The current insurance season presents unique challenges, particularly with U.S. hospitals increasing their pricing demands. This shift is anticipated to affect insurers across the board.

Rising U.S. Hospital Costs and Their Impact on Travel Insurance

In recent times, U.S. hospitals have been exerting pressure on travel insurers by escalating their pricing. This escalation is fuelled by a variety of factors including rising medical procedure fees, augmented staffing costs, and general inflation within the healthcare sector. The collective effect of these elements is palpable, causing significant financial strain on travel insurers. The repercussions are evident, with insurers like Medipac expecting an additional $2-3 million in claims costs alone.

Despite grappling with these financial pressures, our commitment remains unwavering to ensure that our clients continue to receive the best possible coverage without a substantial increase in premiums. This entails strategic negotiations with healthcare providers and a persistent pursuit of efficiencies within our operations.

The Health of Our Clients and Its Positive Effect on Claims

On a positive note, our clients have enjoyed a notably healthy year, resulting in a decrease in major claims. This positive trend can be partly attributed to improved overall health management among our clients and their increased adherence to preventive measures, particularly in light of recent global health concerns.

While substantial claims still occur, their frequency has dwindled compared to previous years. This decrease in high-cost claims facilitates more effective overall cost management, enabling us to allocate resources more judiciously. Ultimately, this benefits all our policyholders by contributing to our ability to maintain stable premiums.

Understanding Medipac’s Discounts and How to Save on Premiums

Many new clients may not fully grasp that our published insurance rates rarely reflect the final premium they will pay. The actual premiums can be significantly lower due to a range of discounts we offer. These include:

• Claim-Free Discounts: Rewarding clients who have not filed any claims in previous years with lower premiums.
• Loyalty Discounts: Offering discounts to long-term clients who renew their policies with Medipac.
• Early Bird Discounts: Providing discounts to clients who purchase or renew their policies early.
• Provincial Discounts: Extending additional discounts in certain provinces based on local regulations and partnerships.

When these discounts are factored in, the resulting rate can be more than 25% lower than the published rate. Additionally, opting for a higher deductible can further reduce the premium by up to another 25%. We encourage clients to complete a our travel insurance application to discover the potential savings for themselves.

Post-Covid Travel Trends and the Return of Snowbirds

Post-Covid travel to the United States is witnessing a resurgence to pre-pandemic levels and even surpassing them. For example, Florida reported a 46% increase in Canadian visits in 2023 compared to the previous year, representing 35.7% of all out-of-country visitors to the state. This uptick indicates a significant rise in snowbird travel, a trend that is expected to continue growing as more people resume their pre-pandemic travel habits.

Acknowledging Our Dedicated Staff
We extend our heartfelt gratitude to our dedicated assistance and claim staff who work tirelessly, often under high stress, around the clock. Their ability to remain composed under pressure and make sound decisions is truly commendable. Congratulations to them for the thousands of jobs well done!

Conclusion
Despite a challenging insurance season marked by rising U.S. hospital costs, Medipac is steadfast in its commitment to keeping premiums affordable through various discounts and efficient claim management. The health of our clients, positive feedback, and the dedication of our staff bolster our resolve to provide exceptional travel medical insurance.