Saving Money on Private Health Insurance
The cost of private health insurance is one reason why not everyone opts for this option. However, the costs vary considerably between different policies and different insurance providers. If you have a budget in mind when searching for health insurance then it really does pay to spend time and do your research, getting quotes from several providers and looking carefully into what's covered.
You will also have to consider how much you want to have covered. For example, a comprehensive package may cost more, but it may also be the best option for you, and help you to save money when the need for treatment does arise. You can also opt for tailored cover to ensure you get the package you need at a cost you can afford.
Finding the Cover You Need
The first step is to take a look at the insurance plans available and get a general feel for the packages on offer. Package deals are a great way of saving money, though it's important only to opt for insurance you really need. This means not going for policies that include points irrelevant to your situation, such as full family cover for those without a family.
Limited Cover Plans
Plans are available as a way of only covering major illness, and helping you to save money. This means that you will need to cover your own medical treatment unless you are struck by one of the illnesses listed. You could also opt for a plan that only provides treatment in the event that the treatment you need will not be available on the NHS. This is a good way of keeping your private health insurance costs down. However, you should also bear in mind that the bulk of treatment people receive is for minor problems, and therefore you won't be covered in most situations.
Excess Payments
Your private health insurance policy price will be greatly reduced if you choose a plan that comes with an excess payment. This will range from paying around £100 of the treatment cost, up to £1000, depending on the individual policy. You could also opt for a plan that requires you to pay for a portion of the cost of treatment, such as 25% of the total treatment amount. Whilst this will reduce the monthly cost of your plan, it will mean paying out more when treatment is required.
Your Choice of Hospital
Different insurance plans have different requirements when it comes to the hospitals you may choose to be treated at. Some plans may have a list of hospitals they cover, where some will cover any hospital, and some may even include treatment overseas.
If you want a cheaper insurance plan then you should generally opt for one that limits your choice of hospitals. Bear in mind that treatment in London hospitals is generally more expensive and you could save by agreeing not to use them.
Payment Methods
On most insurance plans, the way you pay can also impact the total cost. Therefore, it helps to firstly buy online (helping you to save as much as 10%). You will usually also save money if you pay annually instead of monthly, or by paying with direct debit.
Many policies are also offering a discount in the cost depending on how long you have gone without making a claim, traditionally adding around 10% for each year that you do not claim. This will depend on the individual insurance company. Check to see whether this will allow you to make minor claims and still maintain your no claims discount.
Other Ways of Keeping the Cost Down
Another way of keeping your cost down is to follow insurance provider incentives to stay healthy, as well as opting for certain conditions such as a waiting period. This may not suit you if the reason for taking out private insurance is to save time on waiting for treatment, though if you don't mind this can save you money.