China Health Insurance $10,000

[alaskagypsy]

My wife keeps bugging me about purchasing a health insurance policy (or something like that) for her in China so when she retires she can move back to China and have health benefits. She says it is upfront cash of $10,000, no payments over time. She also said her parents needed to purchase the same.

I have not heard of this before and I really can't see justify paying $10,000. Plus who knows what position China will be like in 15-20 years.

Anyone out there been bugged with this?????? She is from Nanning.

Thanks!

[Amaro]

My wife keeps bugging me about purchasing a health insurance policy (or something like that) for her in China so when she retires she can move back to China and have health benefits. She says it is upfront cash of $10,000, no payments over time. She also said her parents needed to purchase the same.

I have not heard of this before and I really can't see justify paying $10,000. Plus who knows what position China will be like in 15-20 years.

Anyone out there been bugged with this?????? She is from Nanning.

Thanks!

 

Are you sure about that? I wonder if something like this exist as well.

[lche195]

I did hear of this before, my wife wants to purchase this for her Mom and dad,i think its to expensive

[concert500]

Wow 10,000 US dollars? That doesn't sound right to me. How many Chinese can afford that at once? Is it only for the wealthy?

[tonado]

Health insurance for expats in China

 

http://www.startinchina.com/shenzhen/life/health_insurance_for_expats_in_china.html

[dnoblett]

Wow 10,000 US dollars? That doesn't sound right to me. How many Chinese can afford that at once? Is it only for the wealthy?

Thinking the same, perhaps Ôª10,000?

 

When I was engaged to my wife, she was behind on her insurance payments, I believe I sent her $200 - $500 to help her out in this.

[2mike&jin]

My wife keeps bugging me about purchasing a health insurance policy (or something like that) for her in China so when she retires she can move back to China and have health benefits. She says it is upfront cash of $10,000, no payments over time. She also said her parents needed to purchase the same.

I have not heard of this before and I really can't see justify paying $10,000. Plus who knows what position China will be like in 15-20 years.

Anyone out there been bugged with this?????? She is from Nanning.

Thanks!

 

Well, I don't have a specific about Nanning - but when I/We lived in China - the Insurance Industry was just getting into the "Hyper Sales Mode". In fact, almost not a week goes by that my wife "still gets" phone calls from Insurance Agents in China wanting to sell some form of insurance. They are relentless - much the way we used to be bombarded with the evening phone calls before we enacted the "do not call" feature.

 

Specifically, while we were in Xiamen, I had to intervene two or three times with the cousins - all wanting to purchase some form of Insurance. It, like all good sales jobs - was founded in the "fear of something", and the idea that a few mao a day can make this big worry go away. The first that I encountered was soon after my now niece was born, the cousin was at our home trying to borrow money so that he could pay for an "Insurance Policy" that would provide a "certain level" of education for his newborn. The way they got his name and number - the hospital SOLD the numbers of the parents for all new babies. Thus giving the insurance salespeople a ready made call list each and every week. Not illegal in China. The second set onslaught of insurance was to provide "old age medical supplements", for the self employeed or migrant workers (someone not living or working in their own prvince/registration city) a form of supplemental insurance. Needless to say - as you work through each of these and look at the costs vice the future - POSSIBLE returns the results are a very low return on investment. Sort of like the Insurance that we have here - pay for your life and you will be guranteed $10K of insurance - with no limitations. Of course we all know how much comfort having $10K of insurance would give us in today's world.

 

Ok, there are times when buying insurance or buying out the remainder of Insurance or Retirement plans makes sense. I.E., you've paid into the Government Insurance and Retirement system for 25 years - need 5 more years for lifetime benefits - but now you don't want to stay in the country or you want to move to a different region of the country. Bingo - paying out the last marginal amount to "qualify" for the benefit makes perfect sense and is well worth, usually, the time, effort and money to invest in this type of plan. (I think there are people on CFL who have been in this situation with their wives).

 

What doesn't make much economic sense is to just "plunk down" a very large sum of money for future benefits that one hasn't costed out. I.e. - if the plan allowed 5000 RMB benefits for life starting at age 55 for women and 60 for men (typical in China) one has to do the "time value of money" and see what one could expect. Putting almost 70,000 RMB in a CD in BOC for XX years, with NO TAXATION - CURRENTLY - will result in a flow of money for X years. Insurance companies do this based on Risk spread an actuarial tables just like we do here in the US. It's no wonder they are SO profitable - and quickly get out of areas where they can make little money -- i.e. try to get home/hurricane Insurance in Florida.

 

OK, my advice, you will not WIN the EMOTIONAL agrument feeding the fear of long term Medical Insurance and "taking care of the family". You can argue logic, try to get the facts - almost impossible here if you're not standing in front of the insurance agent and can speak some chinese (I've done this..it's not easy). You can do several things (1) Give them the $10K and temporarily have a pleasant time of things - until the next "FEAR or NEED" arises; (2) You can just say...you don't have the money for "long term issues' and that the need is to take care of the family NOW - and possibly after you are settled - both working - etc..etc..you can re-visit the issue - go through the facts and if it makes sense do it then. (3) Just say no - give no excuse and take your beatings!!

 

Have fun...been there done that! (It's even harder when you have the money and say NO)

Edited August 21, 2010 by 2mike&jin (see edit history)

[tsap seui]

I've heard of the "retirement" funding, and have given lil' rabbit a few hundred USD to get hers paid up. Never heard of the health insurance.....don't want to hear about it either.

 

Good luck man. I hope this doesn't become an issue for you. There is always someone trying to sell the pot of gold at the bottom of the rainbow. In reality, they are often only trying to get you to give THEM that pot of gold.

 

tsap seui