Healthcare is a fundamental right for everyone, but the National Health Service (NHS) in the UK is not enough to cater to everyone’s needs. In such a scenario, private medical insurance can be a saviour. It covers the costs of private medical treatment in case of illness or injury. This article aims to provide a comprehensive guide to private medical insurance in the UK.
What is private medical insurance?
Private medical insurance, also known as private health insurance, is an insurance policy that covers the expenses of private medical treatments. It is a way to pay for private healthcare services, such as consultations, tests, surgeries, and hospital stays. Private medical insurance pays for the costs of treatments in private hospitals or wards, which offer better accommodation facilities and shorter waiting periods than NHS hospitals.
Private medical insurance policies vary in terms of cover, premiums, excess, and exclusions. The policyholder pays a monthly or yearly premium to the insurer, who covers the costs of the treatments up to a certain limit or level of cover. The policyholder can choose the level of cover, which varies from basic to comprehensive, depending on their needs and budget.
Why do people choose private medical insurance?
There are several reasons why people choose private medical insurance:
Reasons |
Explanation |
|---|---|
Shorter waiting times |
Private hospitals offer quicker access to medical treatments than NHS hospitals. |
Better facilities |
Private hospitals have better accommodation facilities and amenities, such as private rooms, en-suite bathrooms, TV, and Wi-Fi. |
More choice |
Private medical insurance offers more choices in terms of healthcare providers, specialists, and treatments. |
Peace of mind |
Private medical insurance provides peace of mind that one can access the best possible medical care without worrying about the costs. |
How does private medical insurance work?
Private medical insurance works by covering the costs of medical treatments, such as consultations, tests, surgeries, and hospital stays, in private hospitals or wards. The policyholder pays a monthly or yearly premium to the insurer, who covers the costs of the treatments up to a certain limit or level of cover.
Private medical insurance policies vary in terms of cover, premiums, excess, and exclusions. The policyholder can choose the level of cover, which depends on their needs and budget. The higher the level of cover, the higher the premium.
What does private medical insurance cover?
Private medical insurance covers the costs of medical treatments, such as consultations, tests, surgeries, and hospital stays, in private hospitals or wards. The level of cover varies from basic to comprehensive, depending on the needs and budget of the policyholder.
Basic cover usually includes inpatient and day-patient treatments, such as surgeries, tests, and hospital stays. Comprehensive cover includes outpatient treatments, such as consultations, physiotherapy, and diagnostic tests. Some policies also cover complementary therapies, such as acupuncture, chiropractic, and osteopathy.
What does private medical insurance not cover?
Private medical insurance does not cover pre-existing medical conditions, chronic illnesses, and cosmetic treatments. It also does not cover emergency treatments, such as ambulance services and accident and emergency (A&E) departments, as these are already covered by the NHS.
Some policies have exclusions for mental health, pregnancy, and childbirth, as these require specialist care and facilities, which are not always available in private hospitals. Some policies also have restrictions on the choice of hospital and specialist, as they have a network of preferred providers.
How to choose the right private medical insurance?
Choosing the right private medical insurance can be a daunting task, as there are many policies and providers in the market. Here are some factors to consider:
Level of cover
The level of cover depends on the needs and budget of the policyholder. Basic cover usually includes inpatient and day-patient treatments, while comprehensive cover includes outpatient treatments as well. Some policies also have add-ons, such as dental and optical cover.
Premiums
The premiums depend on the level of cover, excess, and individual factors, such as age, health, and lifestyle. The higher the level of cover, the higher the premium. The excess is the amount that the policyholder pays towards the cost of treatments before the insurer starts paying.
Exclusions and restrictions
The policy’s exclusions and restrictions should be carefully checked, as they vary from one policy to another. The policyholder should make sure that they are not excluded for any pre-existing medical conditions or treatments they may require in the future.
Choice of hospital and specialist
The policy’s choice of hospital and specialist should be checked to ensure that the policyholder can access the best possible medical care. Some policies have a network of preferred providers, while others offer more choices.
How to buy private medical insurance?
Private medical insurance can be bought from insurance brokers, comparison websites, and directly from insurers. Here are some steps to follow:
Compare policies
The policies should be compared in terms of cover, premiums, excess, exclusions, and restrictions. The policyholder should choose the right level of cover, excess, and add-ons, depending on their needs and budget.
Check insurer’s reputation
The insurer’s reputation should be checked in terms of financial stability, customer service, and claim settlement. The policyholder should make sure that the insurer has a good track record and reviews.
Declare pre-existing medical conditions
The policyholder should declare any pre-existing medical conditions, as they may affect the premiums, excess, and cover. Non-disclosure may lead to the policy being cancelled or claims being rejected.
Buy online or through a broker
The policy can be bought online or through a broker. Buying online may be cheaper, but it may not provide personalised advice. Buying through a broker may be more expensive, but it may provide more guidance and assistance.
FAQs
Who can buy private medical insurance?
Private medical insurance can be bought by anyone who wants to pay for private healthcare services. It is usually bought by individuals, families, and businesses.
Is private medical insurance expensive?
Private medical insurance can be expensive, depending on the level of cover, excess, and individual factors, such as age, health, and lifestyle. Basic cover may cost a few hundred pounds a year, while comprehensive cover may cost a few thousand pounds a year.
Is private medical insurance worth it?
Private medical insurance can be worth it, depending on the needs and budget of the policyholder. It provides quicker access to medical treatments, better facilities, more choice, and peace of mind. However, it does not cover emergency treatments, pre-existing medical conditions, chronic illnesses, and cosmetic treatments.
Can private medical insurance be used abroad?
Private medical insurance can be used abroad, depending on the policy’s terms and conditions. The policyholder should check whether the policy covers medical treatments abroad and emergency repatriation.
How to make a claim on private medical insurance?
A claim on private medical insurance can be made by contacting the insurer or the hospital. The policyholder should provide the policy details and the medical history. The insurer may ask for more information or evidence, such as medical reports or receipts.
What are the alternatives to private medical insurance?
The alternatives to private medical insurance are self-insuring, using the NHS, or buying health cash plans or critical illness cover. Self-insuring means saving money for medical treatments. Using the NHS means relying on the free healthcare services provided by the government. Health cash plans and critical illness cover provide fixed payouts for specific illnesses or treatments.
Conclusion
Private medical insurance is a way to pay for private healthcare services, such as consultations, tests, surgeries, and hospital stays. It provides quicker access to medical treatments, better facilities, more choice, and peace of mind. However, it is not cheap, and it does not cover emergency treatments, pre-existing medical conditions, chronic illnesses, and cosmetic treatments. The policyholder should carefully choose the right level of cover, excess, and add-ons, depending on their needs and budget. They should also check the insurer’s reputation, declare any pre-existing medical conditions, and compare policies before buying.