Are health insurance premiums going up?
Why UK health cover might cost more this year - and what you can do about it.
Why Health Insurance Costs Keep Rising?
You've probably noticed - prices are rising everywhere. Food, fuel, energy, and yes, even health insurance. But what's really driving those increases? Are they permanent? And most importantly, can you still find a policy that won't drain your wallet? Here's what's happening behind the scenes, and what you can do to stay ahead of the curve.
Why premiums are rising for many
Health insurance costs aren't random. They go up for a reason - or several. Even if you haven't claimed, these trends can still nudge your renewal price higher:
- Inflation - Rising treatment and staffing costs make healthcare more expensive for insurers
- More demand - People are turning to private care due to NHS waits, so insurers pay out more
- New tech and drugs - Advanced treatments mean better care, but often at a premium
- Older population - As we age, we claim more, which affects risk and pricing across the board
- Global events - From pandemics to economic shifts, global issues impact how insurers operate
What you can do to lower costs
While you can't do much about world economics, there are real, practical ways to bring costs down again:
- Review your policy each year - Don't auto-renew - check if you still need the same level of cover
- Increase your excess - A higher excess (what you pay towards claims) can reduce premiums
- Use the 6-week NHS option - Agree to wait if the NHS can treat you within 6 weeks
- Remove add-ons - Cut dental, optical, or therapy cover if you don't use them often
- Shop around - New customers often get better deals than long-standing ones
Tip: Not all high premiums are permanent. Adjust your plan to match your needs, and you'll likely pay less each month.
Summing up
Yes, health insurance premiums are rising for many people in the UK - but it's not all doom and gloom. Understanding why prices go up puts you back in control. With a few smart tweaks to your policy or by switching to a more competitive provider, you can still get great cover without paying over the odds. Even in a changing market, there are still good deals to be found.
Frequently Asked Questions
Why are premiums increasing if I haven't made a claim?
Even if you haven't claimed, insurers calculate prices based on the wider risk pool. If treatment costs have gone up or more people are using their policies, those expenses are shared across all customers. Inflation, global issues, medical advances, and higher demand all contribute to increases. So, unfortunately, your premium can still rise even with a clean claims history.
Will my health condition affect the increase?
Possibly. If you've made claims or have ongoing conditions covered by your policy, your insurer may see you as a higher risk going forward. That said, premiums also rise for reasons that have nothing to do with your health - like overall medical inflation or increased demand. It's a mix of personal and industry factors that influence the final price.
Can I negotiate my renewal price?
Yes - and it's worth doing. Contact your insurer before renewing and ask what can be done to reduce your premium. You might get a discount, a more suitable plan, or alternative cover options. Mentioning quotes from other providers can also help your case. Loyalty doesn't always pay when it comes to health insurance - so speak up and see what's available.
Are newer policies cheaper than existing ones?
Often, yes. Insurers tend to offer more competitive prices to attract new customers, which means your current policy could be more expensive than a similar one available today. It's why comparing quotes each year is so important. You may find a nearly identical policy at a better price - or one that fits your current needs better.
What's the best way to keep costs low long-term?
Stay proactive. Review your policy every year, remove cover you're not using, and consider increasing your excess (how much you pay towards a claim). Always compare quotes before renewing, and don't be afraid to switch providers. Choosing policies with NHS-linked options or fewer extras can also help. It's not just about finding a good deal now - it's about keeping costs stable in the years ahead.
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The details shown are for illustration only and may not include all lenders or products. Actual rates and terms depend on your circumstances and the lender’s assessment. Information was correct at publication but may change at any time.
