Medical inflation rates around the world are much higher than the normal rate of inflation. This places long-term affordability at the heart of the factors to consider when purchasing an affordable health insurance policy.

Medical inflation is affected by a number of factors, and not only attributed to the rising cost of treatment costs. These factors include:

  1. Greater demand caused by people living longer & larger populations.
  2. Unhealthy lifestles causing obesity and more health conditions.
  3. Rising medical research costs.

The demand for quality healthcare is unprecedented and rising. More and more people are obese, live stressful lives and have more health problems. These factors drive millions more people across countries to seek quality healthcare, which is sometimes limited in some countries. Increasing populations in many countries also drives up demand, and coupled with improved medication and treatments, people are living longer lives.

Global cancer rates are also increasing, which via new and improved treatments (often costly) are able to be treated and for more people to survive. Medical advances now also allow more people to maintain a number of chronic condition or serious illnesses not possible before, which are often costly due to the high costs of research and development.

Treatment for obesity related illnesses, poor health habits, higher cancer rates, populous demand and high development costs of new medications and medical machines is creating higher healthcare costs.

Health insurers try to control costs of treatments via number of methods including working with networks of medical providers, accreditation programmers or encouraging health checks and a healthy lifestyle.

Speak with a BrokerFish advisor today. Get Help Now > We guarantee 100% privacy. Your information will not be shared.
Thank you. One of our advisors will be in touch shortly.
Quote Mark

Kudos to you guys for taking steps to make insurance a more bearable user experience :]

PHILIP, Start-up Co-founder, CHINARating


Medical inflation rates across Asia have averaged between 7 and 14% over the last 5 years, with places like Hong Kong seeing larger inflation rates at around 10% on average compared with an average of 9% in China and Singapore, 8% in Thailand and Indonesia with the Philippines slightly below this.

The same story is see across Africa, the Middle East and Latin America with medical inflation averaging between 8 to 9% per year.

Medical inflation does however vary more across health insurance companies, partly due to the unique way some insurer operate, underwrite or have setup their benefits. When looking at premium rises across multiple countries for a number of insurers over a five year period we have seen insurers averaging a 6% increase, some an 11% average increase and others in-between. If you wish to take a policy with an insurer providing a track record of lower medical inflation rates, please contact us and speak with one of our qualified advisors. We can help provide advice on which insurers have lower medical inflation trends and may be more suitable for you.


Medical inflation in emerging markets is seeing a strong demand and rising healthcare standard expectations, which is driving up the cost of treatments. Health insurance premiums in many emerging markets are expected to double by 2020 accordingly, with Emerging Asia premiums expected to rise more than 15% annually until 2020, and in Latin America premiums are expected to rise an average of over 6% annually until 2020. Similarly, Middle Eastern and North African nation health insurance premiums are expected to rise an average of 10% annually until 2020.

Your privacy is important to us We do not sell your personal information to 3rd parties without your consent. To learn more read our privacy policy.
Privacy Seals
If you have a question we would love to help
MALAYSIA +60 3 9212 1411 Serving ALL COUNTRIES
Thank you. One of our advisors will be in touch shortly.
Quote Mark

Kudos to you guys for taking steps to make insurance a more bearable user experience :]

PHILIP, Start-up Co-founder, CHINARating