You are here: Home - Insurance - News -

Cost of Private Medical Insurance on the rise

0
Written by:
29/02/2012
The Association of British Insurers has warned consumers that the cost of Private Medical Insurance has increased by more than the rate of inflation.

The warning come in a guide published by the ABI for people considering buying PMI. It is designed to help potential customers understand the benefits of PMI, why people buy it and how it works, including the likelihood of above inflation price rises

The guide notes that: “Even with the wide range of PMI policies available, it is likely that whatever policy you choose your premiums will rise above the rate of general inflation.”

It then cites the reasons for this including advances in diagnosis, new and more expensive drugs and surgical technologies. Intermediaries are referenced as a source for consumers to buy PMI, alongside direct from insurers or an agent such as a bank or supermarket.

The booklet notes that advisers must explain to customers whether they are independent, advising on a range of insurers, or just a representative of one insurer. And it warns that if a customer chooses to buy direct from an insurer or insurer’s agent without receiving advice, it is the buyer’s responsibility to choose a policy that is right for them.

It also broaches the differences between full medical underwriting and moratorium underwriting, while other subjects covered include the typical path for a claim and common treatments covered and excluded.

The 16 page booklet is available to download or can be ordered from the ABI.

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Euro crisis the biggest threat to returns

Advisers say that the eurozone sovereign debt crisis poses the greatest risk to investment returns in 2012.

Close