BUPA speak out about Tesco health insurance

Health insurance news this week indicates that Tesco will enter the health insurance market, using their extensive distribution network to offer discounts on private medical insurance for their customers. The news was instantly followed by responses from top health insurance companies .

The commercial director of BUPA Health Insurance, Steve Flanagan, reportedly had the following to say: People may pay less for Tesco health insurance but it could cost them dearly in the end. Flanagan picked holes in the policies, particularly the ‘moratorium underwriting’ that Tesco are expected to employ.

He said: Much has been being made of the no claims discounts on offer but these could discourage some people from seeking early treatment which can't be good. People should have access to high quality treatment as and when the need arises and not feel penalised or discouraged from seeking medical help. By not requesting a person's medical history when they first buy cover, people may not fully understand what they are covered for until they claim, which for some will be too late. We believe there should be no surprises and we make it very clear from the start what they are covered for.

Flanagan recommended that people see an IFA when deciding on health insurance, concluding: People buying health insurance should consult an independent financial adviser who will be able to help them find the most appropriate cover for their individual needs. However, anything which makes health insurance available to more people is good news for customers.