Health Insurance - Consumers may give up on private health insurance

A new study commissioned by the Health Insurance Authority has established that one in ten consumers is concerned about the rising cost of private health insurance, and also that 40% of people feel increases in premiums in recent years are not justified.

Private health insurance has steadily become the more popular option for consumers because of the perceived inadequacy of public hospital services as well as faster access to hospital care and the comfort of having a private consultant. At present, over half of the UK population has private health insurance.

Despite the satisfaction with the actual service, consumers are becoming increasingly disenchanted with the continual rise in premiums and 40% of people surveyed said they would discontinue the private health cover if premiums rose by 20%. If premiums do rise, current consumers may want to think about whether the cost is actually worth the hassle. On the plus side, private health care offers the relaxation factor. Primarily, there are no waiting lists, the consultants are relaxed, and you have your own bathroom which is cleaned regularly and immediate scan results.

Then again, one of the biggest drawbacks is the small print. Namely, that most insurers will not cover chronic conditions such as asthma, dementia, arthritis or Parkinson's. If you develop diabetes, they will pay only for the first few treatments.

This underlying fault of the private health system has turned many consumers off it and given the rise in premiums, it may only be a matter of time before more people turn to the faulty NHS. The terminally or chronically ill may not always be treated on clean or single-sex wards in the NHS, but they are eventually treated. For those consumers who will still persist on taking the private route, these new findings means shopping around and doing your research is even more imperative. The golden rule when searching for low cost health insurance is to take your time. Get several quotes. Investigate the alternatives. For a lot of people, the choice of hospital can be the defining factor. It is after all where the treatment will happen, and so needs to be the best. Some insurers allow complete freedom as regards which hospitals you can use. Some insurers offer the option of any hospital or a reduced price for restricting the hospitals you can use.

London hospitals tend to be the most expensive, so some insurers charge extra if you select London Hospitals, or reduce the price if you agree not to be treated at any London hospital. Make sure you investigate all the options thoroughly if you're looking for low cost health insurance.

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