Medical Tourism in Asia Hit Hard by Global Recession

Medical Tourism in Asia Hit Hard by Global Recession-18 November, 2008

Medical Tourism in Asia Hit Hard by Global Recession


U.S. patients who either lack health insurance or can't get coverage for certain procedures have looked towards Asian hospitals for their medical treatment. Recently there have been signs that insurance companies might start actively encouraging this trend to save on costs.

But Bumrungrad has been hit this year. First was the political unrest in Thailand, with anti-government protesters taking to the streets of Bangkok and constant rumors of a military coup. The prospect of instability has discouraged would-be patients from making the trip over. More worrisome for Bumrungrad management, the financial crisis has suddenly made the cost of travel to Thailand from the U.S. more of a stretch for many Americans who might have considered choosing the Bangkok hospital in the past. "We are not predicting robust growth," concedes an understated Curtis J. Schroeder, chief executive of Bumrungrad, who says the hospital will take the occasion to refurbish its rooms, as many hospital beds are empty.

Medical Tourism in Asia Hit Hard by Global Recession-18 November, 2008

You might think tough economic times would make more people interested in saving money by having their operations in low-cost hospitals in Asia. But with the U.S. unemployment rate at 6.5% and rising, more Americans cannot afford to be jetting off to Asia for health care right now, says Toral. While the price of an Asian operation might save uninsured American patients tens of thousands of dollars, the out-of-pocket expenses might still amount to $10,000. "That's $10,000 they don't have," Toral says. "Joe the Plumber may need a hip replacement, but he's going to have to wait."