The cost of living is causing customers to increasingly explore child-only private medical insurance (PMI) policies where parents are choosing to cover their dependants rather than themselves.
Speaking at Health & Protection’s Health Summit, Sam Hudson, managing director at Assured Futures, revealed one of the more interesting trends he has observed over the past year has been increased interest in child-only policies.
“They are becoming really quite popular – becoming a very significant part of what we do,” Hudson (pictured left) said.
“It might be to do with the demographic that we attract, but I think it’s partly the cost of living.
“So, sometimes you have got clients who are on the company scheme and they have dependants for example. It’s a good route for them or who are choosing to say, ‘I’m not going to insure myself but I want my children to be insured’.”
Hudson added that average premiums are roughly a quarter of an adult policy “so it becomes much more affordable and much more attractive.”
And he agreed that this was part of a growing demand for more cost-effective or configurable products.
“There are ways which some insurers are looking at but I would absolutely agree with modularity,” Hudson continued.
“You have got the full fat option or a cash plan effectively so I think we can do much more to make a more graduated set of products for sure.”