(PRWEB) July 23, 2013
In an effort to promote their international medical plans, Aetna is now offering significant discounts on their first year premiums. Clients based in Europe will receive a 25% cut, and clients in Asia (excluding China) and the Middle East will experience a 15% discount. Pacific Prime analysts are positive that this move will improve short-term sales, and both Aetna and PPI are keen to see the effect this will have on business in the long run as clients experience the highly competitive premiums of the plan. PPI analysts see this move as a sign of the increasingly competitive marketplace and predict that additional, long-term adjustments to Aetna's current plan are also in the works.
As a successful Fortune 100 listed company and one of the oldest health insurance companies in the world, Aetna has been able to achieve incredible worldwide success with their current health insurance plan. In 2007, Aetna acquired the 'Goodhealth' plan and it has has remained relatively unchanged since it launched in the early 1990s.
Aetna's current plan, which is similar to many others from its time, has four levels to choose from, each with increasing amounts of coverage. In recent years however, Aetna and Pacific Prime analysts have noticed that clients are beginning to demand more flexible options, such as with Bupa's new successful Worldwide Health Options (WHO) plan, which allows clients to pick and choose what they need and pay accordingly.
The analysts at Pacific Prime believe that Aetna's decision to offer such significant discounts is a sign that the international market for health insurance is becoming increasingly competitive, placing price-pressure on Aetna and other successful insurers. Many newer insurance companies have been emerging with plans tailored specifically to today's needs, and the popularity of Aetna's Individual plan is beginning to show signs of slowing in markets such as Asia and Europe. In the Middle-East however, where Aetna has achieved widespread brand recognition, Aetna's business remains strong.
The recent discounts are likely to increase sales for Aetna in the short run, and Pacific Prime analysts expect the insurer to make additional long-term alterations to their plan in the near future, ensuring that they continue to find success in the increasingly competitive international market.