GROUP PRIVATE MEDICAL INSURANCE
WHAT IS GROUP PRIVATE MEDICAL INSURANCE?
Group policies provide Private Medical Insurance (PMI) for you and your employees. The premium is paid for by the employer with the cost being deducted from earnings before tax. Group PMI is treated as a Benefit in Kind which employees will have to pay tax on. PMI is an insurance policy designed to meet some or all of the costs of private medical treatment. It is also known as private health insurance.
PMI is for the treatment of acute illnesses or injuries on a short-term basis. This could include a private room in a hospital, surgeons' and other specialists' fees, outpatient treatment like physiotherapy and daycare treatment including surgical and diagnostic procedures. It is important to note that private insurance does not cover all conditions. Chronic conditions such as heart disease, diabetes, high blood pressure and some incurable cancers will often be excluded from a policy.
BENEFITS OF GROUP PMI
• Employees receive prompt treatment at a time convenient for everyone
• Attractive employee benefit
• Access to private facilities often with access to TV, phone and the internet
• Choice of consultant and hospital
• Cover for partners / children
• Health checks and helplines
• Access to complementary therapies and psychiatric treatment
• Additional options to include Dental, Optical and Travel Cover
HOW MUCH DOES IT COST?
The average premium for UK PMI is £1,435 per year. Premiums can be expensive and the costs do go up every year. Typically speaking, PMI premiums tend to increase by around 3-5% per year, partly because of the increasing cost of treatment, and partly because people are living for longer.
The price you pay will depend on your policy, and whether or not you choose to insure just yourself, or your family members as well and whether you include an excess.