Cost of Expat Health Insurance in Hong Kong

Categories: expat health insurance hong kong | Published on July 11, 2013

Cost of expat health insurance in Hong Kong is rising according to the latest ECA Cost of Living survey. Hong Kong is still considered the 10th most expensive place for expats to be in Asia. According to a new report, it is one of the most visited place in Asia and the 38th most expensive place in the world. 

The ECA carries out a survey on the cost of living twice a year in order to determine where companies and organizations hiring expats should define their compensation packages to remain in the competitive market. The study includes more than 400 cities in the report, and it takes into account a number of services and consumer products that expats would normally buy as the yardstick for affordability. 

Utilities and accommodation are not included in the list of services and products that expats would purchase since they are monitored and assessed separately, according to the South China Morning Post.

According to this survey, Tokyo was ranked the most costly city in Asia for expats. It was followed closely by Singapore. Beijing, Shanghai, and Seoul followed. This study also indicated that the cost of living has grown up by 3.9 per cent in Hong Kong within a period of one year. Although there is a noticeable drop in the rise from the previous year, Hong Kong is still an expensive place for expats.

While the cost of electronics and petrol seem to fall, there is a corresponding rise in the price of groceries and outdoor meals.
At the ECA International, the regional director for Asia, Lee Quane, told reporters that higher inflation in mainland China has left a surprising effect on Hong Kong whose prices have remained relatively static from last year. Local importers are constrained to buy goods at higher prices from mainland China, and these high prices are consequently passed on to end-users. 

The new report is a good argument for the fact that Hong Kong still remains one of the best places for international companies to invest and for expats to live and work in Asia. There are other cities like Singapore that are just as stable as Hong Kong, poised for the competition for international talent. 
Currency fluctuations can be considered one of the reasons why cities fall on the list, and this is why Tokyo, for instance, has lost its position in the limelight as one of Asia's most favored and stable city. It has taken the sixth position! 

With the insurance reforms becoming more and more popular in Hong Kong, there is also the good news that expat health insurance in Hong Kong will also be positively affected in the implementation of the new private insurance policy reforms. The new reform is designed to involve the government in the administration of insurance services to those living in Hong Kong, which will eventually improve the quality of insurance services in the city. With the tax incentives from the government, policy holders will benefit from affordable insurance costs.