Joint initiative from PPP and AMII

A PMI working party aimed at designing more cost-effective products and improving links with intermediaries has been formed in a joint initiative between PPP healthcare and members of the Association of Medical Insurance Intermediaries (AMII).

The initiative is the brainchild of specialist PMI intermediary Stephen Walker, proprietor of Medical Insurance Services, who has been rallying providers to develop new products that lower premiums without compromising cover. PPP healthcare responded to Walker's demand by agreeing to host consultation sessions with six members of the AMII.

He said: 'The industry is in danger of pricing itself out of the market. I have seen sales drop significantly over the past two to three years due to one reason ' cost. At least one provider is now doing something about the situation and is trying to come up with a solution.'

The new working party will meet regularly to discuss product design and look at problem areas with costing, such as age-related premiums. Intermediary panel members will also be able to advise PPP healthcare on how they can improve their relationship with advisers.

Nye Jones, distribution development manager at PPP healthcare, said: 'We decided the best way to find out what intermediaries want in terms of product development would be to host intermediary forums. Joining with the AMII seemed like the best way to involve some of the most experienced intermediaries in the market. We are hoping to gain positive feedback on future product ideas and how we can listen more effectively to intermediaries.'

Hazel Gregory, managing director of Medical Insurance Services and member of the new working party, said: 'The idea of working together to influence and look at our common experiences and problems in the market is extremely worthwhile.'