Health insurance company will suspend cover for a year

Private medical insurance company Groupama Healthcare will give their customers the chance to suspend medical insurance cover if the recession has hurt their ability to cover premium costs.

CoverBreak will allow businesses up against the wall the chance to take a 12-month break in group health insurance . The business can then reinstate the cover without going through the full underwriting process.

Groupama spokesman Alistair Sclare reportedly commented: It is not surprising that in an effort to cut costs, some small businesses might consider stopping their group PMI cover. This is a serious decision, as any pre-existing conditions would be excluded under a new policy . However, CoverBreak by Groupama Healthcare removes this restriction allowing businesses to take a 12-month break and come back, reinstating the policy with the same medical underwriting terms they had. All that will apply is a temporary waiting period for conditions that have occurred during the cover break.