Medical
tourism to Latin American
is on the cusp of booming
I
have long been convinced that medical tourism will be one
of Latin America's biggest industries in the 21st century.
On a visit to Panama City recently, I got a glimpse of the
coming boom. It's not just that 100 million Americans will
reach retirement age over the next 30 years, and growing
numbers of them won't be able to afford ever-rising U.S.
health-care costs. Americans already are traveling to Panama,
Mexico, Costa Rica, Colombia, Argentina and Chile, among
other countries, for heart operations, cosmetic surgery
or dental work at half price, and with more personalized
attention. Before I tell you what I saw here, let me share
with you some figures from a new book by Milica and Karla
Bookman. It quotes United Nations figures as saying that
the $4.4 trillion-a-year travel and tourism industry has
in recent years become the world's largest industry, bigger
than the defense, manufacturing, oil and agriculture sectors.
And in many countries, medical tourism is becoming an increasingly
growing slice of the travel and tourism sector. (more)
"Several
decades ago, when exotic-locale tourism first took off,
the attraction was the three S's: sun, sand and sex,"
the authors write. "The three S's of developing countries
have now been replaced by four S's: sun, sea, sand and surgery."
Thailand
receives 400,000 medical tourists a year and Costa Rica
about 150,000, it says. And one of the reasons Spain's economy
is growing twice as fast as that of most of its neighbors
is that hundreds of thousands of German, Swedish and British
retirees are living several months a year in Spain, enjoying
the warm weather, good life and cheaper health care.
Recently, I visited Panama City's brand-new Punta Pacifica
Hospital, affiliated with the United States' Johns Hopkins
hospitals. Foreigners — mostly Americans without medical
insurance or seeking services not covered by their insurance
and Canadians who don't want to wait eight months for an
operation in their country's socialized health system —
already make up about 25 percent of the new hospital's patients.
Rolando
Bissot, the hospital's medical director, told me that a
simple coronary bypass surgery that costs $60,000 in the
United States costs $30,000 at his hospital in Panama. And
a breast implant that goes for $12,000 in the United States
is performed for $6,000 here, he said. In Argentina, Brazil
and Colombia, these procedures are even less expensive.
But
will Americans trust Panamanian doctors? I asked. They already
do, he said.
Bissot
noted that many U.S. doctors are foreign-born. Indeed, the
New England Journal of Medicine says that 25 percent of
U.S . doctors studied abroad, and 60 percent of these doctors
studied in developing countries.
The
65-bed Punta Pacifica Hospital is not only routinely supervised
by Johns Hopkins inspectors, but three of its doctors are
U.S.-certified surgeons who perform the same procedures
in Miami and New York hospitals, Bissot said.
One
of them, orthopedic surgeon Jose Jaen of Miami, told me
in a telephone interview that he often tells his U.S . patients
who can't afford an operation in the United States to have
it done in Panama.
"It's
the same surgeon, the same operation and the same orthopedic
treatment that the patient would get in my Miami clinic,
but at half the price," Jaen told me. "And that
includes airfare and hotel."
My
opinion: The big challenge for Latin America will be to
get its hospitals accredited by the Joint Commission International,
the international branch of the U.S. agency that accredits
U.S. hospitals.
So
far, while China, India and several other developing countries
have JCI-accredited hospitals, in the Americas outside the
United States and Canada only hospitals in Brazil and Bermuda
have reached that level, according to the JCI Web page.
(Mexico, Costa Rica and Panama, among others, are applying
for accreditation.)
But
we're witnessing the beginning of a booming industry that
will expand to retirement communities, health-focused hotels
and spas for all kinds of treatments. Much like Spain, Latin
American countries may dramatically improve their standards
of living by becoming hosts to rich countries' retirees.
And
if the competition helps put downward pressure on U.S. health-care
costs, there will be even more reasons to celebrate. |