Asia- Pacific will see medical benefit costs rise by 10% next year
In Singapore, medical benefit costs provided by the employer are expected to rise by 10% in 2020, outpacing inflation by 1.4%. This is attributed to an aging population and rise in chronic diseases.
The medical trend rates vary from country to country, with the rates expected to rise the most in Malaysia and Thailand at 14% and 13.9%.
China and Hong Kong are expected to see an average medical trend rate rise of 7.5% and 8.1% respectively. The prices of medical goods and service are rising at a level of two to three times inflation due to the adoption of advanced technology. The medical trend rate is driven by rising levels of stress and respiratory infections.
A more engaging and productive workforce can be gained when employers focus on physical, emotional, social and financial well-being.
These are the findings of research released by Aon called The 2020 Global Medical Trend Rates Report.