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  • Ahsan Malyk

Can You Use Canadian Health Insurance in the US?

When Canadians relocate outside of the country for a new career or other reasons, they do not get the same high level of medical treatment as their fellow citizens in Canada. As a result, Canadian ex-pat insurance and other healthcare-related difficulties are far more complicated than they first seem to be.


Therefore, what form of health insurance coverage is necessary for Canadians who move outside of the country? It is dependent on the length of time you want to spend living outside of the nation.


Your Canadian healthcare coverage will end between six and eight months after you move outside of the country. However, there are exceptions for students and other groups who fall into certain categories.


Your anticipated timetable will determine whether you need replacement insurance coverage or extra health insurance. This is to cover aspects of your medical treatment that your provincial healthcare plan does not cover!


Both of these options will keep you covered in the event that the length of your vacation makes you ineligible for medical coverage under your Canadian health insurance plan.


Insurance Coverage for Canadians Residing Outside of Canada


When they find out that their provincial health insurance does not offer full coverage while they are living outside of Canada, many Canadians who have moved abroad are taken aback.


Many states and provinces provide some kind of compensation for medical expenses. However, the amount is often quite little in comparison to the total cost of treatment. We are discussing a reimbursement of fifty dollars for a visit to the emergency department. However, it might cost several thousand dollars.


If you move outside of Canada and stay there for a long time, you'll lose your eligibility for medical coverage. An international health insurance plan will give both worldwide coverages as well as advantages specific to the host country. Hence, it comes highly recommended that all expatriates get one.


Insurance for Non-Canadian Citizens and Permanent Residents Who Live in Canada


Another unexpected expense for medical care? Flu vaccine and breastfeeding support centers are just two examples of the services that are offered without charge in Canada. This is owing to the country's many provincial healthcare systems and local public health agencies.


However, in the USA, the cost of these services is rather high.


If you are a Canadian citizen who is working or traveling outside of Canada, you will not have access to the majority of the healthcare services that the Canadian government supports. As a result, you need supplemental health insurance to cover the cost of the gap.


You may be able to get access to these medical treatments with the assistance of comprehensive international health insurance. However, in order to get these advantages, you will need to make a payment rather than receive them for free.


Obtaining Healthcare Insurance Policy in the US


Keep in mind that obtaining a health insurance policy in the United States is not going to be necessary if you want to live in the country as an ex-pat.


However, even when compared to other developed nations, the expense of receiving medical care in the United States remains too expensive. If you want to pay the whole cost out of your own pocket, you could even have to squander your savings.


Because of the high expense of medical care in the nation, we highly recommend that you get insurance to cover all of your requirements. We strongly encourage Canadians to consider purchasing health insurance plans offered by commercial insurance companies in the United States.


Affordable Care Act


The provisions of shared responsibility are laid out in further detail in the Affordable Care Act (ACA), popularly known as Obamacare. Its purpose is to guarantee that all people living in the United States legally are eligible for health insurance that is both of high quality and within their financial means.


The individual requirement does not apply to non-residents during the first five years of their time in the country. This includes foreign students studying in the country under the F, J, M, or Q visa categories.


Exemptions


According to the Affordable Care Act (ACA), persons who fall into the "J category," which includes instructors, trainers, au pairs, students, and tourists, are exempt from the "individual mandate" for a period of two years.


Foreign nationals who live in the US for a short period but do not become resident aliens for purposes of federal income tax are exempt from the individual shared responsibility payment. However, they still have to file a US income tax return.


This is because foreign nationals who live in the US for a short period do not qualify as resident aliens. When a non-citizen moves to the United States and starts earning money there, the Internal Revenue Service classifies them as resident aliens for tax reasons.


The following categories of people have an exemption from this rule:

Individuals who are residents of the nation and are citizens of the United States are subject to the laws of individual shared responsibility.


This provision applies to all permanent residents as well as foreign nationals who have been living in the United States for an amount of time during a calendar year that enables them to qualify as resident aliens for the purposes of the Internal Revenue Service.


In this group are non-resident aliens who, after satisfying certain conditions, make the conscious decision to be regarded in the same manner as resident aliens.


Short-Term Health Insurance Premiums in the United States


Short-term medical insurance begins at around $1.50 per day and may cost more than $10 per day. However, this is for elderly clients. The alternatives offered by international medical insurance vary greatly.


Long-term medical insurance, on the other hand, may cover doctor visits, hospitalization, prescription medicines, lab testing, and chronic illness management. The most basic global medical plan costs between $400 and $500 per year.


However, the most costly but comprehensive plans may cost up to $30,000 to $40,000 per year.


Take Away


The most significant difference between the Canadian and American healthcare systems is health insurance. Around half of all Americans have health insurance via their place of employment.


Typically, a portion of the premium for this private insurance comes out of each employee's paycheck. This is in addition to the employer's contribution. The cost and the scope of coverage of private insurance may vary widely depending on the state and the employer.


Medicaid is often the source of health coverage for the poorest Americans. Medicare provides insurance for those who are 65 and older. On the other hand, those who are employed but live in poverty often do not meet the requirements. Hence, they are never eligible for this government insurance.


Moreover, many employers do not provide health insurance as a perk.


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