Why Group Private Medical Insurance Needs To Be Part Of Your Employee Package In Vietnam
Group health insurance is a well-known, popular type of healthcare system in Vietnam. Unfortunately, most workers and companies often have only heard about it if they haven’t been directly enrolled in the policy themselves, but that doesn’t mean they shouldn’t know the pros and cons of this health insurance policy.
This article will discuss the Vietnam healthcare system, health insurance plans, insurance providers, and the pros and cons of group health insurance.
What is Health Insurance in Vietnam?
A group private medical insurance package is a win-win for employers and employees in Vietnam. We look at the benefits and how we make it easy for you to offer the best possible healthcare packages to your team.
The upside to being covered under one plan rather than purchasing individual coverage yourself (or bringing your spouse/partner onto the insurance policy) is the lower costs as employers pay out less per employee because there isn’t any need.
According to a recent survey in the States, 62% of employees say that better-than-average pay and benefits are a leading workplace differentiator. In addition, there are numerous benefits to both employers and employees of having access to excellent quality health care. We will outline them here.
How Does the Healthcare System in Vietnam Work?
The group private medical insurance offered by insurance companies in Vietnam will give you and your employees access to high-quality private hospitals. For most expats in Vietnam, having access to good healthcare is crucial for their families’ wellbeing and peace of mind.
Group health insurance in Vietnam covers costs for pre-existing medical conditions without waiting periods, something crucial for expatriates in the country who may not be able to get coverage at all if they have an existing health condition.
Advantages That Your Company Gets With Having Group Private Medical Insurance (PMI)
1. Helps you attract and retain the best talent
Employees are a company’s most valuable asset, and looking after their health is crucial to a business’s life expectancy. Therefore, employees value a generous benefits package is the most critical service workers look for aside from their salary, good quality healthcare in Vietnam from a trusted insurance provider. Considered a high-value benefit that gives employees peace of mind, PMI has been proven to reduce staff turnover.
2. Fewer days lost to sick leaves
Employee absence due to sickness is costly for businesses. Quality PMI allows your employees to access the best medical care available in Vietnam quickly and efficiently. As a result, if they are unwell, they will be able to recover their health sooner, returning to work quicker, which results in the company losing fewer days to sickness.
3. Tax-deductible
PMI is usually an allowable business expense for corporation tax purposes. Fortunately, depending on your circumstances and the size of PMI you provide for your employees, deducting the group PMI premium from company taxable profits may be possible. This process is an excellent way of mitigating some of the cost of group health and life insurance premiums and means Group PMI can pay for itself many times over.
4. It boosts productivity
Employees in good physical and mental health (the latter being a growth area in the corporate benefits space) are more likely to deliver optimal performance, boosting the company’s overall productivity in their home country. Vietnam health Insurance is, therefore, a great way to prevent business interruption and underperformance, keeping employees on the job.
Advantages That Your Employees Get With Having Group Private Medical Insurance (PMI)
1. Peace of mind
It is incredibly reassuring for employees in Vietnam to know that they have access to quality travel insurance and health insurance plans with no long waiting times. And happy employees are productive employees because it gives them insurance that reduces their cost of living. Group health insurance in Vietnam eliminates the problems with individual plans regarding waiting periods, accessibility, and affordability. PMI means every employee gets access to quality medical care when they need it.
2. Choice of health provider
With a good Vietnam health insurance policy, employees can choose where and when they are treated and schedule their treatment to suit their lifestyles. In addition, workers in Vietnam can choose which private hospitals or healthcare facilities they can get their treatment at depending on the health insurance plan.
PMI in Vietnam will allow employees to choose which facility is best for their medical needs. Group health insurance can also have many facilities under one plan instead of employees paying out-of-pocket every time they want to use different hospitals.
3. More comfortable hospital stays
Employees gain peace of mind knowing that they will benefit from perks such as private rooms, flexible visiting times, and quality medical care should they require hospitalisation. In addition, group health insurance in Vietnam will help ensure that employees are kept as comfortable as possible during their hospital stay.
Group PMI plans cover everything from non-emergency surgical procedures and major surgeries to childbirth in the hospital. Group health insurance policies allow employees to have peace of mind knowing they can receive quality treatment from hospitals in Vietnam wherever they are in the country.
4. Protection for all the family
With most group PMI policies, employees have the option to extend cover for their families as well. Your company can choose whether to offer this benefit or include it as a voluntary add-on paid for by the employee.
Group PMI in Vietnam can help you attract and retain the most talented employees by covering their needs and the healthcare coverage of their families. Group health insurance plans help promote a healthy working environment and ensure that every employee’s family feels safe under the company’s health insurance plan.
Difference Between Group Private Medical Insurance And Cash Benefits
It is becoming increasingly common for companies to provide ‘cash’ benefits to their employees to fund their health insurance rather than providing insurance via a group health insurance policy. Here are a couple of reasons why this is not a good idea:
- Businesses often benefit from tax relief on PMI premiums as they are classed as a business expense. They experience reduced taxable profits and, therefore, the amount of corporation tax payable. Companies should seek specialist advice on taxable benefits as this is a complex area of a business.
- While with a group PMI policy, the risk to the insurer is spread over a much greater number of people, and the premium will reflect that, with the actual cost ‘per head or employee’ is lower than offering cash to workers directly.
The Advantages of Using Infinity for Your Company’s Group Private Medical Insurance
- We will actively manage all aspects of your health insurance policy, freeing up time for your HR team to concentrate on other issues, allowing your employees to focus on meeting company objectives and raising morale.
- PMI policies are multifaceted, modular and have monetary limits. The complexity of health insurance means that it is beneficial for employees to have a comprehensive approach that has been negotiated by a professional who has the relevant expertise with insurance companies.
- We conduct an independent review of the whole insurance market at renewal to see if you could obtain a better deal and negotiate with insurance companies to get the best possible insurance plans. The review is a highly specialised and time-consuming part of what we do which your HR team will not have the time or expertise to manage.
- We deal with all enquiries, including any medical claim an employee may have.
- We will continuously nurture the relationship between the company, HR and members covered by the health system policy.
- You will have your own dedicated, personal account handler to make sure that healthcare is adequately provided.
- We will keep your business and employees up to date with any changes to the health plan that you have decided to take.
Your business can set itself apart from the competition with the health coverage services that it offers. As specialists in international corporate benefits, Infinity has helped numerous companies in Vietnam set up health insurance packages to protect their employees, and we would love to help you attract and retain a happy and healthy workforce.
Contact us today at vietnam@infinitysolutions.com to set up a consultation with one of our Ho Chi Minh City-based experts.

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