Living abroad as an expat comes with big questions, and one of the biggest is: Is expat health insurance worth the cost? Between horror stories, half-truths, and tempting alternatives like self-insuring, it’s easy to second-guess whether you need it. Let’s bust eight common misconceptions to help you decide if it’s a lifeline or an overpriced luxury for your life overseas.
1. “It’s Just Travel Insurance by Another Name”
Truth: Expats often assume health insurance is like travel insurance, nice for a trip, but not a lifestyle. Wrong. Travel insurance handles short-term emergencies; expat health insurance covers long-term needs like routine checkups, surgeries, and chronic care. Without it, you’re rolling the dice on anything beyond a quick vacation fix.
2. “It’s Too Expensive to Justify”
Truth: Sticker shock hits hard, but costs vary widely. A basic plan for a healthy 30-year-old might run $50–$150 USD/month, while seniors could pay $300–$700. Compare that to a $20,000 hospital bill for a broken leg or appendicitis, insurance often pays for itself in one emergency. It’s not cheap, but it’s cheaper than bankruptcy.
3. “Pre-Existing Conditions Mean I’m Uninsurable”
Truth: Not necessarily. Some insurers exclude pre-existing conditions, but many—like Cigna or Allianz—offer coverage with higher premiums or waiting periods. Disclose your health history upfront, and you might be surprised at the options. It’s not a dealbreaker; it’s a negotiation.
4. “Local Insurance Is Always the Smarter Pick”
Truth: Local plans can be dirt cheap, but they’re not perfect. They tie you to one country’s system, often lack English support, and rarely cover treatment abroad. A true expat plan will cost you more but give you flexibility, vital if you’re a nomad or want U.S.-level care.
5. “I’m Young and Healthy, So I’ll Skip It”
Truth: Age and fitness don’t shield you from accidents or sudden illness. A scooter crash in Thailand or food poisoning in India can rack up thousands in private care costs. Plans for the young start low and buy peace of mind. Health isn’t a guarantee.
6. “My Home Country’s Plan Covers Me Abroad”
Truth: Dream on. Most domestic policies stop at the border or limit overseas care to emergencies with big caveats. Check your policy, relying on it could leave you high and dry for routine needs or long-term treatment.
7. “Insurance Companies Never Pay Out”
Truth: Denials happen, but they’re not the norm with legit providers. Stick to trusted insurer brands, follow their rules (e.g., use in-network doctors), and claims get paid. The real scam? Buying from shady outfits. At Expat Health Group we only work with trusted brand insurers. We never recommend a plan that we wouldn’t be comfortable buying for ourselves.
8. “I’m Too Old to Bother”
Truth: Age raises premiums, not barriers. Seniors over 65 can still get plans with higher monthly premiums, and providers like Cigna cater to retirees with tailored bundles. You’re not “too old”; you’re just pricier to cover. Shop early to lock in rates.
So, is expat health insurance worth it?
Here’s the bottom line: expat health insurance isn’t a luxury; it’s about protecting your future. Self-insuring might work fine until it doesn’t. One accident or serious illness can wipe out years of savings, especially in countries where private hospital costs are rising fast. In much of Southeast Asia, medical inflation is outpacing income growth, and uninsured expats are left paying full price for emergency care, often with no support navigating the system. If you value stability and want to avoid financial shocks, comprehensive coverage is worth every penny. But if you’re living somewhere with cheap care and you’re comfortable rolling the dice, fair enough. Just don’t say you weren’t warned.
Your Next Step
The truth is out, expat health insurance isn’t a one-size-fits-all answer, but it’s a smart shield against the unexpected. Ready to see what it costs you? Get a quote that matches your needs and budget. Don’t guess, get a quote today and take control of your health abroad.