Health Insurance brokers - your opinion and experience

Ted_Bloke

My son (in his 40s) is looking (like many right now I'd guess) to get Health Insurance. I'm involved in that I'll willingly pay for it while still around. I know general principles of it, sort of thing it does and doesn't cover.

WHICH rundown says "Private health insurance is a complicated product so it's best to speak to a broker, especially if you have had medical problems or need specialist cover for certain illnesses.". Sounds right to me. (There is one conveniently located, not a chichi address but with what looks like qualified staff, and established there for a few decades).

Son disinclined, has looked at one or two insurance companies, I haven't, says it is all pretty straightforward and clear.

OH, who has a suspicious mind, says yah, brokers get commission on their sales, they will do their own interests not yours, so she is against.

I wondered what are MSE members' relevant opinions and experiences bearing on this?

Secondarily I also wondered as this is a gift, if in some way the monies can be excluded from IHT?

Racky_Roo

Does your son have the option to get it through his work and pay through his salary? That can often be a better deal than buying it yourself.

I'm not an expert but I think the main thing to look out for is if they cover pre-existing conditions and what they mean by pre-existing. Often, even if you briefly mentioned something to a GP and it got included in the notes, but you weren't treated for it, you're not covered.

Also what is covered and how easy it is to get appointments and where you are usually seen. You don't want me to be seen 30 miles away.
One thing I've used a few times is the GP access where you book an appointment with a GP via the private healthcare (usually the same day, within a couple of hours) and they ring you back. If they can't help over the call, they then get you an appointment face to face. Brilliant if your NHS Dr surgery is a nightmare to get appointments with.
Then you need to decide the level of cover. I get mine through work with AXA and it covers physio, counselling and alternative therapies like acupuncture. The physio is definitely worth getting. I've had to use mine for 2 lots of physio in the last year alone. 

Weighty1

I'd say this is a case of schrodingers bell were a little knowledge can be a dangerous thing.  Does your son know which insurers give no claims discount which means premiums jump massively following a claim?  Do he know which have the most comprehensive database of hospitals or which have the lowest limits for some things covered?

I'm an insurance adviser but I don't arrange PMI because it is a very specialist area to do properly and best left to those who only do that.

Plus, PMI brokers do get paid commission BUT that doesn't normally impact the premium at all.  Your son will get the same premium whether he goes direct or via a broker so why not get the additional protection afforded to him by taking some advice?  If you deal with a quality brokerage there are no downsides to arranging cover via a broker.

dunstonh

My son (in his 40s) is looking (like many right now I'd guess) to get Health Insurance. 

When you say health insurance, what do you mean?

Permanent health insurance is income protection.   But are you perhaps referring to private medical insurance, which is private healthcare?

Both PMI and PHI have products that can basically be put into budget, standard and comprehensive bandings.

OH, who has a suspicious mind, says yah, brokers get commission on their sales, they will do their own interests not yours, so she is against.

If you are paranoid then go fee based.  The monthly premiums will be cheaper as well as it would be arranged on nil commission basis.

Secondarily I also wondered as this is a gift, if in some way the monies can be excluded from IHT?

Gits from income are allowable.

Ted_Bloke

dunstonh said:

My son (in his 40s) is looking (like many right now I'd guess) to get Health Insurance. 

When you say health insurance, what do you mean?

Permanent health insurance is income protection.   But are you perhaps referring to private medical insurance, which is private healthcare?

Both PMI and PHI have products that can basically be put into budget, standard and comprehensive bandings.

OH, who has a suspicious mind, says yah, brokers get commission on their sales, they will do their own interests not yours, so she is against.

If you are paranoid then go fee based.  The monthly premiums will be cheaper as well as it would be arranged on nil commission basis.

Secondarily I also wondered as this is a gift, if in some way the monies can be excluded from IHT?

Gits from income are allowable.

I meant private health care.

I don't understand what you mean by 'go fee based' in relation to my question.

DullGreyGuy

Ted_Bloke said:

I don't understand what you mean by 'go fee based' in relation to my question.

With some classes of insurance you have two options... you pay the sales person nothing directly but if you purchase from them they receive a commission from the provider.

The alternative model is that you pay them an hourly rate for doing the work irrespective of if you buy from them or not and the provider doesnt pay them any commission. 

This is to address your OH concerns that the brokers advice would be based on who lines their pockets the best rather than who provides the best cover for you. In practice insurance is a fairly heavily regulated product and doing advised sales requires the broker to do a fair amount of paperwork around the demands and needs of the customer to justify the recommendations they made and would have serious conversations with the FCA were commissions a consideration.

Ted_Bloke

Weighty1 said:

I'd say this is a case of schrodingers bell were a little knowledge can be a dangerous thing.  Does your son know which insurers give no claims discount which means premiums jump massively following a claim?  Do he know which have the most comprehensive database of hospitals or which have the lowest limits for some things covered?

I'm an insurance adviser but I don't arrange PMI because it is a very specialist area to do properly and best left to those who only do that.

Plus, PMI brokers do get paid commission BUT that doesn't normally impact the premium at all.  Your son will get the same premium whether he goes direct or via a broker so why not get the additional protection afforded to him by taking some advice?  If you deal with a quality brokerage there are no downsides to arranging cover via a broker.

Thank you, that is a well qualified opinion from the 'supply' side.

I wonder if there are any more 'clients' out there? 

Btw with respect to 'paranoia' which was mentioned, it's not me that needs to be convinced but others with facts and arguments.

Richard1212

I regard private health insurance as a "must" if you can afford it. Like many services, you normally get what you pay for. I am fully covered for outpatient and inpatient treatment and operations and private rooms in private hospitals----I use Exeter Insurance and find it covers all I need. My wife uses BUPA, more well-known and with the same cover. And there are different insurance covers for different needs and premiums.

You may want to take a look at
https://www.moneysavingexpert.com/insurance/cheap-health-insurance/#whatis

jereriomi

Hey there! It sounds like you're trying to help your son find the right health insurance policy.

Ted_Bloke

Richard1212 said:

I regard private health insurance as a "must" if you can afford it. Like many services, you normally get what you pay for. I am fully covered for outpatient and inpatient treatment and operations and private rooms in private hospitals----I use Exeter Insurance and find it covers all I need. My wife uses BUPA, more well-known and with the same cover. And there are different insurance covers for different needs and premiums.

You may want to take a look at
https://www.moneysavingexpert.com/insurance/cheap-health-insurance/#whatis

Thanks, I have passed that on.

Ted_Bloke

jereriomi said:

Hey there! It sounds like you're trying to help your son find the right health insurance policy.

That's right, I can only pass on to him the general advice I got here and he has to do it, but the comments received seem useful for him to hear.