This latest increase has now been put in place, and means the industry has faced a tax rise of 66% in just 12 months. We have previously explained what this means for health cash plan policyholders, and we’ve also reiterated how passionate we are about supporting you, your business, and your families. Which is why we’re thrilled to confirm that we’re absorbing this tax increase in its entirety. This means no rise in premiums, and no reduction in cover, at all!
We hope that this shows just how important you are to us, and that we always operate with the wellbeing of our policyholders in mind.
Leading healthcare insurance companies believe that health insurance should be zero-rated like it currently is in many other countries, and like critical illness or life cover in the UK, and we happen to agree. Many other providers simply don’t have the resources to absorb the increase, which will see their policyholders having to pay more for their health cover (1).
While 0.5% may not sound like a big increase, it means that the average PMI (Private Medical Insurance) policy is now £6.50 more expensive. And in the health insurance industry, those with the highest insurance costs (individuals with ongoing medical conditions) will be hardest hit, because each IPT is applied to individual policies by law (2).
Of course, at Paycare, we don’t charge premiums based on pre-existing health conditions or illnesses. We simply offer various levels of cover and let you choose which is best for you. If you’re not already a Paycare policyholder and would like to see how our schemes can help, click here
We’re pleased to let you know that this tax won’t affect you in anyway, but should you have any questions at all, just get in touch on enquiries@paycare.org
Best wishes, and stay healthy
Kevin Rogers, CEO
(1) Health Insurance Daily | https://www.healthinsurancedaily.com/health-insurance/product-area/pmi/article481115.ece
(2) MoneyFacts | https://moneyfacts.co.uk/news/insurance/another-insurance-tax-rise-hits-our-wallets/