As part of Health & Protection’s Guide to PMI for new entrants, Emily Mae Collins, policy adviser for health and protection at the Association of British Insurers (ABI), looks into the increasingly important role PMI plays in keeping people well and helping them recover after illness or injury.
With a focus on prevention, early intervention and timely access to care, PMI delivers tangible support to individuals and their loved ones.
As the UK faces rising levels of economic inactivity due to ill-health, PMI can also help employers build healthier, more resilient workforces – benefiting businesses and the wider economy.
Download the Guide to PMI for new entrants here
Designed to complement the care provided by the NHS, PMI supports access to prompt diagnosis and treatment for acute conditions.
It is a product that has seen significant uptake in recent years, with 6.2 million people covered through individual and employer-provided policies across 2024 – 7% higher compared to 2023.
While insurers historically focused on providing treatment after an illness has occurred, the market has evolved in recent years.
Proactive care and earlier engagement
Today, it places far greater emphasis on support for healthy lifestyles and delivers services that can identify potential health issues earlier, helping to reduce the likelihood of conditions worsening or occurring altogether.
This shift towards proactive care is reflected in findings from our report, Supporting the Nation’s Workforce: The role of health and protection insurance, which explores the use of benefits provided by health and protection insurers, including PMI providers.
The report shows in 2023, more than half (51%) of interactions with insurer-provided health services focused on prevention, diagnosis and early intervention rather than treatment alone.
These findings underline insurers’ commitment to supporting earlier engagement with health services, which can mitigate existing health risks and improve outcomes.
Product options
In addition to traditional inpatient and outpatient treatment, many PMI policies now typically offer virtual GP appointments, digital therapies, mental health support and physiotherapy.
In 2023, these services, provided by health and protection insurers, were accessed more than 10 million times, a 22% increase compared to the previous year.
That growth reflects how insurers are responding to customers’ expectations for timely, flexible healthcare that suits their needs.
Insurers provide further flexibility to individuals and employers by offering a range of cover options, including comprehensive PMI and targeted policies.
Such products allow advisers to help clients find cover that reflects their needs, rather than relying on a one-size-fits-all approach.
For individuals, PMI can provide reassurance and practical support when it matters most.
Earlier access to diagnosis, treatment and specialist services can significantly reduce recovery times, allowing people to get back to daily routines faster and with greater confidence.
By helping to reduce the risk of prolonged absence from work or withdrawal from employment due to ill health, PMI also plays an important role in helping people protect their income and maintain financial stability.
Extending benefits to the workplace
Employer-provided health insurance extends these benefits to the workplace, making it a valuable tool for businesses to address rising rates of ill-health and economic inactivity caused by long-term sickness.
By supporting employees to stay well and facilitating access to prompt care when problems arise, this cover can help to improve productivity and reduce the frequency and duration of sickness absence.
Over time, this support contributes to a more engaged workforce and can also help employers manage the operational and financial impacts associated with long-term ill health.
As meaningful employer-provided health support becomes increasingly important to workers, insurance has become an important signal of an organisation’s commitment to employee wellbeing.
From small-and-medium-sized enterprises to the UK’s largest employers, these products are a core component of workplace health strategies across a range of sectors.
Advisers play a critical role in this landscape, helping organisations understand how insurance can be shaped to meet workforce needs, align with broader business objectives and support a healthier, more resilient workforce.
