IPT to increase to 9.5% on Private Medical Insurance


Published Friday, July 10, 2015

With Insurance Premium Tax (IPT) set to increase to 9.5% on Private Medical Insurance (PMI) premiums in the UK, now is a good time for employers to consider the benefits of a Healthcare Trust for their corporate healthcare schemes.



undefinedThe UK Chancellor’s announcement this week that IPT is to increase from 6% to 9.5% in November will have a big impact on the cost of corporate PMI schemes, at a time when many employers are already struggling with stretched budgets.

Healthcare Trusts are not subject to IPT in the same way, so there are significant cost savings to be made, in addition to all the other advantages they can offer over traditional corporate healthcare schemes.
 

With a Healix Healthcare Trust employers can reduce costs and control quality, without restricting their employees’ choice of hospital or consultant.

 
At Healix, all our claims are managed by nurses instead of claims administrators. Their knowledge, empathy and understanding means they are able to provide employees with a much greater level of support and care.  It also means they have the knowledge and expertise to contain costs by ensuring that claims are managed appropriately without costs being unnecessarily inflated and without choice being restricted.

Healix Healthcare Trusts offer many advantages over traditional PMI:

  • Lower cost to employer               
  • Lower P11d rate for employees
  • Superior claims service
  • No ‘Open Referral’ or hospital restrictions
  • Flexibility in scheme design
  • Employer retains funds when claims are low
  • Costs capped in high claim years
  • Other healthcare benefits can be integrated within the Trust  - Expat iPMI, Cash Plan, Dental, EAP, Business Travel, Critical Illness, Occupational Health, Gym Membership and even Flu Jabs.

In other words, we can provide employers with a fully integrated, bespoke healthcare scheme with significant costs savings.

How is it possible?

Healix is the industry leader in providing Corporate Healthcare Trusts, a recognised alternative to traditional PMI schemes.  A healthcare trust is a form of self-insurance where instead of paying premiums to an insurance company, the money is put into a trust fund to pay claims.  Sounds complicated but it isn’t!  With Healix it is no more difficult than taking out a traditional PMI scheme and ‘stop loss’ insurance means there is no risk.  We also handle all the paperwork and administration.

So the increase in IPT is just another good reason why employers should consider a Healix Healthcare Trust for their corporate healthcare schemes!

 



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