Private health insurers are not obliged to accept you. So anyone who is over 55 years of age or is not perfectly healthy has little chance of obtaining private health insurance and still less comprehensive insurance with international cover. For this reason in particular, it is advisable to check out the insurance situation in detail before moving abroad. It may make sense to change over to an international health insurance scheme several years before a possible move abroad in order to be assured of the necessary flexibility later on. Even if no transfer of residence is planned, but one wishes to be optimally insured against sickness and accident, a detailed check of all options is worthwhile. It may even be of benefit to take out international health insurance in this case.
Anyone staying abroad frequently or planning to move to another country permanently should arrange insurance cover independently of residence and sojourn – i.e. inclusive of any subsequent moves or even a return to one’s home country at a later stage. Such cover will ideally permit an unrestricted choice of doctor and hospital worldwide.
Checklist: International health insurance
In selecting suitable health insurance, care should be taken to consider the following points, which are listed below in the form of a brief checklist:
• Worldwide cover at reasonable premiums. It is also important to consider premiums in higher age brackets
• Free choice of physician and hospital worldwide without restrictions
• No restrictions on the policyholder’s residence and duration of stay, even in the event of a later permanent return to the home country
• Guaranteed lifelong policy renewal, even in the event of a later change of residence, or illness of longer duration etc.
• Efficient processing in the event of a claim
• Multilingual emergency service manned around the clock throughout the year
• Insurance company that is well known and has a good reputation as well as broad experience in the domain of international health insurance
• Consult with an independent consultant who specializes in international health insurance
1.8 International residential real estate
One of the key factors when changing residence is the question of where one will physically reside. Ownership of real estate satisfies a basic human need, and to acquire a piece of property in an attractive location is equivalent to gaining a desired quality of life, and it is often also a sensible asset diversification.
However, it is recommended that initially you rent a comparable property in an area that could eventually be the location that you would settle. By renting, it gives you an opportunity to learn about the area before committing capital for the purchase.
Many countries allow foreign nationals to acquire real estate without restrictions. However, there are countries where permits are required to purchase property as a foreign national, or where property acquisition is limited to nationals of the country. The acquisition and ownership of real estate in a new country raises legal and tax issues that are often unsuspected by those concerned. Private acquisitions of real estate are frequently made without any accurate knowledge of the legal, tax and economic background particular to the country.
Value maintenance and capital growth will also play a vital role. So it is important to clarify these key factors before acquiring real estate in order to be protected from unexpected devaluation, legal and tax consequences. While this applies to real estate in general, it is particularly true for property located in a different jurisdiction especially one with onerous legal systems and linguistic limitations.
It is generally an advisable risk-averse approach to appoint lawyers, tax experts, architects and trustworthy real estate agencies familiar with local expertise. The costs incurred will almost always be offset by the smooth and correct handling of the issues and procedures involved.
Other countries have different habits and different legal systems especially in respect of real estate and tax law, which may assume very different forms in the various countries. So foreign acquirers of real estate should not let themselves be guided by their inherent feeling for what is right, but must inform themselves in an unprejudiced way about the circumstances prevailing locally. Still, the acquisition of real estate is safe in most countries as long as certain basic rules are observed.
Finding the right property
Although common knowledge, it is nevertheless worth remembering that location is the most important factor in the selection of any piece of real estate. Special care must also be taken to determine how the environment may change in the future. It is important to be aware of construction of projects for freeways, airfields, power lines, waste dumps or similar major developments that are planned in the area. One should also know in which construction zone the building plot and its surrounding plots are situated (might a neighbor add another level to his property and in doing so, obscure the marvellous lake view?).
The best way to gain certainty about these factors is to buy an existing property in surroundings which are already well developed and in which re-zoning is unlikely. If there are still many undeveloped plots of land around a property, it is hard to estimate how the surroundings and perhaps the entire appearance of the locality may change. Many location factors must be considered, above all the quality of the local municipality. The improvement of the location is critical for any future gain on the value of the property. Improvements to infrastructure such as transport links and shopping facilities will have a positive impact whereas construction of freeways will have a negative impact. In making an estimate of the future potential growth in value of a property, it is always worthwhile clarifying the planned and future development of the residential area in which it is located as well as any changes in local infrastructure prior to the purchase.
Also the quality of the location within the municipality where the property is situated is important as this will affect everyday life. Is the house located on a good street in a quiet area? Where are the nearest shops, banks, post offices, schools and kindergartens, high schools, location of evening classes, restaurants and sports facilities? Are there cultural facilities nearby? How easily can the property be reached by public transport? Where is the nearest national or international airport? Where is the nearest rail station? What are the connections like? How far is it to the nearest highway or freeway? How close is the nearest healthcare facility, and where are the nearest major hospitals?
Important aspects of the property itself are the size and shape of the plot, the orientation of the building and its exposure to sunlight, the view as well as the extent to which it is overlooked by neighbors. Tranquillity is important - noise, especially from busy roads and airports, should not be underestimated. Intrusive odors also represent an important factor (proximity to paper factories, pig farms, food-processing establishments etc.). Exposure to wind plays a significant role in many areas (for example the Mistral in southern France or the Bora in Dalmatia). A secluded outside patio can be very attractive, but excessive exposure to wind can make conditions quite disagreeable outside the house, on the patio or in the garden.
Furthermore, pollution levels must be considered such as the extent of emissions and pollution from fumes. Therefore it is important to be far away from filling stations, covered car parks and busy roads. Likewise, one should be sufficiently far away from high-tension lines and mobile phone network antennas.
Where buildings are constructed on a slope, excessive water pressure and thus damp masonry may be a problem. Any danger of natural hazards must also be clarified. Landslides, avalanches, earthquakes, forest fires as well as flooding, tidal waves and tornadoes may present considerable risks in certain areas. The situation and construction of the property must be carefully considered to estimate the real risks.
Certain special features must be considered in the case of rural and agricultural