Should I buy private medical insurance or a health cash plan?

Health Insurance Vs Cash Plans

If you’re looking at protecting you and your family’s health there are lots of insurance options to choose from. Two of the most common are ‘private medical insurance’ (PMI) and ‘health cash plans’. Keep reading to find out more about each type of cover and what the differences are between the two types of scheme.

What is PMI?

Private health insurance is designed to pay some or all of your medical bills if you are treated privately. It allows you to choose the level of medical care and treatment that you receive. It also gives you the choice of which specialists and consultants you see and when/where you are treated.

What is a health cash plan?

Health care cash plans give you the option to have a specific medical treatment performed privately. They offer cover for a wide range of treatments but they are not insurance policies. Instead, they are designed to provide financial assistance towards medical expenses that otherwise may not be covered.

Most health cash plans cover dental and optical treatment. Others may also include treatment including acupuncture, physiotherapy, podiatry and chiropody.

What are the differences between PMI and health cash plans?

PMI and health cash plans are very different. Private medical insurance provides a ‘private’ alternative to the NHS and ensures any specialist consultations, check-ups and treatments are all paid for.

Health cash plans are designed to let you reclaim some of the cost of a number of common treatments. They are a good way of helping meet the cost of some treatments but they won’t help you if you need expensive private treatment.

Because the cover under a health cash plan is narrower, they are generally cheaper than PMI policies. Bear in mind though that the cover is also much more limited.

If you’re looking to compare PMI policies and health cash plans, Briggs & Butler can help you. Complete our online form now and we’ll get one of our independent, FSA registered brokers to contact you to discuss all your options.