We’ve talked about medical tourism before, where patients will seek medical treatment in other countries to save money. It’s been a growing trend over the last several years, and some companies are even beginning to promote the idea among their employees. Now, even insurance companies are hopping on the bandwagon. Nationwide insurer WellPoint has just announced a new pilot program that would offer some of its group members the option of traveling to India for non-emergency medical procedures.

Starting in January 2009, WellPoint will partner with Serigraph, Inc., a specialty paper printing company based in Wiscosnin. The pilot program will be offered to Serigraph employees and their dependents. As part of the plan, patients will have the option to travel to India with a companion, at no travel or other out-of-pocket costs, for procedures like joint-replacement surgeries, and upper and lower back fusion. WellPoint case mangers will work with Joint Commission International-accredited hospitals in the Indian cities of Bangladore and New Delhi. The case managers will also help patients arrange their travel and medical arrangements. WellPoint has guaranteed that the pilot program meets all medical tourism standards of the American Medical Association.

The cost discrepancy for medical treatments in the United States versus those in other countries can be quite dramatic. Razia Hasmi, chief medical officer of Anthem National Accounts for WellPoint, has noted the following contrast: a knee replacement surgery in the United States could cost between $60,000 and $70,000 for the procedure, follow-up care, and other costs. However, in India, the same procedure would cost between $8,000 and $10,000, which includes a 15-day stay for rehabilitation.

Although patients, employers, and insurance companies find the idea of medical tourism to be intriguing, health care providers consider it a bit intimidating. US hospitals will be losing money, since these procedures will be moving overseas. They fear they will have to start raising the costs of other procedures, in order to make up for the loss.