Health Insurance for Students Abroad: Guide for Nepali Students
Health insurance is a mandatory requirement for international students in Australia, the UK, Canada, and the USA. Without the right insurance, you cannot get your visa (Australia, UK), you risk financial ruin from a single hospital visit (USA), or you may not be able to access healthcare at all. This guide explains the health insurance system in each of the 4 major destination countries, what is covered, how much it costs, and how to choose the right plan.
This is part of your study abroad application process. Plan your health insurance budget as part of your overall financial documentation.
Australia: Overseas Student Health Cover (OSHC)
Overseas Student Health Cover (OSHC) is mandatory for all international students in Australia on a Student Visa (Subclass 500). You must purchase OSHC before submitting your visa application — your OSHC policy number is required in the visa application form. OSHC must cover the entire duration of your student visa.
What OSHC Covers
- Doctor (GP) visits — including after-hours clinics
- Hospital treatment — both public and some private hospitals
- Prescription medications listed on the Pharmaceutical Benefits Scheme (PBS)
- Pathology tests, X-rays, and diagnostic imaging
- Ambulance services (varies by provider and state)
- Some mental health services
- Emergency dental (limited, depends on provider)
OSHC Providers and Costs (2026)
| Provider | Annual Cost (AUD) | Annual Cost (NPR approx.) |
|---|---|---|
| Medibank | AUD 636 | ~NPR 56,000 |
| Bupa | AUD 648 | ~NPR 57,000 |
| Allianz Care (formerly Iman) | AUD 612 | ~NPR 54,000 |
| AHM | AUD 624 | ~NPR 55,000 |
| nib | AUD 660 | ~NPR 58,000 |
Tip: Many Australian universities have a preferred OSHC provider that offers a slightly discounted rate. Check with your university before purchasing. You can switch OSHC providers during your studies, but it is simpler to choose the right one from the start. For more on Australia, read our study in Australia guide.
What OSHC Does Not Cover
OSHC does not cover elective or cosmetic dental treatment, optical (glasses, contact lenses), physiotherapy (unless referred), pre-existing conditions during the first 12 months (waiting period), pregnancy-related services for the first 12 months, or treatment in your home country. If you want dental, optical, or extras cover, you can purchase a separate Extras policy from the same or a different provider, typically costing an additional AUD 200 to AUD 400 per year.
UK: Immigration Health Surcharge (IHS)
The UK uses the Immigration Health Surcharge (IHS) system. When you apply for a UK Student Visa, you pay the IHS upfront as part of your visa application. This gives you access to the National Health Service (NHS) on the same basis as a UK resident. The IHS is mandatory — you cannot skip it.
IHS Cost
The IHS rate for students is GBP 776 per year (approximately NPR 130,000 per year). For a 2-year master's program, you pay approximately GBP 1,552 (NPR 260,000). For a 3-year bachelor's program, you pay approximately GBP 2,328 (NPR 390,000). The IHS must be paid in full before your visa application is submitted. It is paid online during the visa application process on gov.uk.
What NHS Covers with IHS
- GP (General Practitioner) visits — free at point of use
- Hospital treatment — including A&E (emergency), surgery, and specialist care
- Mental health services through NHS
- Maternity care
- Prescription medications (you pay a flat fee of GBP 9.90 per prescription in England; free in Scotland, Wales, and Northern Ireland)
- Sexual health services
Not covered by NHS: Dental treatment (except emergencies), eye tests and glasses (except for certain groups), cosmetic procedures. For dental and optical care, consider a private insurance top-up or pay out of pocket. A dental checkup in the UK costs approximately GBP 25 under NHS Band 1 charges. For complete UK cost information, see our UK study cost guide.
USA: University Health Insurance Plans
The USA does not have a national health insurance system for international students. Instead, most universities require you to enroll in the university's Student Health Insurance Plan (SHIP) or provide proof of equivalent private insurance. Healthcare in the USA is extremely expensive without insurance — a single emergency room visit can cost USD 2,000 to USD 10,000. Health insurance is not optional.
University Health Plans
Most US universities automatically enroll international students in their SHIP. The cost is typically USD 1,500 to USD 3,000 per year (NPR 200,000 to NPR 400,000). The fee is usually added to your tuition bill each semester. University plans typically cover doctor visits, hospitalization, emergency treatment, prescription drugs, mental health counseling, and preventive care. Some universities allow you to waive the SHIP if you have equivalent private insurance, but the requirements for waiver-eligible plans are strict.
Key Terms for US Health Insurance
Premium
The amount you pay for insurance coverage, usually per semester or per year. This is the base cost of your plan.
Deductible
The amount you must pay out of pocket before insurance starts covering costs. University plans typically have deductibles of USD 100 to USD 500 per year.
Copay
A fixed amount you pay for each doctor visit or prescription. Typically USD 15 to USD 30 per visit.
Coinsurance
The percentage of costs you share with the insurer after meeting your deductible. For example, 80/20 means the insurer pays 80% and you pay 20%.
Out-of-Pocket Maximum
The maximum amount you will pay in a year. After reaching this limit, insurance covers 100% of covered services. This protects you from catastrophic medical bills.
In-Network vs Out-of-Network
Insurance plans have networks of preferred doctors and hospitals. Using in-network providers is significantly cheaper. Always check if a provider is in-network before visiting.
For complete information on costs, see our USA study cost guide.
Canada: Provincial Health Insurance and Private Plans
Canada's health insurance system for international students varies by province. Some provinces include international students in their provincial health plan (free or low cost), while others require private insurance. Here is a province-by-province breakdown.
| Province | Coverage for Intl Students | Cost | Waiting Period |
|---|---|---|---|
| British Columbia | MSP covers intl students | Free (BC MSP) | Up to 3 months |
| Alberta | AHCIP covers intl students | Free | 3 months |
| Saskatchewan | Covers intl students | Free | 3 months |
| Ontario | NOT covered | CAD 600-900/year (UHIP) | None |
| Quebec | NOT covered (except certain agreements) | CAD 800-1,000/year | None |
| Manitoba | NOT covered | CAD 600-800/year | None |
| Nova Scotia | Covers intl students | Free (MSI) | None |
| New Brunswick | NOT covered | CAD 600-800/year | None |
If your province does not cover international students, your university will typically offer a University Health Insurance Plan (UHIP) or similar. In Ontario, UHIP costs approximately CAD 756 per year (NPR 75,000). Some universities include this in the tuition fee, while others bill it separately.
Waiting period note: During the 3-month waiting period in provinces like BC and Alberta, you need temporary private insurance. Your university's international student office typically arranges this. Budget approximately CAD 100 to CAD 200 for the temporary coverage period.
For more on Canadian study costs and planning, see our Canada study cost guide.
Health Insurance Cost Comparison by Country
| Country | Insurance Type | Annual Cost | NPR Equivalent |
|---|---|---|---|
| Australia | OSHC (mandatory) | AUD 612-660 | NPR 54,000-58,000 |
| UK | IHS (mandatory) | GBP 776 | NPR 130,000 |
| USA | University SHIP | USD 1,500-3,000 | NPR 200,000-400,000 |
| Canada (covered province) | Provincial health | Free | Free |
| Canada (non-covered province) | UHIP/Private | CAD 600-1,000 | NPR 60,000-100,000 |
Canada offers the most affordable health coverage overall (free in several provinces). Australia's OSHC is the second most affordable. The UK's IHS is expensive but gives full NHS access. The USA has the highest health insurance costs. Factor health insurance into your total country comparison when choosing your destination.
Tips for Managing Health Insurance Abroad
Register with a Doctor Immediately
In the UK, register with a local GP within the first week. In Australia, find a bulk-billing GP near your campus. In the USA, learn where the campus health center is. In Canada, register for provincial health on Day 1 if eligible.
Keep Your Insurance Card Accessible
Save your insurance card (physical and digital) in your phone and wallet. In an emergency, you need to provide your insurance details. For OSHC in Australia, download your provider's app for a digital card.
Understand Claiming Process
Learn how to claim before you need to. In Australia, OSHC claims can be submitted online or through the provider's app. In the USA, keep all receipts and Explanation of Benefits (EOB) documents. In the UK, most services are free at point of use with no claims needed.
Know Emergency Numbers
Australia: 000. UK: 999 or 111 (non-emergency). USA: 911. Canada: 911. Save these numbers in your phone. For non-emergency medical issues, use your GP, campus health center, or urgent care clinic rather than the emergency room.
Frequently Asked Questions
Is health insurance mandatory for international students?
Yes, health insurance is mandatory for international students in most destination countries. Australia requires Overseas Student Health Cover (OSHC) as a visa condition. The UK requires payment of the Immigration Health Surcharge (IHS) before visa application. Canada requires proof of health insurance, and some provinces provide coverage while others require private insurance. The USA requires health insurance through the university or a private plan that meets university requirements.
How much does student health insurance cost?
Costs vary significantly by country. Australia OSHC: AUD 600-700 per year (NPR 53,000-62,000). UK IHS: GBP 776 per year (NPR 130,000). USA university health plans: USD 1,500-3,000 per year (NPR 200,000-400,000). Canada: free in some provinces (BC, Alberta, Saskatchewan) or CAD 600-900 per year for private insurance in other provinces (NPR 60,000-90,000).
Can I use my Nepal health insurance abroad?
No. Health insurance from Nepal is not accepted by universities or immigration authorities in any destination country. You must purchase health insurance that meets the specific requirements of your destination country. Nepal-based insurance policies do not provide coverage abroad and are not recognized by foreign healthcare systems.
What does student health insurance typically cover?
Most student health insurance plans cover doctor visits, hospital stays, emergency treatment, prescription medications, pathology tests, and X-rays. Coverage varies by plan and country. Some plans also cover mental health services, dental emergencies, and ambulance transport. Pre-existing conditions may have waiting periods. Always read the Product Disclosure Statement (PDS) carefully before purchasing.
When should I buy health insurance for studying abroad?
For Australia, purchase OSHC before submitting your visa application — it is a visa requirement. For the UK, pay the IHS during the online visa application. For the USA, university health plans are typically activated at enrollment — your university will guide the process. For Canada, apply for provincial health coverage upon arrival in provinces that offer it, or purchase private insurance before traveling.
Need Help Choosing the Right Health Insurance?
We have helped over 1,500 Nepali students navigate the health insurance process for every major destination country. We will help you choose the right plan and factor it into your budget.
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