Australians love visiting the United States, New York, Los Angeles, Hawaii, the national parks, Las Vegas, and the Pacific Coast Highway are all bucket-list experiences. But the USA carries an insurance risk unlike any other destination on Earth: its healthcare system. A medical emergency in America without adequate insurance can cost hundreds of thousands of dollars.
Why US Healthcare Costs Are So Extreme
The United States does not have universal healthcare. Medical costs are set by hospitals and insurers in a complex negotiation, and foreign visitors without insurance pay list prices, which are staggeringly high:
- Ambulance call-out: AUD $3,000–$8,000
- Emergency room visit: AUD $3,000–$20,000
- One night in hospital: AUD $5,000–$30,000
- Major surgery: AUD $50,000–$500,000
- ICU per day: AUD $20,000–$50,000
What to Look For: USA-Specific Requirements
- Unlimited or very high medical cover: Never travel to the USA with a policy capped below AUD $5M. Unlimited cover is strongly recommended.
- USA explicitly included: Some budget policies exclude the USA due to healthcare costs. Confirm the USA is specifically included.
- No co-pay or gap: Understand whether your policy pays medical costs in full or requires you to pay a portion.
- Pre-existing conditions covered: If you have any health conditions, ensure they’re declared and covered before you leave.
Hawaii: A Common Misunderstanding
Hawaii is a US state and subject to the same healthcare cost structure as the mainland. Do not assume that because Hawaii feels “tropical” and closer to Australia, it’s treated differently by insurers. The same unlimited-medical-cover rule applies.
Bottom Line
Premium aside, and US travel insurance does cost more than Bali or Thailand cover, the cost of not having it is incalculable. A comprehensive US travel insurance policy for 3 weeks typically costs Australians AUD $150–$280. That is an extraordinarily cheap price for the protection it provides.
