Leaving a Group Health Insurance Scheme | Money Saving Advisors
Options when leaving an employer’s health plan. Find individual health cover after exiting a group scheme.
Stepping away from your company health insurance plan
Leaving a group or company health insurance scheme means you're no longer covered by your employer's plan. This might happen when you change jobs, retire, or your company stops offering the benefit. It might be a daunting moment, but it's also a great time to take control of your health cover with a personal plan.
Why you're leaving and what it means
- Changing jobs or retiring
If you're switching jobs, your new employer may not offer health insurance - or at least not right away. Retiring early can also leave you without private medical insurance, especially before you qualify for benefits. Retiring at 60 could mean a five-year gap until you reach NHS pension age. - Company decision or restructuring
Sometimes, the choice isn't yours. Employers might remove private health benefits to cut costs or restructure. If this happens, you usually get advance notice, but not always. A mid-sized firm may cancel the scheme with a month's notice, for example, leaving staff scrambling for alternatives.
Options for staying protected
- Taking out individual health insurance
After leaving, you can apply for an individual private medical plan. Some insurers have a group leaver policy with a "continuation option," so you can move from a group scheme to personal cover without new underwriting. Always ask the insurer directly, as this is often time-sensitive. - Relying on the NHS or pay-as-you-go
If individual insurance is too costly, you can rely on NHS services or pay for private medical care when needed. Many people choose to self-insure, setting aside savings in case of illness. For example, you might save £50 a month instead of paying for a policy if you're fit and well.
Summing up
Leaving a group health insurance scheme may feel like a step into the unknown, but it doesn't have to be. It's a great moment to reassess what matters to you in terms of healthcare - speed, flexibility, or cost. The important thing is to make a timely decision so you don't get caught without support when you need it.
Frequently Asked Questions
What happens to my cover after I leave?
Your cover will usually end on your last working day or at the end of the month, depending on how your company set it up. It's important to speak to your HR department or health insurance provider as early as possible to clarify your end date and make plans to avoid a gap in your coverage. You can also take expert advice or speak to a health insurance broker to help explore your options.
Can I keep my current policy when I leave?
In some cases, yes. Certain insurers offer a "continuation option" that lets you carry on your health coverage as an individual, often without needing a new assessment. You typically need to arrange this within 30 days of leaving your job, so ask your insurer or HR about this well in advance.
Will my premiums go up if I go solo?
Yes, they likely will. Group policies benefit from lower rates because risk is shared across several employees. Individual plans are priced based on your age, health history, and level of cover. Expect a noticeable increase, especially if you're older or have pre-existing conditions - though you may find plans that offer more limited protection at a lower cost.
Can I rejoin a group scheme later?
You can rejoin a group scheme if you move to a new employer that offers one, but not all employers do. Some sectors are more likely to offer this benefit - like finance or tech - while others tend not to. Make sure to check your benefits before accepting a job if a new policy is important to you.
what-do-individual-health-insurance-policies-cover
An individual health insurance plan typically covers private healthcare for diagnostics and treatment, such as outpatient cover, day patient treatment, and specialist care. Many plans also include cancer cover, mental health cover, and access to alternative therapies. Some policies offer routine dental as an optional extra, depending on the level of cover you choose.
Are pre-existing conditions covered?
Whether your health insurance policy covers a pre-existing medical conditions depends on the terms. Some require full medical history, involving a medical questionnaire or exams, while others are more comprehensive, including those with "medical history disregarded" underwriting. Be sure to fully disclose your medical history, so there are no complications with your future claims.
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