When you are approaching retirement, managing your finances is often at the top of the list. There are so many financial elements associated with retiring. Pensions, debt management and financial budgets are all important so where does your private medical insurance policy fit in? Making sure your health insurance is sorted out for when you retire is an important element.
If you have health insurance as an employee and have on-going claims you may need to stay with your current insurer. If you have had medical conditions previously and still want cover for them, it is possible you may be able to switch provider. This will depend on the type of condition and how long since you have had treatment.
Continuation options from your current insurer for when you retire.
You will be able to obtain “group leaver” or “continuation” options from your current private medical insurance provider. The cost is likely to be far more expensive than the premium as a member on a SME or corporate health insurance policy.
Obtaining “switch” options from an alternative insurer
If you have on-going claims or planned/ pending medical treatment, it is unlikely that another insurer will offer you cover without applying an exclusion. If the pre-existing medical condition occurred a long time ago and you are fully recovered, you may still be eligible for a health insurance policy from another insurer without any exclusions to your cover.
Changing the cover level
Many company policies offer a comprehensive cover including cover for out-patient consultations, therapies and mental health. Do you need cover for all of those things or would you be happy to self-fund certain elements?
Perhaps you want to keep your health insurance in place to cover you for the more serious conditions that need in-patient hospital stay. If this is the case then why pay for the add-ons? Many UK health insurance policies are modular. On this basis you can look at a policy that covers you for exactly what you need.
Increasing your excess
The company policy you were on as an employee may have had a £0 or £100 excess. If you can afford to pay a higher excess, this will reduce the annual premium.
Pay for your policy on an annual basis
Some insurance companies will allow you to pay for your health insurance on an annual basis. Paying annually may provide a lower premium than paying by monthly direct debit. Ask your insurance broker to provide a quote on an annual and monthly basis. If you have the funds available you could save money paying annually when you retire.
What about when you have good health and a good medical history? When your are retiring and coming off of a company private medical insurance policy you could also look at a new policy. You would not have to have continued terms. This would provide you with a good base premium. You can then look at changing cover levels, adding an excess or paying annually to save money on your health insurance when you retire.
When you retire – consider new underwriting
Just because you have reached retirement age does not mean that you have made claims or suffered with ill health. Being newly underwritten would save you money on your private medical insurance but could result in exclusions appearing on your certificate. If you are fit, healthy and well with no adverse medical history then looking at new underwriting can be massively advantageous.
If you would like to have help in finding the private medical insurance policy that suits you in your retirement and sits within your budget, the experienced team at SMP Healthcare would be more than happy to help you. We do not charge our clients for a market review and never charge any administrative fees. Let us give you the information you need to help make an informed decision.
Please contact us via:
Freephone: 0800 147 0127
Local area code: 01245 929129
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