TL;DR
As an FCA-authorised expert with over 900,000 policies issued, WeCovr understands that navigating the world of private medical insurance in the UK can feel complex. This guide demystifies one of the most important aspects: portability, or what cover you can take with you when you switch insurers. What cover you can take with you when switching insurers Private health insurance portability is the ability to move your health cover from one insurance provider to another without losing cover for medical conditions that have developed while you were insured.
Key takeaways
- Leaving a Company Scheme: When you leave a job that provided private health cover, that benefit ends. You'll need to arrange your own personal policy and decide how to carry over your cover.
- Switching Personal Policies: You might want to switch your existing personal policy to find a better price, enhanced benefits, or improved customer service.
- How it works: The policy automatically excludes any medical conditions you've had symptoms, treatment, or advice for in the five years before the policy starts.
- The "Rolling" Two-Year Rule: If you go for two continuous years on the policy without needing any treatment, medication, or advice for that pre-existing condition, the exclusion may be lifted, and it could become eligible for cover.
- Switching Impact: If you switch to a new policy on a moratorium basis, the clock resets. The new insurer will apply a new five-year look-back period, potentially excluding conditions that your old insurer was already covering. This is generally not the best option if you have developed health conditions on your old policy.
As an FCA-authorised expert with over 900,000 policies issued, WeCovr understands that navigating the world of private medical insurance in the UK can feel complex. This guide demystifies one of the most important aspects: portability, or what cover you can take with you when you switch insurers.
What cover you can take with you when switching insurers
Private health insurance portability is the ability to move your health cover from one insurance provider to another without losing cover for medical conditions that have developed while you were insured. Think of it as taking your health insurance history with you to a new home.
This is crucial because, in the UK, a new private medical insurance (PMI) policy typically excludes pre-existing conditions. If you simply cancel one policy and start another, you could find yourself uninsured for health issues that your previous insurer was happy to cover.
The ability to switch seamlessly depends almost entirely on one thing: the type of underwriting you choose for your new policy. Understanding this is the single most important step in protecting your continuity of cover.
There are two main reasons people need to consider portability:
- Leaving a Company Scheme: When you leave a job that provided private health cover, that benefit ends. You'll need to arrange your own personal policy and decide how to carry over your cover.
- Switching Personal Policies: You might want to switch your existing personal policy to find a better price, enhanced benefits, or improved customer service.
In both scenarios, the goal is to avoid new medical exclusions and ensure you remain covered for conditions that have arisen since you first took out a policy.
Understanding Underwriting: The Key to Portability
Underwriting is the process an insurer uses to assess your health and medical history to decide the terms of your policy. The method you choose when you switch will determine what is and isn't covered. Let's break down the main types.
1. Moratorium (Mori) Underwriting
This is the most common type for new personal policies. It's simple and quick because you don't have to fill out a detailed medical questionnaire.
- How it works: The policy automatically excludes any medical conditions you've had symptoms, treatment, or advice for in the five years before the policy starts.
- The "Rolling" Two-Year Rule: If you go for two continuous years on the policy without needing any treatment, medication, or advice for that pre-existing condition, the exclusion may be lifted, and it could become eligible for cover.
- Switching Impact: If you switch to a new policy on a moratorium basis, the clock resets. The new insurer will apply a new five-year look-back period, potentially excluding conditions that your old insurer was already covering. This is generally not the best option if you have developed health conditions on your old policy.
2. Full Medical Underwriting (FMU)
With FMU, you provide a full picture of your health upfront by completing a comprehensive medical declaration.
- How it works: You list all your past medical conditions. The insurer's underwriting team reviews your history and decides what to cover. They will apply specific, named exclusions to your policy from day one for any pre-existing conditions.
- Clarity from the start: The main benefit is certainty. You know exactly what is and isn't covered from the outset, with no grey areas.
- Switching Impact: Like a moratorium, switching to a new policy on an FMU basis means you will likely have new exclusions applied for any conditions you've suffered from, even if your previous policy covered them.
3. Continued Personal Medical Exclusions (CPME)
This is the most important type of underwriting for portability. CPME is specifically designed for people who are already insured and want to switch to a new provider.
- How it works: With CPME, you essentially transfer your original underwriting terms to the new insurer. The new provider agrees to match the exclusions of your old policy. This means any condition that was covered by your old policy will also be covered by your new one.
- The Gold Standard for Switching: It ensures there are no new medical exclusions added to your policy when you move. You maintain continuity of cover for any conditions that have developed since you first took out health insurance.
- Requirements: To be eligible for CPME, you must be switching from an existing UK private medical insurance policy without any gap in cover. You'll need to provide your current policy certificate to the new insurer.
4. Medical History Disregarded (MHD)
MHD is typically only available for larger company group schemes. It offers the most comprehensive cover.
- How it works: The insurer agrees to cover all eligible acute conditions, regardless of your past medical history. Pre-existing conditions are covered from day one (as long as they are not chronic).
- Switching Impact: You cannot usually switch from a company MHD scheme to a personal policy and keep MHD terms. When you leave the company, you will need to choose a new personal policy with either Moratorium, FMU, or CPME underwriting (if switching from a previous personal plan).
Comparing Underwriting Options When Switching
| Underwriting Type | How It Works for Switching | Best For... | Key Consideration |
|---|---|---|---|
| Moratorium (Mori) | Resets the clock. New 5-year look-back for pre-existing conditions. | Individuals who are young, healthy, and have had no medical issues on their previous policy. | You risk losing cover for conditions that arose under your old policy. |
| Full Medical (FMU) | Requires a new full medical declaration. Any past conditions will likely be excluded. | People who want absolute clarity on exclusions from day one and have a simple medical history. | Any conditions that arose or were treated under your old plan will be newly excluded. |
| Continued (CPME) | Transfers your original underwriting terms. No new medical exclusions are added. | Almost everyone switching from an existing personal or company policy. | You must switch without a gap in cover. This is the only way to maintain cover for existing conditions. |
How to Switch Your Private Health Insurance Policy: A Step-by-Step Guide
Switching your private health cover can feel daunting, but following a structured process makes it simple and safe. The golden rule is: never cancel your existing policy until your new one is fully in place.
Here’s our expert-approved process:
Step 1: Review Your Current Policy
Before you look for alternatives, understand what you currently have. Check your policy documents for:
- Level of Cover: What’s included? (e.g., inpatient, outpatient, therapies).
- Excess: How much do you have to pay towards a claim?
- Hospital List: Which hospitals can you use?
- Underwriting Type: Is it Moratorium, FMU, or something else? This is on your policy certificate.
- Renewal Date: This is the ideal time to switch.
Step 2: Compare the Market (with an Expert)
The UK private medical insurance market is crowded with options from providers like Bupa, AXA Health, Aviva, and Vitality. Comparing them like-for-like can be tricky.
This is where a specialist PMI broker like WeCovr becomes invaluable. An expert broker can:
- Access policies from across the market, including deals not available to the public.
- Explain the subtle differences in policy wording and benefits.
- Do all the legwork in finding the best policy for your specific needs and budget.
- Manage the entire switching process for you, at no cost.
Step 3: Choose Your Underwriting Method
Based on your medical history since your original policy began, this is a critical decision.
- If you have developed new conditions or claimed on your old policy: You must switch on a Continued Personal Medical Exclusions (CPME) basis. This is the only way to ensure those conditions remain covered.
- If you have remained in perfect health and never claimed: You could consider switching on a Moratorium or FMU basis, as it might be slightly cheaper. However, a broker can advise if the small saving is worth the risk.
Step 4: Apply for Your New Policy
Your broker will help you complete the application forms. If you're applying for CPME, you'll need to provide a copy of your current Certificate of Insurance. The new insurer will use this to confirm your original start date and underwriting terms. Be completely honest and accurate in your application.
Step 5: Receive Acceptance and Cancel Your Old Policy
Wait until you have received official confirmation and your new policy documents from the new insurer. Only then should you contact your old provider to cancel your policy, ensuring there is no gap in your cover. If you pay by Direct Debit, remember to cancel it with your bank.
Pre-existing and Chronic Conditions: The Golden Rule of UK PMI
It is vital to understand a fundamental principle of private medical insurance in the UK.
Standard private health insurance is designed to cover acute conditions that arise after your policy begins.
- An acute condition is a disease, illness, or injury that is likely to respond quickly to treatment and lead to a full recovery (e.g., a cataract, joint replacement, hernia repair).
- A chronic condition is a disease, illness, or injury that has one or more of the following characteristics: it needs ongoing or long-term monitoring, requires palliative care, has no known cure, or is likely to come back (e.g., diabetes, asthma, high blood pressure, arthritis).
Private medical insurance does not cover the routine management of chronic conditions. It also does not cover pre-existing conditions unless you are on very specific (and rare for individuals) MHD terms or have passed the two-year moratorium period for a condition without issue.
This is why CPME underwriting is so powerful. If you develop a condition like knee pain while insured and your PMI policy covers the investigation and an operation, that condition is now part of your "covered" medical history. If you switch insurers on a Moratorium or FMU basis, that same knee pain would now be classed as a pre-existing condition and be excluded. With CPME, it remains covered.
When is the Best Time to Switch Your PMI Policy?
Timing is everything. Switching at the right moment can save you money and hassle.
- At Your Annual Renewal: This is the most common and easiest time to switch. Your insurer will send you a renewal notice with your new premium for the upcoming year. This is your cue to shop around and see if you can get a better deal elsewhere. Price hikes at renewal are common, and you are under no obligation to accept them.
- When Leaving a Company Scheme: As soon as you know you're leaving your job, you should start looking for a personal policy. Insurers often have specific 'group leaver' options that can make the transition to a personal plan smoother, often using a form of CPME.
- When Your Circumstances Change: Life events can change your insurance needs. This could include starting a family, your children leaving home, retiring, or wanting to add new benefits like mental health cover.
- If You're Unhappy with Service: If you've had a poor claims experience or find your current insurer's customer service lacking, you have the right to vote with your feet and move to a provider with a better reputation. WeCovr enjoys very high customer satisfaction ratings, reflecting our commitment to excellent service.
Example Scenarios: Putting Portability into Practice
Let's look at some real-life examples to see how this works.
Scenario 1: Sarah, Leaving a Company Scheme
- Situation: Sarah has been on her company's Medical History Disregarded (MHD) group scheme for five years. During this time, she had physiotherapy for back pain. She is now leaving to start her own business.
- Challenge: She cannot take the MHD terms with her. She needs a personal policy.
- Options:
- Moratorium: If she takes a new policy on a Mori basis, her back pain will be considered a pre-existing condition and will be excluded for at least two years.
- CPME Switch: Sarah's best option is to work with a broker to arrange a 'group leaver' switch on a CPME basis. The new insurer will effectively treat her original start date as the day she joined her company scheme. Because her back pain was covered under that policy, it will remain covered under her new personal plan.
Scenario 2: David, Looking for a Better Deal
- Situation: David has had a personal PMI policy with Insurer A for ten years. His renewal premium has just increased by 20%. Two years ago, he claimed for investigations into a heart palpitation, which turned out to be benign but is now on his record.
- Challenge: He wants a cheaper policy but is worried about losing cover for any future heart-related issues.
- Solution: David must switch to Insurer B on a CPME basis. If he just takes out a new Mori or FMU policy, anything related to heart palpitations will be explicitly excluded. By using CPME, he transfers his original underwriting terms. Insurer B agrees to cover him on the same basis as Insurer A, meaning the palpitations are not considered a pre-existing exclusion. A broker like WeCovr can manage this complex switch seamlessly.
The Critical Role of a Health Insurance Broker
Whilst you can approach an insurer directly, using an independent, expert PMI broker offers significant advantages, especially when switching.
- Whole-of-Market Access: A broker isn't tied to one insurer. They can compare policies and prices from all leading UK providers to find the perfect fit for you.
- Expertise in Portability: Brokers live and breathe underwriting. They understand the nuances of CPME and will ensure your application is handled correctly to protect your continuity of cover.
- No Extra Cost: Brokers are paid a commission by the insurer you choose, so their expert advice and administrative support are free of charge to you. The premium is the same as going direct.
- Personalised Service: A good broker takes the time to understand your needs, health history, and budget. They act as your advocate, ensuring you get the right cover, not just the cheapest.
WeCovr not only provides this expert guidance but also offers additional value. Our clients gain complimentary access to our AI-powered calorie and nutrition tracking app, CalorieHero, to support their wellness goals. Furthermore, customers who purchase PMI or Life Insurance through us can receive exclusive discounts on other types of cover, like home or travel insurance.
Beyond Insurance: A Proactive Approach to Your Health
While private medical insurance is an excellent tool for when things go wrong, the best strategy is always to stay healthy. The NHS continues to face significant pressure, with waiting lists in England reaching 7.54 million in April 2024 (NHS England data). Taking proactive steps to manage your health can reduce your reliance on medical services.
- Balanced Diet: Follow the principles of the NHS Eatwell Guide. A diet rich in fruits, vegetables, whole grains, and lean proteins can help prevent a range of chronic conditions.
- Regular Activity: Aim for at least 150 minutes of moderate-intensity activity (like brisk walking or cycling) or 75 minutes of vigorous-intensity activity (like running or tennis) a week.
- Prioritise Sleep: Most adults need 7-9 hours of quality sleep per night. Poor sleep is linked to a higher risk of heart disease, diabetes, and poor mental health.
- Manage Stress: Chronic stress can impact your physical health. Practices like mindfulness, spending time in nature, and maintaining strong social connections are powerful stress-reducers.
By combining a healthy lifestyle with a robust, portable private medical insurance policy, you create a powerful safety net for you and your family's future.
Can I switch my private health insurance if I am currently receiving treatment?
What happens if there is a gap between my old and new health insurance policies?
Do I need a new medical examination to switch insurers on a CPME basis?
Take Control of Your Health Cover Today
Understanding private health insurance portability gives you the freedom to choose the best provider for your needs without fear of losing valuable cover. Whether your renewal is approaching, you're leaving a company scheme, or you're simply looking for better value, the key is to switch intelligently.
Don't navigate the complexities alone. The expert team at WeCovr is here to provide free, impartial advice. We will compare the entire market for you and manage the switching process from start to finish, ensuring your continuity of cover is protected.
[Get Your Free, No-Obligation Quote from WeCovr Today]
Sources
- Office for National Statistics (ONS): Mortality, earnings, and household statistics.
- Financial Conduct Authority (FCA): Insurance and consumer protection guidance.
- Association of British Insurers (ABI): Life insurance and protection market publications.
- HMRC: Tax treatment guidance for relevant protection and benefits products.
