Experts Recommend Forming Medical Insurance Companies
Published Saturday, 19 May 2012 12:16 | Written by Sherine Taha and Islam Abd ElHameed
Experts affirmed on the importance of forming a medical insurance company to boost medical insurance sector.
Abdel Raouf Kotb, chairman of Insurance Federation of Egypt and managing director of Egyptian Saudi Insurance House, said there is a medical insurance company in Egypt which is Bupa Egypt Insurance Company. Increasing these companies is subject to the plans set by the leaders of insurance companies, Kotb noted, adding that medical insurance projects are achieving good economic growth rate.
Forming such specialized insurance companies contributes in improving medical insurance sector in Egypt as long as these companies have the required experience to benefit the sector and offer medical insurance services that comply with international standards.
Mousrafa El-Shimy, an official at medical insurance sector at Misr Insurance Company, said forming a medical insurance company needs studies that illustrate the value and benefit such companies will add to the market. These companies will contribute in developing medical insurance and health care sectors in the Egyptian market, El-Shimy added, noting that these companies shall assign experienced staff to achieve this target.
To post good growth rates, companies shall conform to proper underwriting and fair pricing together with making good relations with concerned bodies in medical services. This cannot be made, unless health maintenance organizations stop issuing insurance policies at very low prices and Third Party Administrators (TPAs) focus only on managing medical insurance portfolios of insurance companies.