Health insurance for self-employed

When you’re self-employed, taking time off for illness isn’t just inconvenient - it directly hits your income. Unlike employees who often receive sick pay and workplace health benefits, you’re responsible for protecting your own health and finances. Your business depends on your health and ability to work, making it crucial to minimise downtime. Health insurance for self-employed people provides faster access to private medical treatment, helping you get back to work sooner and giving you peace of mind that illness won’t derail your business.

Since 2015, Money Saving Advisors has helped thousands of self-employed professionals find suitable health cover through our panel of leading UK insurers. We’re a broker, not an insurer, which means we compare policies from multiple providers to find the right fit for your circumstances and budget. Private health insurance also gives you more control over your healthcare choices, including access to faster treatment and tailored care options.

Key takeaways:

• Self-employed health insurance costs £30-£150+ monthly, depending on your age, coverage level, and chosen excess
• Tax relief is available through your business, potentially reducing the real cost by 19-45%
• Policies cover private consultations, diagnostics, surgery, and ongoing treatment - but not pre-existing conditions
• Waiting times for NHS treatment are at record levels, with many procedures now taking 18+ months
• You can often add family members to your policy for better value than separate individual policies
• Most health insurance policies do not cover cosmetic treatments, as these are considered optional or aesthetic procedures

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When you’re self-employed, taking time off for illness isn’t just inconvenient - it directly hits your income. Unlike employees who often receive sick pay and workplace health benefits, you’re responsible for protecting your own health and finances. Your business depends on your health and ability to work, making it crucial to minimise downtime. Health insurance for self-employed people provides faster access to private medical treatment, helping you get back to work sooner and giving you peace of mind that illness won’t derail your business.

Since 2015, Money Saving Advisors has helped thousands of self-employed professionals find suitable health cover through our panel of leading UK insurers. We’re a broker, not an insurer, which means we compare policies from multiple providers to find the right fit for your circumstances and budget. Private health insurance also gives you more control over your healthcare choices, including access to faster treatment and tailored care options.

Key takeaways:

• Self-employed health insurance costs £30-£150+ monthly, depending on your age, coverage level, and chosen excess
• Tax relief is available through your business, potentially reducing the real cost by 19-45%
• Policies cover private consultations, diagnostics, surgery, and ongoing treatment - but not pre-existing conditions
• Waiting times for NHS treatment are at record levels, with many procedures now taking 18+ months
• You can often add family members to your policy for better value than separate individual policies
• Most health insurance policies do not cover cosmetic treatments, as these are considered optional or aesthetic procedures

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James, a 42-year-old freelance consultant from Birmingham, develops persistent shoulder pain affecting his ability to work at his computer. Through the NHS, he’s looking at a 6-8 week wait for a GP referral, then potentially 18+ weeks for a specialist appointment, followed by further waits for scans and treatment.

With his £65/month health insurance policy, James sees a private consultant within 5 days, has an MRI within a week, and receives treatment within 3 weeks of his first symptoms. Total time off work: minimal. The policy covers the £4,200 treatment cost - equivalent to over 5 years of premiums.

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Self-employed health insurance is specifically designed for freelancers, contractors, sole traders, and small business owners. Personal health insurance is a plan for one person and can be taken out by anyone, regardless of their employment status.

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Why self-employed people need health insurance

Being self-employed brings incredible freedom - but that freedom comes with a significant gap in protection. Self employed individuals have no employer providing sick pay, occupational health support, or private medical benefits. If you can’t work, you don’t earn.

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The income protection gap

Employees typically receive statutory sick pay (SSP) of £116.75 per week for up to 28 weeks, and many receive enhanced sick pay from their employer. Self-employed people get nothing. According to HMRC data, there are approximately 4.3 million self-employed workers in the UK - all of whom would receive zero statutory support if illness prevented them working.

Health insurance helps bridge this gap by getting you treated and back to work faster. While it doesn't replace lost income (that's what income protection insurance does), it minimises the duration of illness-related work interruption.

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NHS waiting times reality

The NHS is under enormous pressure. According to NHS England data, the waiting list for consultant-led treatment stood at over 7.5 million in 2024 - the highest on record. While the NHS remains excellent for emergency care and many treatments, waiting times for routine procedures have stretched significantly:

• Average wait for a consultant appointment: 14-20 weeks
• Waiting list for non-urgent surgery: often 18+ months for some procedures
• Diagnostic scan waits: 6-12 weeks in many areas

For self-employed people, these waits directly translate to lost working time and income. Private treatment through health insurance typically reduces these timescales to days or weeks rather than months.

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The business continuity argument

Your health is your business's most valuable asset. If you're a sole trader, consultant, contractor, or small business owner, extended illness doesn't just affect you personally - it can damage client relationships, delay projects, and potentially sink your business entirely.

Health insurance provides a form of business continuity protection. Getting a knee operation privately in 3 weeks rather than waiting 18 months on the NHS could be the difference between keeping and losing your major clients.

How does health insurance work for self-employed people?

Understanding how health insurance actually works helps you make better decisions about coverage and avoid disappointment when you need to claim.

Most health insurance providers offer policies tailored for both personal and business cover for self-employed individuals, so choosing the right insurance provider is important to ensure you get the best fit for your needs.

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The claims process explained

When you develop a new health condition, here's what typically happens:

Step 1: See your GP

Most insurers require you to start with a GP appointment to get a referral. Some policies now include GP services, allowing you to see a private GP and get referred without using NHS GP services at all. Your GP refers you to a specialist consultant.

Step 2: Contact your insurer

Before booking any private appointments, you contact your insurer (usually via phone or app) to register your claim and get authorisation. The insurer confirms your treatment is covered and provides a claim reference number.

Step 3: Choose your consultant and hospital

Depending on your policy, you either choose from a list of approved consultants and hospitals, or have more freedom to see any specialist. The insurer may have a network of preferred providers offering negotiated rates.

Step 4: Receive treatment

You attend your appointments and receive treatment. For most policies, the insurer pays the hospital and consultants directly - you don't need to pay upfront and claim back (though some policies work this way).

Step 5: Pay any excess

If your policy has an excess (the amount you pay towards each claim), this is typically deducted from any cash benefits or invoiced separately. Excesses typically range from £0 to £500+ per claim or policy year.

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What your premiums pay for

Your monthly or annual premium funds a pool that pays claims from all policyholders. Insurers use actuarial data to calculate how much they're likely to pay out in claims and set premiums accordingly.

Factors affecting your premiums:

• Age: Older applicants pay higher premiums (a 55-year-old typically pays 2-3x more than a 30-year-old for equivalent cover)
• Smoking status: Smokers face significantly higher premiums
• Location: Premiums vary by postcode due to different private healthcare costs
• Coverage level: More comprehensive cover costs more
• Excess choice: Higher excess means lower premiums
• Medical history: Some insurers use medical underwriting, affecting premiums based on your health history

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The claim cycle

Health insurance is renewable annually. Each year, your insurer reviews your premiums based on your age, claims history, and overall market conditions. Premiums typically increase at renewal - this is normal and doesn't mean you should automatically switch providers.

Types of health insurance for self-employed

Not all health insurance policies are the same. There are different levels of cover available, ranging from basic to comprehensive plans, and the level of cover you choose will impact both the cost and the range of benefits included. Understanding the different types helps you choose the right coverage level for your needs and budget. Self-employed health insurance can also be configured to meet specific requirements, offering everything from overnight treatment in hospitals to outpatient diagnosis.

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Full medical underwriting

With full medical underwriting, you complete a detailed health questionnaire when applying. The insurer reviews your medical history and excludes any pre-existing conditions from cover. This approach gives you clarity upfront about exactly what's covered.

Advantages:

• Clear understanding of exclusions from day one
• No nasty surprises when you claim
• Often the most cost-effective option

Disadvantages:

• Requires detailed disclosure of medical history
• Pre-existing conditions permanently excluded
• Application process takes longer

Best for: People in good health who want certainty about their coverage.

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Moratorium underwriting

Moratorium underwriting means you don't need to complete a health questionnaire upfront. Instead, the insurer automatically excludes any conditions you've had symptoms or treatment for in the 5 years before joining. After 2 years of being symptom and treatment-free, these conditions may become covered.

Advantages:

• Quick and simple application
• Potential for pre-existing conditions to gain cover over time
• No lengthy health questionnaires

Disadvantages:

• Uncertainty about what's covered until you claim
• 5-year lookback can exclude more than expected
• Disputes possible at claim time

Best for: Those who want quick cover and are comfortable with some uncertainty.

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Comprehensive policies

Comprehensive policies provide the widest coverage, typically including inpatient treatment, outpatient care, cancer cover, mental health support, therapies, and often additional benefits like dental and optical.

Typical premium range: £80-£150+ per month for a 40-year-old

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Mid-range policies

Mid-range policies cover the essentials - inpatient treatment, day-patient procedures, cancer cover, and some outpatient care. They may limit outpatient benefits or exclude some therapies.

Typical premium range: £50-£80 per month for a 40-year-old

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Budget policies

Budget policies focus on the most impactful treatments - typically inpatient surgery and cancer cover. Outpatient consultations may be limited or excluded, and you may have restricted hospital choice.

Typical premium range: £30-£50 per month for a 40-year-old

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Cash plan vs health insurance

Cash plans are different from health insurance. They pay fixed cash amounts towards everyday healthcare costs (dental check-ups, optical tests, physiotherapy) rather than covering private hospital treatment. Some self-employed people combine a cash plan with a health insurance policy for comprehensive protection.

What does health insurance cover?

Understanding exactly what’s included in your policy prevents disappointment at claim time. Most health insurance policies cover in-patient treatment costs for acute conditions that require an overnight stay in hospital. While specific coverage varies between insurers and policy levels, here’s what you can typically expect.

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Core coverage (included in most policies)

Inpatient treatment: Hospital stays, surgery, and procedures where you need to stay overnight. This includes surgeon fees, anaesthetist fees, hospital accommodation, nursing care, and theatre costs.

Day-patient treatment: Procedures performed in hospital that don't require an overnight stay - minor operations, some diagnostic procedures, and treatments that allow same-day discharge.

Cancer treatment: Diagnosis, surgery, chemotherapy, radiotherapy, and related consultations. Cancer cover is typically included in all policy levels given its life-changing nature and high treatment costs.

Diagnostic tests: MRI scans, CT scans, blood tests, X-rays, and other diagnostic procedures needed to identify your condition.

Consultant fees: Specialist doctor appointments related to your covered condition.

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Extended coverage (varies by policy)

Outpatient consultations: Initial specialist appointments, follow-up consultations, and specialist investigations. Some policies limit the number or value of outpatient claims per year.

Therapies: Physiotherapy, osteopathy, chiropractic treatment, and other physical therapies. Often limited to a set number of sessions or annual monetary cap (e.g., a course of 10 physiotherapy sessions or £1,000/year).

Mental health: Psychiatric consultations, psychological therapy, and inpatient mental health treatment. Mental health cover has improved significantly in recent years, but limits still apply (often £1,500-£10,000 per year for outpatient therapy).

Private GP services: Some policies include unlimited private GP consultations via app or in-person, bypassing NHS GP waiting times entirely.

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What's typically not covered

Pre-existing conditions: Any condition you had symptoms of, received treatment for, or knew about before taking out the policy. This is the most significant exclusion and the one that catches people out most often.

Chronic condition management: Ongoing management of conditions like diabetes, asthma, or high blood pressure typically isn’t covered, though acute episodes (a diabetic emergency, for example) may be.

Emergency treatment: Most health insurance policies do not cover emergency treatment, as this is usually handled by the NHS.

Cosmetic treatments: Cosmetic treatments and procedures for purely aesthetic purposes aren’t covered unless they are reconstructive (after an accident or cancer treatment, for example).

Fertility treatment: IVF and other fertility treatments are usually excluded or require specialist add-ons.

Pregnancy and childbirth: Routine pregnancy and childbirth are typically not covered, though pregnancy complications may be.

Alcohol and drug abuse: Treatment for alcohol and drug abuse is generally not covered by self-employed health insurance policies.

Treatment outside the UK: Any treatment that takes place outside the UK is usually excluded from health insurance coverage.

Self-inflicted injuries: Injuries resulting from self-harm, drug abuse, or alcohol abuse are typically excluded.

Experimental treatments: Treatments not yet proven or approved by medical authorities.

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How much does health insurance for self-employed cost?

Cost is often the first question self-employed people ask about health insurance. The answer depends on several factors, including the level of cover you select—basic, mid-range, or comprehensive—which will significantly impact your premium. We can provide realistic ranges based on current market data.

Some insurance providers do not charge higher premiums for major cities such as London, unlike others who may increase costs based on location.

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Typical premium ranges

According to data from our panel of insurers, typical monthly premiums for self-employed health insurance in 2025 are:

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Premiums shown are illustrative and based on a non-smoker in a typical UK postcode with a £100 excess. Your actual premium may differ.

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What affects your premium

Age: The single biggest factor. Insurers know older people claim more, so premiums rise with age. A 55-year-old typically pays 2-3 times more than a 35-year-old for identical cover.

Smoking status: Smokers face 25-50% higher premiums due to increased health risks.

Location: Private healthcare costs vary by region. London and the South East are typically most expensive, while Wales and Northern England may be cheaper.

Excess level: Choosing a higher excess (the amount you pay towards claims) reduces your premium. A £250 excess might reduce premiums by 10-15% compared to nil excess.

Coverage level: More comprehensive cover costs more. Adding outpatient cover, therapies, and mental health cover increases premiums.

Hospital list: Policies with restricted hospital networks (excluding the most expensive London hospitals, for example) cost less than those offering full hospital choice.

Medical history: If you undergo full medical underwriting and have some health history, your premiums may be loaded (increased) or specific exclusions applied.

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Making health insurance more affordable

Choose a higher excess: Moving from £0 to £250 excess can reduce premiums by 10-20% while still providing meaningful protection against large claims.

Select a restricted hospital list: If you don't live near London, excluding expensive central London hospitals you'd never use anyway can reduce premiums.

Consider six-week wait options: Some policies only pay out if NHS treatment would take longer than 6 weeks. This significantly reduces premiums while still protecting against the longest waits.

Start younger: Premiums are based on your age when you start. Taking out cover at 35 rather than 45 could save significant amounts over the policy lifetime, even accounting for annual increases.

Pay annually: Most insurers offer a discount (typically 5-10%) for paying yearly rather than monthly.

Tax benefits of health insurance for self-employed

One advantage self-employed people have over employees is the potential to claim tax relief on health insurance premiums. The specific treatment depends on your business structure.

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Sole traders and partnerships

If you're a sole trader or partner, you generally can't claim health insurance as a business expense - HMRC views it as personal expenditure. However, there's an important exception: if the policy includes cover for your employees (even if that's just you acting in a business capacity), the treatment may differ.

In practice, most sole traders pay for health insurance from personal, post-tax income. This means you're paying premiums from money that's already been taxed.

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Limited companies

If you operate through a limited company, health insurance can be provided as a benefit-in-kind (BiK). The company pays the premiums as a business expense, deducting them from corporation tax. You, as a director/employee, pay income tax and National Insurance on the benefit value.

Example calculation:

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Lisa operates as a director of her limited company. Her annual health insurance premium is £1,200. If the company pays this directly:

• Company saves 19-25% corporation tax: £228-£300 saved
• Lisa pays income tax on £1,200 benefit (at her marginal rate)
• If Lisa is a 40% taxpayer, she pays £480 in tax
• Class 1A National Insurance for employer: £166 (13.8%)

Net cost vs paying personally: roughly similar, but the company gets the corporation tax saving.

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For higher earners, structuring health insurance through a limited company can be marginally advantageous, but the benefits are modest. The primary advantage is cash flow - paying via the company rather than personal funds.

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Relevant life insurance alternative

Some self-employed people use a Relevant Life Policy for life insurance (which does offer significant tax advantages) and assume health insurance works the same way. It doesn't. Health insurance benefits are treated differently by HMRC, and the tax savings are less clear-cut.

Our advice: Don't choose health insurance primarily for tax benefits. Focus on getting the right coverage for your needs, and consider the tax position as a secondary factor.

Eligibility and requirements

Health insurance is available to most self-employed people, but insurers do have criteria you'll need to meet. Understanding these requirements helps you know what to expect when applying.

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Basic eligibility criteria

Age limits: Most insurers accept new applicants from age 16-18 up to age 65-70. Some specialist insurers accept older applicants, though premiums are significantly higher.

UK residency: You generally need to be a permanent UK resident. Policies typically require you to be registered with a UK GP and receive treatment in the UK.

Health disclosure: You'll need to answer health questions honestly. This might be a full medical questionnaire (full underwriting) or basic declarations (moratorium underwriting). Non-disclosure can invalidate your policy.

No current health issues: You can't take out health insurance to cover something you're already experiencing. Insurers won't cover conditions you knew about or were being investigated for when you applied.

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The medical underwriting process

If you choose full medical underwriting, here's what to expect:

Step 1: Complete the application form

You'll answer detailed questions about your health history, including:

• Previous and current medical conditions
• Medications you're taking
• Hospital admissions and operations
• Family medical history (for some conditions)
• Lifestyle factors (smoking, alcohol, BMI)

Step 2: Insurer review

An underwriter reviews your application. They may request further information, ask you to complete additional questionnaires, or occasionally request a GP report (at the insurer's expense).

Step 3: Terms offered

The insurer either:

• Accepts you on standard terms (no exclusions beyond pre-existing conditions you've declared)
• Applies specific exclusions for conditions with higher risk
• Applies a premium loading (higher premiums due to health factors)
• Declines cover (rare, but possible for very high-risk applicants)

Step 4: You decide

You review the terms offered and decide whether to proceed. If exclusions or loadings apply, you can often negotiate or seek quotes from other insurers for comparison.

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Special situations

Self-employed with employees: If you employ staff, you may be able to arrange group health insurance, which is often cheaper per person than individual policies and includes better tax treatment.

Contractors and freelancers: IR35 status doesn't affect your ability to get individual health insurance. Whether you're inside or outside IR35, personal health insurance works the same way.

Part-time self-employed: Being self-employed part-time while employed elsewhere doesn't affect eligibility. You might already have health insurance through your employer - check before buying duplicate cover.

How to choose the right policy

With dozens of insurers and hundreds of policy variations, choosing the right health insurance plan can feel overwhelming. Selecting the right health insurance plan is crucial to ensure you get the coverage that matches your needs and budget. Here’s a structured approach to finding the best fit for your circumstances.

Brokers offer free, objective advice and a market overview, which can be especially helpful when choosing among different health insurance plans.

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Assess your priorities

Before comparing policies, clarify what matters most to you:

Speed of treatment: If getting back to work quickly is paramount, prioritise policies with fast-track authorisation and wide consultant choice.

Specific coverage needs: If mental health cover, therapies, or dental/optical benefits matter to you, ensure these are included or available as add-ons.

Budget constraints: Be realistic about what you can afford long-term. Health insurance is a long-term commitment - choosing a policy you can maintain through business ups and downs is important.

Hospital preferences: Do you want access to specific hospitals? Some policies restrict you to certain hospital groups or exclude expensive London facilities.

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Compare like with like

When comparing quotes, ensure you're comparing equivalent coverage:

• Same excess level
• Same coverage type (inpatient only vs including outpatient)
• Same hospital list restrictions
• Same underwriting type (full vs moratorium)

A £40/month policy with £500 excess and no outpatient cover isn't comparable to an £80/month policy with £100 excess and full outpatient benefits.

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Consider the insurer, not just the price

The cheapest quote isn't always the best choice. Consider:

Claims experience: How easy is the claims process? Are claims approved quickly? Check independent reviews and customer feedback.

Financial strength: Is the insurer financially stable? Check their credit ratings and financial stability. The Association of British Insurers (ABI) publishes member data that can help assess this.

Hospital and consultant networks: Does the insurer have agreements with hospitals and consultants you might want to use? Larger insurers often have more extensive networks.

Customer service: Can you reach them easily when you need to claim? What are their contact hours? Is there an app for managing your policy?

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Work with a broker (like us)

As brokers, we compare policies from multiple insurers to find the right fit for your circumstances. This saves you time researching individual insurers and ensures you're comparing genuinely suitable options.

Benefits of using a broker:

• Access to multiple insurers through one application
• Expert guidance on coverage requirements
• Help navigating medical underwriting
• Support with claims if issues arise
• Often access to the same prices as going direct

Advantages and disadvantages of health insurance

Making an informed decision about health insurance means understanding both the benefits and limitations. Here’s an honest assessment.

Advantages:

• Access to a wide range of private medical treatments and faster appointments.
• Flexibility to choose cover levels and add-ons tailored to your needs.
• Some insurers offer personal healthcare policies that are highly rated and include innovative features, providing comprehensive coverage for individuals.
• Peace of mind knowing you’re protected against unexpected health costs.
• Potential to access specialist treatments not always available on the NHS.

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Key advantages

Faster access to treatment: The primary benefit. Private treatment typically happens in days or weeks rather than the months (sometimes years) you might wait on the NHS.

Choice of consultant: You can usually choose which specialist sees you, rather than being allocated whoever is available. This matters if you want a specific expert for your condition.

Choice of hospital: Private hospitals often offer better facilities, private rooms, flexible visiting hours, and more personalised care than NHS hospitals.

Convenience: Appointments at times that suit you, often including evenings and weekends. Less time off work for treatment.

Faster return to work: The combination of quicker diagnosis and treatment means less disruption to your self-employed business.

Peace of mind: Knowing you have a backup plan if you develop a serious condition provides genuine psychological benefit.

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Important disadvantages

Doesn't cover pre-existing conditions: If you already have a health condition, it won't be covered. This is the most significant limitation and surprises many people.

Premiums increase with age: Your costs will rise over time. A policy costing £50/month at 35 might cost £150/month at 55 and £300+ at 65.

Not all conditions covered: Chronic conditions, fertility treatment, cosmetic procedures, and many other situations fall outside coverage.

You still pay premiums when healthy: Unlike car insurance where you might never claim, health insurance premiums are an ongoing cost whether you use the policy or not.

Complexity: Understanding what's covered, navigating claims processes, and managing exclusions requires time and attention.

Emergency care remains NHS: For life-threatening emergencies, you'll still go to NHS A&E. Health insurance covers planned treatment, not emergency services.

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Is it right for you?

Health insurance makes most sense if you:

• Are in reasonable health (to avoid extensive exclusions)
• Have disposable income to afford premiums long-term
• Would struggle financially if illness prevented you working
• Value speed and choice in healthcare
• Can't afford to wait months for NHS treatment

Health insurance may be less suitable if you:

• Already have significant pre-existing conditions (limited benefit due to exclusions)
• Are on a very tight budget (premiums may not be sustainable)
• Prefer to self-insure (setting aside savings for private treatment if needed)
• Have access to health insurance through a spouse or partner's employment

Health insurance vs alternatives

Health insurance isn't the only way to protect yourself against illness. Understanding the alternatives helps you make the right choice - or combine different products for comprehensive protection.

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Health insurance vs NHS waiting lists

Some self-employed people decide to simply wait for NHS treatment rather than paying for private insurance. This can work, but consider:

When NHS-only might be acceptable:

• You have savings to cover lost income during illness
• Your work is flexible and can accommodate treatment waits
• You're in excellent health with low likelihood of needing treatment

When NHS-only is risky:

• Your income stops completely when you can't work
• Client relationships depend on your availability
• You have health risk factors suggesting higher treatment likelihood

A middle ground: Some policies only cover conditions where NHS waiting times exceed 6 weeks. This dramatically reduces premiums while still protecting against the longest waits.

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Health insurance vs income protection insurance

These are complementary products, not alternatives:

Health insurance: Pays for private medical treatment to get you better faster.

Income protection: Replaces a percentage of your income (typically 50-70%) if illness or injury prevents you working.

The combination: Health insurance gets you treated quickly; income protection covers your bills while you recover. For self-employed people, both types of cover address different aspects of the illness risk.

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Health insurance vs critical illness cover

Health insurance: Covers ongoing medical treatment for covered conditions.

Critical illness: Pays a tax-free lump sum if you're diagnosed with a specified serious illness (cancer, heart attack, stroke, etc.).

The difference: Critical illness provides money to spend however you want - adapting your home, paying off your mortgage, taking time off. Health insurance provides medical treatment specifically.

For self-employed people: Critical illness cover can provide the financial cushion to step back from your business during serious illness, while health insurance ensures you get the best treatment.

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Health insurance vs self-funding

With average private consultation costs of £150-£250, MRI scans at £350-£800, and private operations running from £5,000-£20,000+, self-funding private treatment requires substantial savings.

Self-funding might work if:

• You have significant savings earmarked for health costs
• You're happy to pay out potentially large sums unpredictably
• You're comfortable navigating private healthcare without support

Insurance is usually better if:

• You prefer predictable monthly costs
• You want claims handling and support included
• You can't easily absorb a £15,000 operation cost

A hybrid approach: Some people choose a high-excess policy (reducing premiums significantly) while self-funding smaller treatments. This protects against catastrophic costs while keeping premiums manageable.

Special circumstances

Every self-employed person's situation is different. Here's guidance for some specific circumstances you might be facing.

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Newly self-employed

If you've recently left employment and are starting out as self-employed, you may be transitioning from employer-provided health insurance or have never had cover before.

Key considerations:

• Timing: Take out cover promptly. If you develop a condition before getting insurance, it becomes a pre-existing condition and won't be covered.
• Budget realism: New businesses often have uncertain income. Choose a sustainable premium level you can maintain even if business is slow.
• Previous cover: If you had employer health insurance, some insurers offer favourable terms for continuing personal cover without a gap.

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Self-employed with fluctuating income

Many self-employed people experience significant income variation month to month or year to year. This creates challenges for ongoing premium commitments.

Strategies:

• Annual payment: Pay premiums yearly during good months rather than committing to monthly payments during leaner periods.
• Higher excess: Accept a higher excess to reduce regular premiums, keeping cover in place even when cash flow is tight.
• Essential cover only: Start with core inpatient/cancer cover and add extras when income is more stable.
• Avoid cancelling: Cancelling and restarting cover later means any conditions developed in the gap won't be covered. Maintaining continuous cover is valuable.

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Self-employed with pre-existing conditions

If you already have health conditions, your options are more limited - but you still have options.

What to expect:

• Pre-existing conditions will be excluded from cover (you can still use NHS for these)
• Premiums may be loaded (increased) if conditions suggest higher general health risks
• Some insurers are more flexible than others - shopping around matters

Practical approach:

• Be completely honest on your application - non-disclosure can void your policy entirely
• Consider moratorium underwriting if your conditions were more than 5 years ago
• Focus on the value of cover for new conditions, not frustration at exclusions

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Covering your family

If you have a partner and/or children, adding them to your policy is often more cost-effective than separate individual policies.

Family cover considerations:

• Children: Usually added at minimal extra cost (sometimes free until age 18-21)
• Partners: Added for a separate premium based on their own age and health
• Pregnancy: Routine maternity isn't covered, but complications may be
• Sharing excess: Some policies have one excess per family rather than per person

Example:

A family of four (two parents aged 40, two children aged 8 and 12) might pay £130/month for joint cover, compared to £85-£90/month for one parent alone. Adding the family increases the premium by roughly 50%, but covers 4 people instead of 1.

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Self-employed contractors (inside IR35)

If you're a contractor whose engagements are deemed inside IR35, you're taxed as an employee but don't receive employee benefits.

Your situation:

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• You can still take out personal health insurance normally
• No tax advantages from providing cover through your limited company
• Consider whether end clients offer health insurance as part of their benefits (some do for long-term contractors)

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Self-employed professionals in high-risk occupations

Some self-employed work involves physical risk - construction, personal training, outdoor instruction, etc.

Considerations:

• Disclose your occupation accurately on application
• Some insurers specialise in particular occupations
• Policies may exclude injuries directly related to your work (check terms carefully)
• Consider whether income protection is equally or more important than health insurance

The application process

Applying for health insurance is straightforward, especially when working with a broker who handles much of the process for you.

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What you'll need to provide

Personal details:

• Name, address, date of birth
• Contact information
• Occupation (self-employed status)

Health information:

• Current and past medical conditions
• Medications you're taking
• Recent GP visits and their reasons
• Hospital admissions and operations
• Family medical history (for some applications)

Coverage preferences:

• Desired coverage level
• Preferred excess
• Hospital preferences
• Any specific coverage requirements

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Timeline expectations

• Quote comparison: Same day if using a broker
• Application completion: 15-30 minutes
• Underwriting (full): 1-5 working days for straightforward cases; longer if additional information needed
• Underwriting (moratorium): Usually same day or next day
• Policy start: Can often be immediate or from a date you choose

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Tips for a smooth application

Be completely honest: Non-disclosure of medical history can void your policy when you need it most. Even if you're tempted to omit something embarrassing or minor, don't.

Have your medical history ready: Knowing dates of previous conditions, medications, and treatments speeds up the process.

Ask questions: If you don't understand something, ask. Better to clarify now than be surprised at claim time.

Read the terms: Before accepting, understand what's covered, what's excluded, and how claims work.

Common uses for health insurance

Understanding how other self-employed people use health insurance helps illustrate its practical value.

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Musculoskeletal problems

Back pain, joint problems, and repetitive strain injuries are common among self-employed people - whether from physical work, prolonged desk work, or the stress of running a business.

How health insurance helps:

• Fast access to orthopaedic consultants
• Private MRI/CT scans within days rather than weeks
• Surgery if needed, without NHS waiting lists
• Physiotherapy as part of recovery

Real example:

Tom, a self-employed electrician (age 48), developed severe lower back pain affecting his ability to work. Through his health insurance, he saw a spinal consultant within 5 days, had an MRI within 10 days, and received a steroid injection treatment within 3 weeks. Total time off work: 2 weeks. Without insurance, the NHS pathway would likely have taken 4-6 months minimum.

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Cancer diagnosis and treatment

Cancer is one of the most common and most valuable uses of health insurance. Early diagnosis and treatment significantly improve outcomes.

How health insurance helps:

• Rapid diagnostic tests when symptoms appear
• Choice of oncologist and treatment centre
• Access to newer treatments that may not be available on NHS
• Private treatment environment during a difficult time

Cancer cover is included in virtually all health insurance policies because of its life-changing importance.

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Mental health support

Mental health conditions affect many self-employed people - the isolation, uncertainty, and pressure of running a business takes its toll. Modern health insurance policies increasingly include mental health cover.

Typical mental health benefits:

• Psychiatric consultations
• Psychological therapy (CBT, counselling, etc.)
• Sometimes inpatient mental health treatment

Limits apply: Most policies cap mental health benefits at £1,500-£10,000 per year for outpatient therapy, which may not cover long-term treatment. Check policy terms carefully if mental health support is a priority.

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Routine operations

Planned operations like hernia repair, gallbladder removal, or knee/hip replacement often have very long NHS waiting times.

How health insurance helps:

• Choose when your operation happens (important for business planning)
• Shorter wait times (weeks rather than months or years)
• Private hospital environment with better facilities

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Diagnostic investigations

Sometimes the most valuable aspect of health insurance is simply finding out what's wrong quickly.

Common diagnostic uses:

• Persistent symptoms needing investigation
• Screening tests not available on NHS
• Second opinions on diagnoses

Fast diagnosis allows faster treatment decisions - whether that treatment happens privately or through the NHS.

Why choose Money Saving Advisors

When you're self-employed, your time is valuable. Researching individual insurers, comparing policies, and navigating medical underwriting takes hours you could spend running your business.

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Our approach

Independent comparison: We compare health insurance from leading UK insurers including Bupa, AXA Health, Aviva, and Vitality, plus specialist providers. This breadth means we can find options suited to your specific circumstances.

Expert guidance: Our advisors understand the nuances of health insurance - which exclusions matter, which coverage to prioritise, and how to navigate underwriting. We explain options clearly without jargon.

Claims support: If you need to claim, we're here to help. Many customers find having a broker on their side valuable when navigating the claims process.

No extra cost: Insurers pay us commission - our service costs you nothing extra compared to going direct.

Our track record

Since 2017, we've helped thousands of UK customers find suitable insurance coverage. As FCA-authorised brokers, we're regulated to treat customers fairly and provide suitable recommendations.

Trustpilot rating: Excellent

Customer feedback:

David K., Manchester | ⭐⭐⭐⭐⭐ | November 2025 "As a self-employed consultant, I'd put off getting health insurance for years. The team at MSA made the whole process simple - explained what I actually needed, compared options, and sorted everything in a week. Really appreciated the honest advice about what was and wasn't covered."

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Get started

If you're considering health insurance for your self-employed business, taking the first step is straightforward.

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Three ways to proceed

1. Get a free quote comparison

See prices from multiple insurers based on your requirements. Takes 2 minutes, no obligation.

What you'll receive:

• Quotes from our panel of insurers
• Clear comparison of coverage and costs
• Recommendation suited to your circumstances

2. Speak with an advisor

Discuss your situation with a specialist who can answer questions and guide you through options.

Call us: Available Monday to Friday, 9am-5pm

What to expect:

• No-pressure conversation about your needs
• Expert guidance on coverage requirements
• Help understanding policy terms and exclusions

3. Request a callback

Leave your details and we'll call at a time that suits you.

How it works:

• Submit your details and preferred time
• We'll call you back within 24 hours
• Discuss your requirements without obligation

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What happens next

1. We assess your needs: Understand your circumstances, budget, and coverage priorities
2. We search the market: Compare options from our panel of insurers
3. We present recommendations: Explain your options clearly with honest advice
4. You decide: No pressure - take time to consider
5. We handle the paperwork: If you proceed, we manage the application process
6. Ongoing support: We're here if you need to claim or have questions

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Choosing the right provider

The UK health insurance market includes several major providers, each with different strengths. Understanding your options helps you make an informed choice.

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Major health insurance providers

Bupa: The UK's largest private health insurer with over 75 years of experience. Bupa owns its own hospitals and clinics, which can mean faster access to treatment. They offer comprehensive policies but tend to be premium-priced. Best for those wanting a well-established provider with extensive facilities.

AXA Health: Part of the global AXA insurance group, AXA Health offers competitive pricing with solid coverage. Their digital tools and app are well-regarded. They often provide good value for mid-range cover. Best for those seeking balance between coverage and cost.

Aviva: One of the UK's largest insurers overall, Aviva Health offers flexible policies with modular coverage you can customise. Their pricing is competitive, and they have strong financial stability. Best for those wanting flexibility in policy design.

Vitality: Takes a different approach, rewarding healthy behaviours with discounts and rewards. Their app tracks activity and offers incentives for gym visits, healthy eating, and health screenings. Premiums can reduce if you engage with their wellness programme. Best for those motivated by gamification and rewards.

WPA: A not-for-profit insurer that reinvests surplus into the business rather than shareholders. This often translates to competitive pricing and strong claims service. Best for those who prefer a mutual/not-for-profit ethos.

The Exeter: Specialist insurer focusing on health and protection products. Known for good claims service and specialist underwriting. Best for those with specific needs or who want personal service.

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Provider comparison factors

When comparing providers, consider these factors beyond just price:

Claims acceptance rates: What percentage of claims does the insurer pay? Reputable insurers publish this data - rates above 90% are typical for the major providers.

Hospital and consultant networks: Does the insurer have agreements with hospitals you'd want to use? Larger networks give more choice but may cost more.

Digital services: Can you manage your policy and claims via app? How easy is the claims process? Modern digital tools make a real difference when you need to use your insurance.

Customer service: What are contact hours? How long do customers wait to speak to someone? Check independent reviews on Trustpilot and similar sites.

Financial stability: Is the insurer financially sound? The ABI and financial strength ratings can help assess this. You want an insurer that will be around to pay your claims.

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Making the most of your policy

Once you have health insurance, understanding how to use it effectively maximises its value.

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Know your policy details

Take time to understand exactly what your policy covers. Key things to know:

• Your excess amount: How much you pay per claim or policy year
• Outpatient limits: Annual caps on consultations, therapies, etc.
• Hospital list: Which hospitals and consultants are covered
• Referral requirements: Whether you need a GP referral to claim
• Pre-authorisation process: How to get claims approved before treatment

Keep your policy documents accessible - many insurers have apps where you can view coverage details instantly.

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Use GP services effectively

Most health insurance claims start with a GP referral. Some policies include private GP services, but if yours doesn't, your NHS GP can refer you privately.

Tips for getting referrals:

• Be clear with your GP that you want a private referral
• Ask for an "open referral" if your policy allows consultant choice
• Request copies of any letters or test results for your records
• Don't wait - see your GP promptly when symptoms develop

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Register claims promptly

Contact your insurer before booking private appointments. Most insurers have straightforward claims processes:

1. Call the claims line or use the app
2. Provide details of your condition and proposed treatment
3. Receive authorisation and a claim reference number
4. Book your private appointment

Pre-authorising claims avoids nasty surprises where treatment isn't covered.

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Keep records

Maintain a simple record of:

• Claims you've made and outcomes
• Correspondence with your insurer
• Treatment received and providers used
• Any ongoing conditions and their treatment

This helps at renewal time and if any disputes arise.

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Review cover annually

At renewal, assess whether your coverage still suits your needs:

• Has your health changed, affecting what cover matters?
• Are you paying for benefits you don't use?
• Would a higher excess reduce premiums to a more comfortable level?
• Have circumstances changed (income, family, etc.)?

Don't automatically renew - check whether your current policy remains the best fit.

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Common mistakes to avoid

Self-employed people taking out health insurance often make similar errors. Learning from others' experiences helps you avoid these pitfalls.

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Not disclosing medical history fully

The most serious mistake. If you fail to disclose relevant medical history and later claim for something related, the insurer can refuse the claim or void your policy entirely. Always be completely honest, even about conditions you think are minor or embarrassing.

The rule: When in doubt, disclose it. Let the insurer decide if it's relevant.

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Choosing the cheapest policy without understanding coverage

A £35/month policy with extensive exclusions and high excess may provide less protection than a £50/month policy with comprehensive coverage. Understand exactly what you're getting before deciding based on price alone.

Questions to ask:

• What's excluded?
• What are the limits on outpatient/therapy claims?
• What hospital/consultant restrictions apply?
• What's the excess?

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Waiting until you're unwell

Health insurance only covers conditions developing after you take out the policy. If you wait until you're experiencing symptoms, that condition won't be covered. Taking out insurance while healthy ensures maximum protection.

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Not pre-authorising claims

Booking expensive private treatment without checking coverage first can leave you with unexpected bills. Always contact your insurer before committing to treatment.

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Cancelling during tough times

When cash flow is tight, health insurance premiums can seem like an easy cut. But cancelling means any conditions that develop during the gap won't be covered by future policies. Consider reducing coverage or increasing excess instead of cancelling entirely.

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Assuming everything is covered

No health insurance covers everything. Pre-existing conditions, chronic disease management, fertility treatment, and many other situations fall outside standard cover. Read your policy terms and understand the exclusions.

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Not using preventive benefits

Many policies include health assessments, wellness programmes, or preventive screenings. These aren't just nice extras - they can identify problems early when they're easier to treat. Use the benefits you're paying for.

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Health insurance and your business

For self-employed people, health insurance isn't just personal protection - it's a business decision. Understanding how it fits into your overall business planning helps you make better choices.

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The cost of illness to your business

When you can't work, several things suffer:

Direct income loss: No work means no earnings. Unlike employees, you don't get sick pay.

Client relationships: Missing deadlines, cancelling meetings, or being unavailable damages client confidence.

Pipeline and marketing: When you're ill, you're not winning new work. Recovery often means catching up on existing commitments, leaving no time for business development.

Reputation: In competitive markets, being unreliable - even for legitimate health reasons - can permanently damage your reputation.

Recovery costs: Getting back to full capacity after illness takes time. You may need to rebuild client relationships, catch up on admin, and restart marketing efforts.

Health insurance helps minimise the duration of health-related interruptions, reducing all these impacts.

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Building a protection pyramid

Self-employed people should think about protection in layers:

Foundation: Emergency fund 3-6 months' expenses in accessible savings covers short-term issues and policy excesses.

Layer 1: Health insurance Gets you treated faster, minimising work interruption from health problems.

Layer 2: Income protection Replaces income (typically 50-70%) if you can't work due to illness or injury.

Layer 3: Critical illness cover Provides a lump sum if diagnosed with specified serious illnesses.

Layer 4: Life insurance Protects dependents if you die - especially important if others rely on your income.

Each layer addresses different risks. Health insurance alone isn't a complete protection strategy, but it's an important component.

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Annual review

Include health insurance in your annual business review:

• Is the coverage level still appropriate?
• Has your budget changed, allowing for better cover (or requiring cuts)?
• Have your health circumstances changed?
• Are you using the policy effectively?

Treating health insurance as a business expense (even if it's not tax-deductible) encourages appropriate attention to protection planning.

The self-employed health insurance checklist

Before finalising your health insurance decision, work through this checklist:

Before you apply

• [ ] Understand what you need: Speed? Choice? Budget constraints?
• [ ] Know your budget: What can you afford long-term?
• [ ] Gather medical history: List conditions, dates, and treatments
• [ ] Compare multiple quotes: Don't just go with the first option
• [ ] Understand exclusions: Know what isn't covered
• [ ] Check excess levels: Balance premium vs out-of-pocket costs

When applying

• [ ] Disclose everything: Be completely honest about medical history
• [ ] Ask questions: Clarify anything you don't understand
• [ ] Read the terms: Understand coverage, exclusions, and claims process
• [ ] Keep copies: Save application documents and policy terms

After taking out cover

• [ ] Know how to claim: Understand the process before you need it
• [ ] Save contact details: Have insurer claims line accessible
• [ ] Register for digital services: Set up app access if available
• [ ] Calendar your renewal: Review cover before automatic renewal

Ongoing

• [ ] Keep cover continuous: Avoid gaps that create pre-existing condition issues
• [ ] Review annually: Check cover still meets your needs
• [ ] Update insurer: Notify of significant changes (address, etc.)
• [ ] Use preventive benefits: Take advantage of included health assessments