ALC Health Insurance exits Hong Kong market

At the end of last year ALC suddenly confirmed that they have stopped providing their medical insurance plans in Hong Kong. This meant that effective 1 January 2022 ALC Health Insurance (also known as A La Carte Health Insurance) would no longer be providing cover for both new and existing clients. 

Here we intend to look at why this has happened and what are the solutions for the many ALC members who currently have a policy. 

The background 

A popular insurer with both individuals and companies and known for its Prima plan range (Prima Platinum, Prima Premier, Prima Classic) ALC was one of the leading international medical insurers providing plans in Hong Kong.  

ALC had a reputation for providing high quality health insurance at competitive prices wrapped up in a client centric servicing proposition that saw them become a trusted provider with many Hong Kong residents. 

So what happened? 

The discontinuation has risen largely from an incredibly high amount of claims on their Hong Kong business. This combined by the extreme rise in the cost of medical care in Hong Kong in recent years meant that the business was no longer viable. Hong Kong now stands alone as the second most expensive country globally for medical care (behind the USA) and this rising cost of treatment doesn’t look like it is due to stop any time soon. 

The result of this meant that the underwriter of the insurance for insurer ALC decided not to continue the book of business. Unfortunately, the insurer has been unable to find a replacement carrier, and their parent company, SiriusPoint Ltd., does not currently have the onshore infrastructure in place to support this in Hong Kong. 

ALC appear to be the latest victim of the Hong Kong medical insurance market that have fallen fowl to this. Over the past year William Russel and insurance giant Generali have both decided to pull out of the market. 

What’s next for ALC policy holders? 

It is important to note that this is not an immediate termination of cover. Current ALC members with plans already in effect will continue to have cover until their next renewal date. Then all coverage, terms, and conditions of affected policies will terminate. 

If you are an existing ALC policy holder and are seeking advice and assistance with your plan we can help. i-Brokers have sourced a solution to continue to cover ALC members and cover pre-existing conditions that you might currently have covered on your plan. 

If you bought your policy through us or elsewhere and would like to understand your options, please do feel free to reach out to us at  

[email protected]