Is UK health insurance more affordable than you think?

NHS backlog

Firstly, there is no doubt that we all love the NHS and those who work in it. However, it is no secret that the NHS is struggling under a huge burden and people are suffering on ever longer waiting lists.

The British Medical Association’s April 2022 report outlined the challenges facing the NHS.

“More patients than ever are waiting for treatment”

Source: British Medical Association

And it’s not just non-urgent and elective surgeries – critical services such as cancer care are also struggling.

“Targets against cancer continue to be missed”

Source: British Medical Association

Here are some other key findings from the BMA report:

• In February 2022, the average patient spent 13.1 weeks of waiting for treatment.
• The number of referrals by GPs to consultant-led outpatient services that were unsuccessful due to a lack of vacancies jumped from 238,859 in February 2020 to a staggering 401,115 in November 2021. an increase of 87%.).
• Total number of patients now waiting more than 18 weeks for treatment exceeds 2 millionwhile the number of patients waiting for treatment for more than a year is over 300,000.
• The shutdown of most services unrelated to COVID-19 in the first wave, combined with changes in patient behavior, has created a growing ‘hidden backlog’. These are patients who need care, but have not yet contacted or their referrals have been cancelled.

Can you afford to wait 13 weeks or more for treatment?

For most of us, the simple answer is no; 13 weeks, 18 weeks or even, in the worst case, more than a year is unthinkable for many who rely on their health for a living and would not be able to cover living expenses without work. We all like to think we are untouchable, but the unfortunate truth is that illness or accidents can affect even the healthiest. Fortunately, private health insurance is relatively affordable, especially for young working professionals.

What is private health insurance and how can it help?

Health insurance gives you access to private health services in the UK in exchange for a monthly premium. You can get treatment faster and avoid NHS waiting lists along with many other benefits.

What are the benefits of health insurance?

There are numerous advantages of health insurance; Here are the primary things you can expect from your policy:

• Avoid NHS waiting lists and get treatment as soon as possible
• Treatment in quality private hospitals
• Access to medicines and treatments not routinely available on the NHS
• Excellent cancer cover with access to revolutionary treatments
• Services of private general practitioners
• Quick access to mental health services (if added to policy)
• Exclusive discounts, including gym membership

What does health insurance cover?

All health insurance policies are designed to cover acute medical conditions that occur after you have taken out the policy. Here’s what the policy will usually cover:

• Treatment in private hospitals
• Private consultations
• Access to a private general practitioner
• Physiotherapy for diseases of muscles, bones or joints
• Outpatient care such as scans, tests, X-rays and hospital appointments where you are not admitted (with outpatient cover)

What does private health insurance not cover?

Chronic conditions, such as asthma and diabetes, are not covered by health insurance, although if you have a comprehensive policy, an initial diagnosis of the condition may be. Also, importantly, pre-existing medical conditions are not covered by health insurance it only covers problems you have in the future. You should always consult your insurer’s policy documents to find out what is and isn’t covered, but generally speaking you can also expect the following to be excluded:

• Cosmetic procedures
• Treatment of drug or alcohol addiction
• Pre-existing conditions

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Difference between basic and comprehensive policies

The cheapest and most basic policies only cover treatments where an overnight stay in the hospital (inpatient) is required. With a basic policy, you will need to be diagnosed on the NHS before you can claim private treatment under your health insurance. In contrast, more comprehensive policies will also cover tests and scans that lead to diagnosis and other outpatient treatments.

Basic health insurance = hospital and day treatment only – read this guide to learn more about the basic rules.
Comprehensive health insurance = hospital, day and outpatient treatment

With both of these types of health insurance, you can add several additional options, such as:

• Physiotherapy, visits to the chiropractor and other alternative therapies
• Regular visits to the dentist and optician
• Travel cover
• Mental health cover

How much does health insurance cost for young professionals?

Health insurance costs rise as we age, regardless of our medical history, since older people tend to have more health problems than younger people. Where you live in the country also has a significant impact on the cost of your policy, as hospitals in major cities tend to charge more for treatment than those elsewhere in the country.

We recently received quotes from eight leading health insurance companies for comprehensive policies in towns and cities across the UK.

Average price of comprehensive health insurance

In order to make our prices as representative as possible, we decided on a comprehensive policy that covers inpatient, day and outpatient treatment. However, we have limited out-of-hospital insurance to £1,500 per year. The quotes we received were based on a policy with an excess of £250 (or as close as possible) and included therapy cover, so things like physiotherapy. We’ve also opted for “guided consultants”, which means insurers will limit you to a smaller pool of medical professionals; it’s usually 20% cheaper than unlimited access. Finally, we decided to exclude mental health, dental, optical and travel coverage.

^{*Average based on quotes from eight leading health insurers in 10 UK cities. We opted for a comprehensive policy, with £250 excess (or as close as possible), outpatient cover limited to a maximum of £1,500 in claims per year, and included therapy cover. We defaulted to each provider’s standard hospital list and used a moratorium. Mental health, dental, optical and travel cover were excluded. Prices are correct as of February 16, 2022. Please note that these prices are illustrative only; the cost of your policy will be different. Aviva, Axa, Bupa and Vitality offer discounts if you opt for “guided consultants”, giving you less choice about who gives you treatment. Not all insurers offer this.}

Who are the best private health insurance providers in the UK?

The following eight companies are the best private health insurance providers in the UK (in alphabetical order). Bear in mind that the best provider for you is likely to be different to the next person, so it’s always sensible to get a comparative quote to find the right one.

• Aviva – healthier solutions
• Axa Health – Personal health
• Bupa – Bupa By You
• Freedom – Elite health insurance
• National friendly – Optimum
• The Exeter – Health+
• Vitality – Personal health care
• WPA – Flexible Health: Premier and Elite