A new product designed to help finance private hospital treatment by reimbursing a percentage of t...
A new product designed to help finance private hospital treatment by reimbursing a percentage of the cost, has been launched by Western Provident Association (WPA), writes Kirstie Redford.
Premiums for the new product, Self-Pay Protect, claim to be, on average, less than one fifth of the cost of traditional PMI and customers can choose a plan that reimburses 30%, 50% or 75% of hospital costs.
According to WPA, the plan is the first of its kind to hit the UK PMI market and will help bridge the gap for customers choosing the self-pay route, by taking the risk out of high hospital bills.
David Ashdown, communications director at WPA, said: 'The Consumers' Association recently reported that 40% of people would prefer the self-pay route if they had to wait for NHS treatment. This product helps people to cover treatment they may not otherwise be able to afford. The money saved on premiums, when compared with traditional private medical insurance, can then be invested to help build a self-pay fund. With more people realising they will have to contribute something to receive medical treatment when they want it, I believe this product is the way forward, helping to make self-pay a much more affordable option.'
Self-Pay Protect offers a personal fund of up to £50,000 every year. For a 30-year old, premiums work out at £125 a year, for the 75% reimbursement option. The product offers initial commission of 50% until the end of 2001, after which it falls to 25%.
