Hospital beds abroad cost 44 times more than travel insurance

Finder compared the cost of a hospital bed against quotes for a basic travel insurance policy for 30-year-old traveller on a one-week trip between 2 and 9 July, in 10 popular travel destinations.

Finder drew upon data sourced from the World Health Organization (WHO), Covermore and Airbnb.

The research found that on average, hospital beds would cost travellers 44 times more than purchasing a travel insurance policy – with the cost in some countries being substantially higher than this average.

This was most pronounced in the UK, where the average cost of a hospital bed per night (US$1,125) was 125 times the daily cost of a basic insurance policy ($9). Similarly in Singapore, the average cost of a hospital bed per night ($1,168) was 97 times the daily cost of a basic insurance policy ($12).

Other offending nations included Japan, New Zealand and the US, where the cost difference between hospital beds and travel insurance was 75, 81 and 45 times larger, respectively.

On the other end of the scale, the cost of a hospital bed in India ($17) is almost at parity with the cost of travel insurance ($12) – however, even there travellers could make substantial savings by purchasing a basic travel insurance policy.

The figures highlight the potential cost benefits of buying travel insurance

The research also compared the two figures to the price of saying in an Airbnb rental in the capital city of each country (except in the US, where New York City was used instead). Finder found that in six of the 10 destinations surveyed, travellers would have to pay more for a hospital bed than they would for an Airbnb.

This was most pronounced in Singapore, where the daily cost of a hospital bed ($1,168) was 13 times higher than that of an average Airbnb rental in the city per night ($90).

According to Graham Cooke, Head of Consumer Research at Finder, the figures showed that skipping travel insurance when planning a trip abroad could have a serious negative financial impact if something goes wrong.

“Healthcare costs overseas will cost you an arm and a leg, which is the last thing you want to be worrying about if something goes wrong,” he said. “A basic insurance policy on the other hand comes in between $10 and $20 per day, and you can reduce this cost by increasing your excess if you like. It's always a good idea to take out insurance as soon as you book your trip. That way, if something happens – for example, if you catch Covid – you'll be covered.”

He warned that if travellers attempted to take out a policy after an incident has already happened, their claim will be rejected.