Datamonitor¹s new report "UK Health Insurance 2002" suggests there will be an increase in private medical insurance (PMI) subscription levels with the development of new products with lower premiums.
The report states that due to rising premiums, the individual private medical insurance (PMI) market is continuing to lose customers. The rise in premiums is being driven by both an increase and cost in the number of claims being made.
Datamonitor¹s financial services analyst and author of the report Fiona O'Regan said: "When talking to insurers we found that they do not expect that the increased investment in the NHS will lead to dramatic improvements. This will drive people to make provisions for their health care. As customer awareness of the new, more affordable products increases, the PMI market will enjoy rising numbers of policyholders, which will in the medium to long term serve to revive the stagnant market."
