Private Medical Insurance (PMI)

Private Medical Insurance (PMI)

Medical advances mean that an increasing number of conditions are treatable, but modern procedures, diagnostic methods, drugs and technology mean that costs for medical cover are increasing all of the time.

In addition, the population is living longer which puts extra strain on the NHS in terms of both costs and time.

As a result more and more people consider taking out Private Medical Insurance. This is a policy which covers the costs of medical expenses, giving policyholders access to private medical treatment so they are not solely dependent on the NHS.

Private Medical Insurance works in conjunction with the NHS, and is not an alternative. In order for a policy holder to make a claim, they must first obtain a referral from their general practitioner. Once the nature of the ailment has been established, the GP will decide whether specialist care is required.

Different providers for Private Medical Insurance will provide cover for different types of conditions and expenses, which would be incurred by seeking private medical treatment.

The rate of the premium that an individual will have to pay will be determined by a range of criteria including age, the type of hospital that the individual is allowed access to and where the individual lives (this is due to the fact that the cost of medical care varies throughout the country).

Benefits paid out from Private Medical Insurance schemes are tax free.