Axa Global Healthcare has re-entered the international private medical insurance (IPMI) market in the United Arab Emirates (UAE) through a partnership with local insurer Daman – and it is planning further expansion in the region and across Africa.
The insurer’s new Global Healthcare Plan is a locally licensed and compliant product administered by Daman, which has around 2.8 million members in the UAE, and is available for intermediaries and businesses in and outside the region.
Daman is part of Pure Health, which has a domestic network of more than 3,000 healthcare providers and Axa Global Healthcare customers will also be given access to its health app.
The plan offers upgrade options across maternity, dental, and optical health across all levels, along with access to hormone replacement therapy (HRT), menopause, and infertility benefits.
Cover can also be expanded with higher overall limits and out-patient benefit limits, and members can also access dietician consultations.
Members will have access to a dedicated and experienced round-the-clock in-country claims team as well as to Axa’s Virtual Care services.
‘Statement of intent’
Speaking exclusively to Health & Protection, Axa Global Healthcare managing director for Middle East and Africa Karim Idilby said the move was a “statement of intent”, not just for the UAE, but more broadly in terms of the insurer’s overall IPMI ambitions, particularly following its latest plan which focuses deeply on health.
“Within IPMI the UAE is such a critical country, so we have to make sure we have the right set up, the right footprint and are going to market the right way to really not just showcase our brand and capabilities, but also do that in partnership with another strong local player,” he said.
The initial focus across all seven Emirates will be on employer sponsored plans for SMEs and large corporates, which make up more than 90% of the market in the jurisdiction.
However, with the introduction of golden visas and people no longer necessarily being sponsored by their employers, an individual product is “on the runway”, Idilby (pictured) confirmed.
“We want to get everything vetted because it’s not just the launch of a new product, it’s actually the launch of a partnership, so let’s get this done first throughout this year, and then hopefully in the next 18 to 24 months we should be in a position to launch an individual product,” he added.
Outbound growth potential
While the UAE is a hotbed for IPMI with its high expat population, Idilby agrees the bigger market from his perspective may be the potential outbound growth.
“Inbound is always going to be important and we have to ensure that we’ve got that compliant coverage for employees based in the UAE,” he continued.
“But it is about the local origination opportunity here, not just because global companies are setting up their regional headquarters here, but there is certainly a customer segment that requires the benefits that IPMI provides, on top of what a PMI proposition might that be.
“So the importance of the UAE is not only because of the mandatory and employer sponsored healthcare but also just the population growth alone in this country is phenomenal.”
Long-term and sustainable
Daman will be leading the distribution through its existing intermediary relationships but Axa will also be rolling it out to partner advisers, with Idilby emphasising the focus on working closely with intermediary is critical.
However, there will also be some direct distribution through Daman’s team as well.
He is also conscious that one of the most important factors in the launch is – with medical inflation and healthcare costs in general throughout the region soaring – ensuring that it is a long-term and sustainable solution.
“We can’t say that we’re here for you for the long term and then look at it as a short-term play,” Ildiby said.
“People chopping and changing in the first year doesn’t make sense, we’re here to be sustainably here and committed to the country and the region for the long term, and we’re doing that on behalf of our members and our customers to ensure that they have a sustainable product and proposition.
“So absolutely, we can’t profess to be sustainable and in it for the long term if we’re not focused on prevention and wellness and keeping members out of hospital and from having acute exacerbations of whatever condition it might be.
“Diabetes is a perfect example. If you manage it properly, then you’re not going to get an acute exacerbation. However, if you do not follow the steps you are going to end up in hospital.
“So how do we actually help members along the way, whether it be through our digital tools, on-site wellness sessions, which PureHealth can also help deliver on our behalf.”
Sights set on Africa
Once established in the UAE, Axa Global Healthcare is looking at a wide-ranging expansion.
Saudi Arabia appears to be identified as the other key location for IPMI demand within the Gulf Cooperation Council (GCC) region.
However, Africa could prove a hotter market for the insurer, especially considering its existing relationships there.
“I can’t talk about too many details, but once the UAE is embedded, I’m already working on other key IPMI countries,” Ildiby said.
“In countries where we need a local partner, we’ll be making sure that local partner has also got health at the forefront, either because it’s the largest player in that market or it’s a monoline, and I’m actively working on a couple of opportunities.”
But Ildiby added that looking across to Africa, Axa has an “unparalleled” domestic licensed footprint already in the continent.
“Axa Egypt is the largest PMI player in Africa, Axa Mansard is the largest PMI player in Nigeria,” he continued.
“I think there are 11 or 12 other Axa entities, particularly in francophone Africa, where the job there is actually how do I work with my Axa sister company in order to develop and launch a compelling IPMI proposition that can sit alongside their PMI proposition, because the hard bit of having the licensed footprint has already been done.
“When the group talks about unlocking the future, a big part of that is unleashing the brand in terms of the Axa entities all over the world and that’s no different when it comes to IPMI in Africa in countries where Axa is a dominant player already.
“Africa does give me just as much excitement as the UAE does because Axa is already there,” he added.