Public hospitals without a public insurance plan

The Hospital Authority runs Hong Kong’s public hospitals and clinics, and its charges are heavily subsidised. Nobody pays into a contributory scheme. Instead, status as an Eligible Person decides who pays the subsidised rate: holders of a Hong Kong Identity Card (HKID), resident children under 11, and others the Authority’s Chief Executive approves. A card that rests on an earlier permission to stay that has since expired does not count.

Non-eligible persons pay higher public charges, and some services are billed at non-subsidised rates. Revised charges for both groups took effect on 1 January 2026. For a remote hire, the identity card and residence status shape what public care costs, and the Authority’s fee page is the place to see the current schedule.

Employees’ compensation, the one compulsory policy

The Labour Department’s guide to the Employees’ Compensation Ordinance (Cap. 282) explains that it covers all full-time and part-time employees in Hong Kong for injury or death at work and for specified occupational diseases, and that compensation includes medical expenses. Employers must insure that liability. No similar rule exists for general medical insurance.

Sick pay sits in a different law. Under the Employment Ordinance, an eligible employee on paid sick leave receives a sickness allowance of four-fifths of average daily wages. That replaces wages; it does not settle a hospital or clinic bill.

The MPF is for retirement

Hong Kong’s main statutory payroll contribution is the Mandatory Provident Fund. It is a retirement scheme, not health cover. Employer and employee each contribute 5% of relevant income between minimum and maximum income levels. The employer’s share starts on the first day of employment, while a new employee gets a 30-day contribution holiday for their own part.

Hiring without a Hong Kong company

EOR guides say a US business with no Hong Kong entity typically hires through an employer of record, which employs the person through its own Hong Kong company, registers them for MPF and employees’ compensation insurance, and files with the Inland Revenue Department. Group medical is typically sold as an add-on to the base service.

A genuine independent contractor sits outside the employee protections of the Employees’ Compensation Ordinance and arranges their own medical cover. Calling someone a contractor does not make them one, so check with a local adviser before choosing that route.

Group medical and how it is taxed

Benefits guides describe group medical insurance as the standard employer health benefit in Hong Kong, usually covering general illness and hospital stays. With no statutory minimum, the policy you pick defines the benefit: inpatient limits, outpatient care, dependants and treatment outside Hong Kong all differ between plans.

Tax advisers report that premiums an employer pays under its own contract, where the employer alone is liable, are generally not taxable to the employee. Reimbursing a policy held in the employee’s own name is treated differently, and a Board of Review decision, D37/09, held such a reimbursement assessable. Settle the structure before payroll starts rather than untangling it at year end.

VHIS, international plans and authorized insurers

The government’s Voluntary Health Insurance Scheme (VHIS) certifies individual hospital plans that meet minimum standards. Joining is voluntary, and since the 2019/20 year of assessment taxpayers can claim a salaries-tax deduction for Certified Plan premiums paid for themselves and specified relatives, such as a spouse, children, parents and siblings. Insurers present these plans as a way to fill gaps in group cover.

With no statutory plan to replace, an international or global plan can serve as the employee’s main private cover, alongside public hospital access for an Eligible Person. It never replaces employees’ compensation insurance. Who writes the plan matters too. Under the Insurance Ordinance (Cap. 41), only an authorized insurer, Lloyd’s or an approved association of underwriters may carry on insurance business in or from Hong Kong, and the Insurance Authority regulates insurers and runs a separate licensing regime for intermediaries. A law-firm overview notes that an offshore insurer can sometimes underwrite a Hong Kong risk from outside the territory, so which route a given plan takes is for the insurer to determine.

Introductions for Hong Kong teams

Send the basics through the quote form on this page: how many people you employ in Hong Kong, whether they hold an HKID, whether the hire runs through an employer of record, and which family members you want covered. We can introduce you to a benefits partner for international and remote-team health cover, and that partner and the insurer decide eligibility, plan options and price.

Remote staff in Hong Kong still sign in to your systems, so a cyber insurance review fits the same conversation. We request quotes for that line, and the insurer decides after reviewing your controls.

A few useful answers

Common questions

Does a Hong Kong employer have to provide medical insurance?

No law requires general medical insurance. The compulsory policy is employees’ compensation insurance under Cap. 282, which covers work injuries and specified occupational diseases.

Can an international plan be an employee’s only health cover in Hong Kong?

Hong Kong has no statutory health insurance for it to replace, so an international plan can act as the employee’s main private cover. An Eligible Person can still use public hospitals at subsidised rates.

Is employer-paid medical insurance taxable in Hong Kong?

Tax advisers say premiums under the employer’s own contract are generally not taxable to the employee, while reimbursing a personal policy is. A Board of Review case, D37/09, treated such a reimbursement as assessable income.

Do an employee’s children pay local rates at public hospitals?

Resident children under 11 count as Eligible Persons even without their own identity card, so they pay the subsidised charges.

Does the MPF pay for medical care?

No. The MPF is a retirement scheme. Employer and employee each pay 5% of relevant income into it, and it carries no health benefit.

International Health Insurance for Remote Employees in Hong Kong