Mexico profits from free tourist health insurance plan

September 1, 10:11 AMInsurance Industry ExaminerDanny Workman

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Since announcing free emergency health insurance for tourists who register to stay at one of Mexico City’s 470 hotels back on July 28, occupancy rates have soared to between 70 and 80% in late August.

Occupancy for those same hotels sank to 23% back in April. Around that time, a swine flu outbreak scared many tourists away from Mexico City.

Mexico is so dependent on tourism that the Mexican City tourism ministry was forced to take innovative action.

Free comprehensive insurance goes a long way in convincing people who book their travel plans online that Mexico will cover medical care for emergencies ranging from a broken leg to a heart attack.

Mexico City will offer tourists who stay in the city's hotels free health and travel insurance until December 2009. Below are eligible services listed on Mexico City tourism’s official website.

Free Emergency Medical Coverage

• Medical treatment for any accident or illness including swine flu
• Ambulance transportation in case of an accident
• Emergency dental care
• Hospital accommodation for an emergency
• Prescription drugs

Additional Free Emergency Travel Benefits

• Informing emergency contacts in home country
• Patient’s home transportation in case of illness
• Accompaniment of minors
• Home transportation of body in case of death

Free Emergency Travel Assistance

• Event reservation in Mexico City
• Flight delay or cancelation help
• Hotel accommodation during recovery
• Legal assistance in case of lost or stolen property
• Lost luggage help
• Return of property left behind to home address
• Tourist advice
• 24-hour call centers fluent in English, French, German, Spanish and Portuguese

The Mexican government pays about US$30 per registered visitor for the emergency tourist health insurance plan, which is underwritten by Spanish insurer Mapfre.

That is a tiny premium when one considers the millions of dollars that the free emergency medical coverage brings into Mexico City’s 470 hotels and related hospitality industry.

Source: Mexico City Tourism Official Website