Private Medical Insurance
Immediate access to treatment can significantly reduce long-term absenteeism and the associated financial and resource costs

Analysis by the Royal College of Surgeons found that over the past year an average of 193,406 people a month did not get surgery within 18 weeks of being referred. The figure compares with 139,240 the previous year and 105,427 four years ago, and is the NHS’s worst performance by this measure since 2008.  (Royal College of Surgeons, January 2017)


Private Medical Insurance (PMI) is an insurance policy designed to meet some or all of the costs of private medical treatment. Whilst it is important to seek professional advice and guidance before putting a scheme in place, generally, most PMI schemes cover your employees in the event of an acute illness or injury over a short-term basis. This could include hospital costs, such as a private room, surgeons’ and other specialists’ fees, outpatient treatment, such as scans, diagnostic tests and physiotherapy.

Whilst the traditional PMI schemes remain the most popular option, newer innovations such as fixed cost Hospital Treatment Insurance (HTI) from Health Cash Plan providers are gaining momentum with employers. HTI cover around 60 common surgical procedures but at a much lower cost than traditional PMI schemes.

How Is It Paid For?

This is a company paid benefit. The cost depends on the amount of cover you wish to provide, the average age of employees and risk level of their occupation.

Employees will pay tax on the value of the premiums of your Private Medical Insurance but generally costs are substantial lower than standalone personal policies.  You can choose to include /remove certain treatment options which will have a bearing on the premium costs.

Hospital Treatment Insurance (HTI) starts at c.£13.50 per employee per month.

Why Offer This Benefit?

By providing Private Medical Insurance (PMI) it demonstrates your company taking an active interest in looking after the health of your employees.  PMI allows your employees to avoid NHS waiting lists, receive fast-track consultations and private treatment for medical problems and access the latest licensed drugs and proven treatments.

Aside from the most important factor of helping your employee to get well again, providing employees with immediate access to treatment can significantly reduce long-term absenteeism and the associated financial and resource costs.