Insight
PATIENTS SANS FRONTIERES
page 01
GETTING A nip, tuck an d a tan is becoming an in crea sing ly popular way of spen ding a holiday, but the
number of tourists see king more complicate d procedures is on the rise, too – an d Singa pore is at the
hea rt of the acti on. Geraint Price in vestigate s
“In 2005,
Singapore
received
374,000
healthcare
visitors, many
accompanied
by one or
more persons.
The estimated
tourism
receipts in
2004 came to
S$836m”
For decades, Americans have realised that
medical care beyond their borders comes
with significant cost savings: nipping over
the border to Mexico for minor surgery
or heading to Canada for prescription
drugs. Even in Europe, Britons in need of treatment
and not wishing to spend months on a National
Health Service waiting list head to France for medical
care. Earlier still, Romans went to Bath for the
healing waters. The phenomenon is nothing new: the
ancient Greeks came from across the Mediterranean
to Epidauria, sanctuary of the healing god Asklepios.
Today, travellers with a valid passport have a plethora
of choices: India, Thailand, Singapore and Hong Kong
are all popular medical travel destinations. Costa Rica,
Argentina, South Africa and Brazil, specialising in
elective and plastic surgery, are leading the pack in
cosmetic tourism. For those who need help negotiating
the world of discount medical care, an entire industry
of middlemen has sprung up. Rudy Rupak, president
of Planet Hospital, an agency that connects patients
with 38 hospitals in 13 countries, says his website gets
more than 45,000 unique visitors a month.
But as medical travellers venture further afield in
search of cut-price treatments, it is Singapore that is
capturing the lion’s share of the business.
At current rates, the US will be spending US$1 of
every US$5 of its GDP on health care by 2015, yet
more than 1 in 4 workers will be uninsured.
In 2003, Singapore had over 230,000 medical visitors
despite the Sars outbreak, representing an increase
of nearly 9 per cent over the 2002 level. According
to Dr Jason Yap, director of healthcare services at
the Singapore Tourism Board, medical tourism has
impacted greatly on the island state’s economy.
“In 2005, Singapore received 374,000 healthcare
visitors, many accompanied by one or more persons.
The estimated tourism receipts in 2004 (spending
on airfare on local carriers, hotel or accommodation,
shopping, dining and leisure as well as medical care)
came to S$836m, earned by the Singaporean economy
from visitors specifically for healthcare and their
accompanying persons. In addition, other visitors that
also visited doctors and healthcare facilities during
their stay spent an additional S$27m that year. When
one considers that the tourism receipt for all visitors
for 2004 was S$9.6bn the provision of healthcare
services for international patients contributed 8.9 per
cent of the total traveller-based national revenue.
According to the Singapore Tourism Board, the
plan is to draw a million foreign patients yearly to the
country by 2012. If this is realised, more than S$1.6bn
in income could be generated, adding about 1 per cent
to the gross domestic product.
Until relatively recently, the prospect of flying
halfway around the world to seek the best medical
treatment would have been sniffed at, but cultural
chauvinism is giving way to practicality and, more
crucially, the realisation that standards can be as good,
if not better, away from home.
“Surgery
packages can
be booked
with disarming
ease. Coronary
angiogram?
Yours for
S$1,900. Breast
augmentation
US$2,750,
including
one night’s
stay, surgeon,
anaesthetist
fees and all
medication. All
at the click of
a mouse”
Expatriates and wealthier locals would routinely fly
to the US or Europe for something as straightforward
as a check-up. But as the cost of medical treatment
has soared over the past 20 years, patients are now
looking at ways of lowering the expense.
Already, hospitals in the UK and US have begun
to sub-contract some procedures – like transcribing
medical records – to India; now it is the patients
themselves who are being outsourced.
India, in particular, is aggressively targeting patients.
Medical tourism is on the rise with more patients
from the United States, Europe and the Middle East
seeking Indian hospitals as a cheap and safe alternative
to their own countries. A recent Bloomberg report
said Indian doctors are setting up what could be a
medical renaissance in their country and the next
big boom for the economy. For example, the Tamil
Nadu Tourism Development Corporation (TTDC)
and Apollo Hospitals also collaborate to give TTDC
tourists a 15 per cent discount on healthcare checkups
in any Apollo centre in the country.
One glance at the figures and it is not difficult to
appreciate why. Instead of paying US$200,000 for
mitral valve surgery in the US, a patient could receive
the same treatment in India for US$6,700. Similarly,
rather than paying £15,000 for hip resurfacing in the
UK, a patient can get the same procedure for £5,000
in India, including surgery, airfare and hotel stay.
A study by the Confederation of Indian Industry
(CII) and McKinsey Consultants in 2002 estimated
medical tourism could be worth 100bn rupees
(US$25bn). In 2004 some 150,000 foreigners visited
India for treatment – and that number is rising by 15
per cent a year. With a large pool of highly trained
doctors and low treatment prices, healthcare aims
to replicated the Indian software sector’s success.
Built on acres of land – often gifted to companies at
peppercorn rents from Indian local authorities eager
to promote business – the new, sleek medical centres
of excellence offering developed world treatments at
developing world prices. Closer to home, Thailand
is now viewed as the region’s leading centre for not
just cosmetic operations, but major surgery, with
Bumrungrad International in Bangkok leading
the charge. Here, surgery packages can be booked
with disarming ease. Coronary angiogram? Yours
for BT45,000 (US$1,475). Breast augmentation?
BT90,000 (US$2,951), including one night’s stay,
surgeon, anaesthetist fees and all medication. All at
the click of a mouse.
And for the à la carte option, the hospital will gladly
provide a quote by email. The website offers perks
like “round-trip airport transfers, welcome massage,
mobile phone, half-day Bangkok tour, two round
trips to hospital with hospital outpatient registration
and process orientation. Plus 24/7 assistance during
your entire stay in Thailand.” Bumrungrad, which
treated 430,000 non-Thais last year, has just expanded
its Bangkok hospital and is now setting up in the
Philippines and Dubai.
|