]

A few months ago I had a message from my (very well known) UK based heath insurance provider noting that due to Thai regulatory requirements, they were not in future able to automatically send me renewal offers as has been the case in the past. I was able to clarify that if I sent a renewal request the cover would be extended subject to the usual premium increase.

 

I don't have an issue with this but am not clear about the chapter and verse of Thai regulatory requirements.Does anyone have background on this? Presumably it is something to do with protecting the local insurance industry.I also got the impression a number of countries take this position.

 

[Etaoin Shrdlu]

Your understanding is essentially correct. Most countries only allow insurers that are licensed by that country's regulator to sell insurance products to their public. Thailand is no exception. Your UK insurer is aware of this regulation and is therefore hesitant to offer renewal. I am not sure whether there is any real difference if they offer renewal or if you request it, as it is still a cross-border sale of an insurance product and therefore technically not allowed.

 

The Thai regulator, the Office of the Insurance Commissioner, is charged with promoting the Thai insurance industry. This is also interpreted as discouraging foreign insurers from offering products to the Thai public. The definition of "Thai public" for the purpose of this regulation is anyone physically in Thailand.

 

This regulation is primarily aimed at Thai insurance brokers and is intended to prevent them from offering insurance products from insurers not licensed by the OIC. The OIC could revoke the license of an insurance broker selling offshore insurance in Thailand. But the OIC has little enforcement ability when it comes to offshore insurers, so some will offer insurance products to the Thai public. I think some Thai insurance brokers may employ work-arounds, but that probably still entails some risk for them.

[DaLa]

I regularly take cover with a UK Insurance company for travel insurance whilst out of the UK. I have to confirm that I am a UK citizen. I wouldn't consider entering into an insurance contract with any company outside my own country for 2 reasons. Firstly the language barriers ( especially out here in Thailand ) and secondly the inability ( or lack of ) to resolve any dispute.