Big Savings in Medical Tourism

Kiplinger tells the story of Mary Percak-Dennett, an Alaskan woman who went abroad for knee-replacement surgery that would have cost $90,000 in the U.S. Instead of paying the $90k, she went to Gleneagles Medical Centre in Penang, Malaysia and saved a fortune. The details:

At first skeptical about the safety and costs savings, Percak-Dennett is now a convert to what's known as medical tourism. Last June, for a total of $17,000, Percak-Dennett got her knee replaced, round-trip airfare and a stay in a fine hotel. Most important, she's happy with the outcome -- no more cane or pain. "The care was phenomenal," she says. Everyone spoke English, and the nurses doted on her. The surgeon answered her many questions. "It's the way care used to be," she says.

Jet-setters in search of sun and a cheaper facelift are no longer the only ones traveling to exotic locales for health care. Percak-Dennett is one of 80,000 Americans who traveled abroad in the past year for heart surgeries, hip replacements and other medical treatments. Savings can run from 15% to 85%.

Let's see -- $90k here or $17k in Malaysia. Seems like a no-brainer as long as the care is comparable.

I've written quite a bit about medical tourism and it's a trend I think will keep growing -- especially as costs of healthcare begin to threaten the retirement of millions. For review, here are a few pieces on the topic:

• Want Better Health Care? Go Abroad

• Medical Tourism Saves Money and More Insurance Carriers are Approving It

• Why Go Abroad for Medical Care Reason #1: Cost Savings

• Why Go Abroad for Medical Care Reason #2: Better Quality Care

• Medical Tourism Can Save You Thousands of Dollars

Comments

[Kevin]

That's amazing - a lady in my office just had both knees done. I know she has insurance so probably didn't pay near the $90k but it is something to consider I guess.

[Nazim]

My only real worry about this are the contractual and legal implications. Prices to insurance companies are often very different from prices to consumers. So what is the cost to the insured after insurance? Does getting surgery abroad affect aftercare benefits in the US? These are all grey areas, and insurance companies are notorious for taking advantage of gray areas by using them as a basis for refusing coverage.

And, if something goes wrong in the surgery, in the US it is relatively easy for the same doctor to follow up with corrective care, or (in the case of catastrophic mistakes, which unfortunately does occur) to recover some of your lost quality of life by suing the medical service providers for the mistakes. Both of these corrective processes seem much more difficult after surgery abroad.

I'm all in favor of opening up the markets for competitive health care. I'd just want to know more about what I'm getting into.

[Mike Hunt]

I've been to Gleneagles hospital in Kuala Lumpur- it was just OK in my opinion. Note that I went there because I had a bad case of the flu and in SE Asia you go to the hospital for these kind of things.

Looking at Asia, the best trained doctors for complicated procedures are in Singapore, Hong Kong and Bangkok. Malaysia is generally mediocre. But prices in Bangkok are the same or cheaper that Malaysia and obviously far cheaper than the West. The service will be good and if you stay overnight in the hospital your room may feel more like a 5 star hotel as is the case with most of the good hospitals in Bangkok. One caveat, if the procedure has a chance for complications or extended follow up exams you need to stay abroad longer. Therefore I'd recommend this option for simpler procedures if you don't have the time to stick around. This is why there are a number of people coming over for cosmetic surgery. For example I think Lasik is about 1000 - 2000 US dollars per eye at a very good hospital.

The other nice thing is that there is little to no waiting time. I remember I had skin growth on my foot (turned out to be a benign cluster of skin cells). From the time I saw the dermatologist to the time it was cut off with a laser was about 20 minutes. I got the results back from the lab the next day. That speed of service is rare in the US.

-Mike

[fathersez]

And I think that Gleneagles may be one of the more expensive hospitals in town.

I am happy that Mary had a good experience in Penang, my home State.