Medical costs across APAC are predicted to rise in 2020. Employer-provided medical costs in Singapore may rise by 10% and Hong Kong costs could go up by 8.1%. The highest rises will come in Malaysia and Thailand, with average medical trend rates forecasted at 14% and 13.9% respectively.
The rises are due to a combination of factors including ageing populations and a rise in chronic diseases such as diabetes, but also come as a result of increased technology use allowing for easier online claims.
Tim Dwyer, CEO of Health Solutions, Asia Pacific, Aon said, “Cost containment strategies are no longer enough to address medical inflation. Organisations in the region must introduce comprehensive programmes that address the physical, emotional, social and financial wellbeing of their employees. A proactive people strategy focusing on all of these factors will lead to a healthier, engaged, and more productive workforce.”
Source: 2020 Global Medical Trend Rates Report released by Aon plc (NYSE: AON).
Paul Arkwright
Publisher
