The Association of British Insurers has released figures showing a fall in individual sales of private medical insurance, yet record amounts were paid out in claims.
The association has said that £2.284 billion was paid in private medical insurance claims, and a total of 6.55 million people were covered through corporate or personal PMI subscriptions last year.
In 2005, the total number of PMI subscriptions was 3.677 million, up from 3.665 million in 2004, and 2.665 million corporate subscribers in 2005, up from 2.614 million in 2004. Total gross earned premiums in 2005 was £2.984 billion, compared with £2.891 billion in 2004.
Our view
We believe that given the ageing population, people should seriously consider private cover. It is a surprise that the numbers are falling and not rising.