Claiming Insurance with Exchange rate

Relic4

I've tried to search but quite hard to word this problem, so cant find any info on it.

I paid part of my health insurance hospital bill in July, I've now come to reclaim it in October. I went to a Thai hospital

The insurers are saying that they are reimbursing me on the exchange rate on the day I paid the bill.
I think they rate should be on the day they pay me back.

My reasoning is that the fact remains that $1000 (a round figure for arguments sake) then is still 1000 now, the conversion rate just accounts for that based on other factors

Whilst I feel strongly that I'm right I'd like to know if anyone has experience or knowledge in this area to confirm or refute my feelings.

Thanks
Al

Quentin

If you are being reimbursed based on the rate you paid the bill then you are getting paid exactly what it cost you

You wouldn't be happy if the pound had dropped since you paid if they paid out on the exchange rate at the date of reimbursement

rs65

Your loss was at the date it happened not today. I think they are acting correctly.

roonaldo

Relic4 wrote: »

I think they rate should be on the day they pay me back.

It doesnt matter as they are correct.

InsideInsurance

Relic4 wrote: »

I've tried to search but quite hard to word this problem, so cant find any info on it.

I paid part of my health insurance hospital bill in July, I've now come to reclaim it in October. I went to a Thai hospital

The insurers are saying that they are reimbursing me on the exchange rate on the day I paid the bill.
I think they rate should be on the day they pay me back.

My reasoning is that the fact remains that $1000 (a round figure for arguments sake) then is still 1000 now, the conversion rate just accounts for that based on other factors

Whilst I feel strongly that I'm right I'd like to know if anyone has experience or knowledge in this area to confirm or refute my feelings.

Thanks
Al

Would you still think the same if the the baht had collapsed?

So to carry on your idea of using round numbers and US$....

You paid $10,000 for your treatment with an exchange rate of 1:1.5 meaning your credit card was billed £6,666.67 plus any fees

Their currency collapses and so now rather than it being 1:1.5 it is now 1:3

So based on your suggestion rather than paying you £6,666.67 which you paid they only have to pay you £3,333.33

Are you really saying you'd prefer that??

Obviously if the pounds the one that has collapsed then then you'd be quids in but it is certainly fairer to use the same exchange rate as you basically will have paid and thus leave you in a neutral position (as is the very idea of insurance) rather than risk you being in a much better or worse position due to currency movements.

Relic4

it was an international hospital so the billing was in USD, which is a reasonably stable currency.

You've bent my thoughts and see it a little fairer, unfortunately I'm on the other side and losing a small amount. I'm not so fussed at that but more the way the company has dealt with my claim originally saying they didn't have the documents I sent. After to'ing and fro'ing its got to numbers and I was on the war path. I've calmed down a bit now.

thanks for the replies, time to get my money!