Forget career opportunities, a more relaxing lifestyle and tax-free salaries; healthcare is one of the major factors that influence expat choices of new destinations.
The insight comes from a new survey by international insurance giant Zurich, which looked at the reasons why expats choose to live and work in specific places.
Money and job security play a large role in selecting where expats go, but health insurance is just as crucial, the study revealed.
Health provision and effective insurance was ahead of schooling for children and pensions, including Qualifying Recognised Overseas Pension Schemes (QROPS) for expats.
The United States and Canada led the way as the most popular expat destinations, with nearly a third of expats voicing North America as their destination of choice.
How expats decide where to go
Austria, Germany and Switzerland were second with 29% of expats, while Australia and New Zealand were close behind with 28% plumping for a new life.
Expats also revealed the key factors in their decision to move overseas. The top considerations were –
- Job security (43%)
- Low crime rates (39%)
- Political stability (38%)
Insurance, says the research, is also important for 22% of expats, who quoted reliable health and disability insurance as crucial.
In contrast, 20% consider pensions and 14% good schooling.
By nationality, Austrians nearly half (49%) put health insurance at the top of their expat ‘must have’ checklist, followed by 44% of Germans.
Russians worry about natural disasters
Australians and Mexicans have less health worries (10% each), but look for low crime rates.
Russians have concerns about natural catastrophes (24%), while the Spanish, Italian and Portuguese almost completely disregard this worry.
Meanwhile, in a separate survey, Zurich also disclosed many United Arab Emirates expats are not putting any money aside as retirement savings.
A massive 60% of over 40s told the firm they have no pensions or plans for saving for retirement other than relying on end-of-term gratuities when they give up their posts.
Jawed Barna, chief executive at Zurich International Life, Middle East and Africa explained many UAE residents wrongly assume that their end of service gratuity or property investments will finance their retirement.
“Many are simply ignoring the need to safeguard their financial future,” he said.
“People should not wait until later in life to start planning for retirement. The best financial advice I ever received was to start saving for my retirement in my 20s.”
Oh yes, this is a HUGE stress for many of us!