News » Newsletter » 2006 » Newsletter 12/2006 » How To: Health insurance in the US

How To: Health insurance in the US

Since we know that many of our customers have questions about health insurance for an extended stay in the US, we have compiled a list of questions and answers for you. We would like to thank Mr. Christian Krolak, CEO of Expat Consult GmbH (a partner of the BDAE group) who has offered his expert advise for this. For further information, please refer to www.bdae.de/willkommen.php.

QUESTION: Why do I need health insurance for my sty in the US?

ANSWER: If you stay in the US without health insurance, you have to be prepared, in the event of illness or injury to pay any costs yourself. And that can be unpleasant, because the American health system is very expensive compared to the German one. Certainly, people staying in the US for an extended period of time can take out health insurance there. The advantage of a travel insurance is that it is valid worldwide and you are also insured if you are visiting your home country or other countries and you can also be transported back home if you get sick.

QUESTION: How long should my stay be to make an insurance worthwhile?

ANSWER: A travel insurance already makes sense if you are only staying a few months, particularly since BDAE (Bund der Auslands-Erwerbstaetigen) insurances can be terminated at a one month's notice. In this context, we should also point out that our travel insurance policies are not very complicated - depending on the plan category, we offer a uniform rate independent of age and sex, the only difference in rates is between the insured person and family members.

QUESTION: Can I/should I insure my family? Are there any discounts for larger groups of people?

ANSWER: All our products are also available for your family, but they will have to pay higher rates than you do - no matter whether they are children or adults. Due to the special concept of our insurance policies, we cannot grant any discounts.

QUESTION: What illnesses are excluded or will need a special policy? Do I have to pay more for those?

ANSWER: Depending on the plan and the insurance rates that go along with it, we offer services catering specifically to the individual's needs. In most cases, however, pre-existing conditions and an already existing need for treatment would lead to exclusion. In addition, rehabilitation, treatment for mental disorders and psychotherapy are generally not insured.

QUESTION: What is the maximum validity?

ANSWER: That depends on the chosen plan. For individuals staying in the US this is between three and five years, an extension for five more years is possible if the insurance provider agrees. In addition, BDAE offers the travel insurance plan Expat Global to internationally-active companies to insure their abroad-working employees until the age of 65.

QUESTION: If I took out insurance for a short period of time and I realize I need an extension, how easily is that possible and on what conditions?

ANSWER: You can extend the validity of your chosen plan, but only up to the maximum validity of that plan. Please note that an extension will only be granted after a checking of your service account and it might be rejected. So it is advisable to choose a long-tern insurance from the start, i.e. leave the expiration date open. That way, you can avoid any kind of risk, especially since all insurance plans can be terminated at a month's notice.

QUESTION: In case I need inpatient/outpatient treatment in the US, who will pay for it, i.e. do I have to pay myself at first and will be reimbursed later?

ANSWER: The payment process depends on how seriously ill you are and how expensive your treatment is. For outpatient treatment, you will usually pay first and be reimbursed later. Of course, there are exceptions to this rule, e.g. for expensive surgery. The BDAE will always pay for those directly. In addition, we have a branch in the US affiliated with the American doctor's association, and if you go directly to these doctor's you will not have to pay in advance but the BDAE will take care of all costs directly.

QUESTION: Do I need separate insurances for general practitioners and dentists or can I get insurance coverage for both at once?

ANSWER: Depending on the insurance plan, dentist treatment will either be included or not.

QUESTION: In case of an emergency, can I count on quick help without having to go insurance policy questions before?

ANSWER: Your insurance card will prove that you are insured over BDAE. That means in the case of an emergency, it is highly unlikely that a doctor will refuse treatment. In general, however, any service has to be checked by BDAE before reimbursement.

QUESTION: Am I also insured for visits to my home country, and if so, for how long?

ANSWER: Insurance coverage in your home country depends on your insurance plan. The minimum coverage in your home country is generally three months. However, there are insurance plans that will guarantee you almost unlimited coverage in your home country. For German citizens this is valid as long as they don't have a place of permanent residence in Germany.