The Exeter has issued a £5.3m rebate to its health insurance members due to lower levels of claims being made in 2020 and 2021.
The rebate will see members receive an average return of £346 per policy, equivalent to two months’ premiums excluding insurance premium tax, the mutual said.
The insurer attributed the move to it not receiving the level of claims it expected across 2020 and 2021. This was partially due to a delay in some non-critical treatments as private hospitals were requisitioned by the NHS during the pandemic.
Consequently, it will be sending a rebate to its UK health insurance members, passing back any unexpected financial saving arising from Covid-19.
This includes refunding partial premiums to those who cancelled or changed their cover in 2020.
The Exeter added it will contact members over the coming weeks to explain how they will receive their payment.
In 2020, WPA issued two rounds of rebate payments to customers of around £3.7m each, while Bupa announced in March last year a £125m payment to its UK health insurance customers – paying rebates to 99% of these customers.
Aviva has also pledged that if PMI claims are lower than planned over the entire period of the pandemic due to the restricted availability of private medical treatment, it will return any difference to policyholders. In October it extended the time period that this would cover until the end of 2022.
Isobel Langton, CEO at The Exeter, (pictured) said she wanted to thank members for their loyalty and patience throughout the difficult period.
“As a mutual, our members are at the forefront of every decision we make. That’s why we are delivering on our pledge to give them a fair return on their premiums in light of the impact the pandemic had on health insurance claims,” she said.
“Throughout the pandemic we have invested in providing our members with health services from home, including virtual access to specialist consultations via our HealthWise app and our clinical support centre.
“We remain as committed as ever to delivering the best outcomes for our members and encourage them to continue to seek the advice and treatment they need.”
