Gross written premiums within the private medical insurance department amounted to GBP3.65 billion in 2012, recording increase of 3.2% from 2011, and a compound annual rate of growth (CAGR) of 2.47% during the review period (20014–2017).
Favorable developments in premiums belie the underlying trends in demand, however. at one’s discretion insurance product, supplementary to free-to-access healthcare through the National Health Service (NHS), the number of private medical policyholders has been subject to a downwards trend since 2006 and hit its shortest level on record in 2012, at 5.6 million. Factors driving the apparently shift in attitudes included improved levels of contentment with the NHS, raised public healthcare spending, and deterioration in labor market conditions.
The marketplace for private medical insurance is dominated by four insurers – Bupa, Axa, Aviva and Prudential – which have a combined with market share of 92%. Despite this concentrated market, a lack of competition between private hospital operators has restricted insurers’ bargaining power and resulted in inflated claims costs. Coupled with the decline in client numbers, this has been the highest driver of premium growth as insurers competent to drags on profitability by growing prices for clients.
The consumer shift away from private medical insurance is unlikely to be absolutely reversed. Nevertheless, favorable forces will underpin a modest CAGR of 2% for gross written premiums over the forecast period (2013–2017). A recovery in economic growth will improve wage and employment conditions, NHS reforms are expected to advance the role of the private healthcare and insurance sector, while the UK’s evolving demographic profile will raise the strain on the public healthcare system.
Improving economic conditions does not lead to a continuous increase in the category; however, due to slowdown demand driven for low-cost policy coverage, popularity has increased and Availability of affordable health care cash plans and self-payment options for one-time treatments. This new market threatens to remove dynamic customers from wider, but High-premium private medical insurance policies
• This report feed to market analysis, data, and insights into the UK private medical insurance business
• It provides a global snapshot of the size of the market
• It analyzes the lookout for drivers and the global market
• This feed feeds the information of channels
• It almost covers deals, news, and regulatory development
• Personal Medical Insurance Premium increase 3.2% in 2012
• Demand-withdraw from the private healthcare sector
• The minimum competition between private suppliers has increased costs for insurance companies
• Interference of the Competition Commission should begin to reduce the cost reduction
• Despite the anti-forces, premium increases will remain intact
• Private medical insurance is endangered with low-cost options
Reasons to Buy
• Increasing understanding of the UK private medical insurance market size
• Learn about information for the performance of market drivers and distribution channels
• Understand the competitive scenario in terms of performance, profitability and product innovation.
• Find out more about major deals and recent developments in the market
• Aviva PLC
• Axa UK PLC
• Bupa Insurance Ltd
• Chubb Insurance Company of Europe SE
• Cigna Life Insurance Company of Europe
• SA-NV Exeter Friendly Society Ltd
• Great Lakes Reinsurance (UK) PLC
• Prudential PLC
• Simply health Group Ltd
• Western Provident Association