Specialist over 60 health insurer Lateral has launched its new health plan for the over-60s market through Rapid Quote, opening applications for a select group of specialist private medical insurance (PMI) brokers.
It will be using a flat commission model with the aim of building long-term relationships through advisers and clients.
The Lateral Health Plan, which launched back in February, has been designed specifically for healthy adults aged over 60 providing an alternative for customers who want continued access to private healthcare but may no longer need, or want, traditional comprehensive PMI.
At the time it told Health & Protection its primary route to market is direct to consumer, but over time it would “like to explore working with selected financial advisers particularly those supporting retirement planning who are aligned with our vision”.
The insurer has now said it is initially looking to appoint a select number of specialist broker agencies, and had deliberately “introduced a commission structure that rewards brokers for supporting clients over the long term“.
Five-year age bands
Lateral’s targeted health plan works alongside the NHS focused on the areas customers are most likely to self-pay for privately, including consultations, diagnostics, tests and eligible procedures.
The product, now available through Rapid Quote, the broker-facing PMI and protection sourcing platform, aims to give specialist advisers access to a new option for clients approaching or already in retirement.
Underwritten by Tokio Marine HCC, the plan gauges eligibility through a health questionnaire alongside moratorium underwriting with a simple application process.
The firm said the product has been designed to remove unnecessary complexity, offering a single plan with transparent pricing in five-year age bands such as 60-64, 65-69, and 70-74.
It includes up to £2,000 of outpatient cover for private consultations, diagnostics and tests, up to £5,000 for eligible minor procedures and up to £50,000 for eligible major procedures, with a standard £100 excess.
A 69-year-old customer living in London, for example, would pay £150 per month.
‘Deliberately taking selective approach’
Laura Ashforth, CEO and co-founder of Lateral, (pictured left) said: “We’re deliberately taking a selective approach. We want to work with brokers who share our belief that healthy adults in their 60s and 70s deserve products built specifically for the way they live today.
“Our ambition is to support customers throughout later life, and that means fostering long-term relationships between customers and their advisers. We’ve introduced a commission structure that rewards brokers for supporting clients over the long term, rather than simply at the point of sale.”
Steve Warden, director at Rapid Quote, said: “The arrival of Lateral marks a major milestone for the PMI market. Their flat year-on-year commission model offers a sustainable alternative to traditional broker structures, replacing aggressive churn with long-term value.
“With robust underwriting support and a modern operational framework, Lateral is positioned to be a standout leader of the often forgotten over 60’s space in the industry.”
Ashforth added: “We’re seeing a generation that’s redefining what later life looks like.
“People are living longer, staying active and taking a proactive approach to their health, but the options available to them have not evolved at the same pace. Too many healthy people in their 60s and 70s are paying premiums that don’t reflect the way they live today.
“Many customers still want the reassurance, speed and choice private healthcare can provide, but the traditional PMI model does not always reflect what they need at this stage of life.
“We built Lateral to create a sustainable alternative. By focusing on the treatments people are most likely to self-pay for, and excluding areas where the NHS remains the most appropriate provider, we know there is a real opportunity to support this underserved market.”