In National Health Service (NHS), the average wait time for an outpatients appointment is almost 7 weeks. As a result many people have opted out for private medical insurance. The private medical insurance covers the cost of private medical treatment for short term curable illnesses or injury. These are commonly known as acute conditions. The health insurance provides the policyholder a guarantee that treatment will be available in case of illness or injury.

Cost of Health Insurance    

• The cost of insurance depends on the insurer you choose and what plan you have decided to take out
• Insuring the entire family (spouse and children) will obviously be more expensive than insuring an individual
• If your cover is very comprehensive then your policy will cost more
• If you have chosen to be treated in the top private hospitals then your policy will be more expensive
• You can bring the cost of health insurance down by agreeing to attend a smaller choice of hospitals
• You can offset the yearly increase in premiums by no claim benefits which many insurers offer
• Some companies offer private medical insurance as a perk to their employees, this is seen as a benefit in kind and often employees will pay a tax on it
• The private medical insurance premiums will usually increase with your age since you are more likely to receive medical treatment as you get older
• The number and sophistication of treatments to improve the quality of life is increasing every year. The insurer has to keep abreast with the new treatments and as a result the premiums go up every year

What does Health Insurance Cover?

  As mentioned above the private health insurance only covers short term curable illnesses and injury. They usually include the following    

• Surgery
• In-patients test
• Cover of treatment for short term medical conditions
• Hospital accommodation and nursing care

But it can also include    

• Out-patient tests
• Out patient consultation with a specialist
• Payments for treatment received as an NHS in-patient
• Overseas treatment cover

They usually do not include    

• Your GP services
• Medical conditions you suffered before taking out the insurance
• Accident and emergency treatment
• Cover for long term illnesses which are incurable
• Self inflicted injuries
• Drug abuse
• Infertility treatment
• Normal Pregnancy
• HIV / AIDS
• Cosmetic Surgery
• Sex change
• Preventive treatment
• Kidney Dialysis
• Organ transplant
• Injuries from dangerous hobbies
• Experimental treatment

How does Private Health Insurance works?    

• You call the insurance company to check if you are covered for the treatment that you plan to have
• Once approved you can visit your GP and ask to be seen by a specialist privately, your GP will then refer you to a specialist
• You will have an out-patients consultation with a specialist who may recommend further tests if required
• The tests are arranged promptly and are also done privately as part of the insurance cover
• The consultant will decide whether you require in-patient or day-patient treatment
• The consultant will arrange the hospital treatment either in a private hospital or in NHS as a private patient at a time that suits you
• Most consultants and hospitals will have their bills paid directly by the insurance company

Some General Points regarding Private Health Insurance    

• The cost of your monthly premiums will probably go up once a year and the increase is usually more than the rate of inflation
• If you give inaccurate information to your insurance company about your medical history then the company may refuse to pay you the claim and even cancel your policy
• If you stop paying your monthly premium your insurance cover will stop. The insurance company will only pay for the cost of your treatment until your premiums are paid
• If you change your insurance company then you may not be covered for all the conditions and treatments that your existing policy covered you
• Always read your insurance policy carefully and keep to its terms and conditions