The Association of British Insurers (ABI) has highlighted the rise in popularity of private medical insurance (PMI) shown in report on health insurance by Datamonitor. The report said that nearly seven million people are now covered by PMI.
Richard Walsh, head of health insurance at ABI said; "Employers are becoming increasingly aware of the benefits of offering PMI as an employee benefit. This is reflected by the 27% rise in the number of group PMI schemes between 1997 and 2002. As a result the overall number of people covered by PMI continues to grow."
He added: "Over the years rises in the rate of Premium Insurance Tax, and the abolition of tax relief for individuals have impacted on the cost of premiums, but insurers continue to provide affordable and good value products for all their customers."
