Synopsis

• The report provides market analysis, information and insights into the UK private medical insurance insurance business
• It provides a snapshot of market size and market segmentation
• It offers comprehensive analysis of claims, drivers and market outlook
• It analyzes distribution channels
• It offers an overview of deals, news and regulatory developments

Summary

Gross written premiums in the private medical insurance category amounted to GBP3.65 billion in 2012, recording growth of 3.2% from 2011, and a compound annual growth rate (CAGR) of 2.47% during the review period (2008–2012).

Favorable developments in premiums belie the underlying trends in demand, however. As a discretionary insurance product, supplementary to free-to-access healthcare through the National Health Service (NHS), the number of private medical policyholders has been subject to a downwards trend since 2006 and hit its lowest level on record in 2012, at 5.6 million. Factors driving the apparent shift in attitudes include improved levels of satisfaction with the NHS, increased public healthcare spending, and deterioration in labor market conditions.

The market for private medical insurance is dominated by four insurers – Bupa, Axa, Aviva and Prudential – which have a combined market share of 92%. Despite this concentrated market, a lack of competition between private hospital operators has restricted insurers’ bargaining power and resulted in inflated claims costs. Coupled with the decline in customer numbers, this has been the biggest driver of premium growth as insurers responded to drags on profitability by raising prices for customers.

The consumer shift away from private medical insurance is unlikely to be fully reversed. Nevertheless, favorable forces will underpin a modest CAGR of 2% for gross written premiums over the forecast period (2013–2017). A recovery in economic growth will improve wage and employment conditions, NHS reforms are expected to advance the role of the private healthcare and insurance sector, while the UK’s evolving demographic profile will increase the strain on the public healthcare system.

Improving economic conditions do not prescribe continued growth in the category, however, as the recession-induced demand for lower-cost policy coverage has spurred an increase in the popularity and availability of cheaper healthcare cash plans and self-pay options for one-off treatments. This new market dynamic threatens to divert customers away from comprehensive, but high-premium private medical insurance policies.


Scope

• This report provides market analysis, information and insights into the UK private medical insurance business
• It provides a global snapshot of market size
• It analyses drivers and the outlook for the market
• It provides information on distribution channels
• It covers deals, news and regulatory developments


Reasons To Buy

• Gain an understanding of the UK private medical insurance market size
• Learn about the performance of market drivers and distribution channels
• Understand the competitive landscape in terms of performance, profitability and product innovation
• Find out more on key deals and recent developments in the market

Key Highlights

• Private medical insurance premiums rose by 3.2% in 2012
• Demand shifted away from the private healthcare sector
• Minimal competition among private suppliers has increased costs for insurers
• Competition Commission intervention should begin to alleviate cost constraints
• Premium growth will be sustained, despite opposing forces
• Private medical insurance is under threat from lower-cost alternatives


Table Of Contents

Table of Contents
1 Executive Summary
2 Introduction
2.1 What is this Report About?
2.2 Definitions
2.3 Methodology
3 Market Analysis
3.1 Market Size
3.1.1 Penetration and density
3.2 Claims
3.2.1 Claims review
3.2.2 Claims outlook
3.3 Market Drivers
3.4 Market Outlook
3.5 Distribution Channels
3.5.1 Distribution outlook
4 Competitive Landscape
4.1 Profitability
4.1.1 Investment returns
4.1.2 Profitability outlook
4.2 Review - The Best Performers of 2012
4.3 Product Innovation
4.4 Private Medical Insurance - SWOT Analysis
5 Porter’s Five Forces Analysis
5.1 Bargaining Power of Suppliers: High
5.2 Bargaining Power of Buyers: Medium
5.3 Barriers to Entry: Medium
5.4 Intensity of Rivalry: Medium to High
5.5 Threat of Substitution: High
6 Deals
6.1 Axa Signs Broker Deal
6.2 Bupa Creates Global Insurance Network
6.3 Bupa Extends Deal with UK Sport
6.4 Aviva Partners with Chartered Society of Physiotherapy
6.5 Prudential Continues Sponsorship of Sporting Events
7 News
7.1 UK Expats Lose Free Healthcare Access
7.2 Aviva Release Cancer Claims Statistics
7.3 Adviser Roadshows to Garner Sales Opportunities
7.4 Patient Records Obtained by Actuarial Institute
7.5 Health Insurance High on Employees’ Wish Lists
7.6 Aviva Wins Health Insurance Awards
7.7 Government Consults on Visitor Medical Insurance Requirements
7.8 Inaugural Advisory Board for PruHealth Scheme
8 Regulation and Compliance
8.1 Recent Changes
8.1.1 Health and Social Care Act 2012
8.2 Upcoming Regulations
8.2.1 Solvency II
9 Macroeconomic Backdrop
9.1 Real GDP Growth
9.2 Labor Market Conditions
9.3 Interest Rates
9.4 Demographics
10 Company Profiles
10.1 Aviva Plc - Company Overview
10.1.1 Aviva Plc - key facts
10.1.2 Aviva Plc - main products
10.1.3 Aviva Plc - main competitors
10.1.4 Aviva Plc - key employees
10.2 Axa UK Plc - Company Overview
10.2.1 Axa UK Plc - key facts
10.2.2 Axa UK Plc - main products
10.2.3 Axa UK Plc - main competitors
10.2.4 Axa UK Plc - key employees
10.3 Bupa Insurance Ltd - Company Overview
10.3.1 Bupa Insurance Ltd - key facts
10.3.2 Bupa Insurance Ltd - main products
10.3.3 Bupa Insurance Ltd - main competitors
10.3.4 Bupa Insurance Ltd - key employees
10.4 Chubb Insurance Company of Europe SE - Company Overview
10.4.1 Chubb Insurance Company of Europe SE - key facts
10.4.2 Chubb Insurance Company of Europe SE - main products
10.4.3 Chubb Insurance Company of Europe SE - main competitors
10.4.4 Chubb Insurance Company of Europe SE - key employees
10.5 Cigna Life Insurance Company of Europe SA-NV - Company Overview
10.5.1 Cigna Life Insurance Company of Europe SA-NV - key facts
10.5.2 Cigna Life Insurance Company of Europe SA-NV - main products
10.5.3 Cigna Life Insurance Company of Europe SA-NV - main competitors
10.5.4 Cigna Life Insurance Company of Europe SA-NV - key employees
10.6 Exeter Friendly Society Ltd - Company Overview
10.6.1 Exeter Friendly Society Ltd - key facts
10.6.2 Exeter Friendly Society Ltd - main products
10.6.3 Exeter Friendly Society Ltd - main competitors
10.6.4 Exeter Friendly Society Ltd - key employees
10.7 Great Lakes Reinsurance (UK) Plc - Company Overview
10.7.1 Great Lakes Reinsurance (UK) Plc - key facts
10.7.2 Great Lakes Reinsurance (UK) Plc - main products
10.7.3 Great Lakes Reinsurance (UK) Plc - main competitors
10.7.4 Great Lakes Reinsurance (UK) Plc - key employees
10.8 Prudential Plc - Company Overview
10.8.1 Prudential Plc - key facts
10.8.2 Prudential Plc - main products
10.8.3 Prudential Plc - main competitors
10.8.4 Prudential Plc - key employees
10.9 Simplyhealth Group Ltd - Company Overview
10.9.1 Simplyhealth Group Ltd - key facts
10.9.2 Simplyhealth Group Ltd - main products
10.9.3 Simplyhealth Group Ltd - main competitors
10.9.4 Simplyhealth Group Ltd - key employees
10.10 Western Provident Association - Company Overview
10.10.1 Western Provident Association - key facts
10.10.2 Western Provident Association - main products
10.10.3 Western Provident Association - main competitors
10.10.4 Western Provident Association - key employees
11 Statistics
11.1 Review Period: 2008-2012
11.2 Forecast Period: 2013-2017
12 Appendix
12.1 Methodology
12.2 Contact Timetric
12.3 About Timetric
12.4 Timetric’s Services
12.5 Disclaimer
List of Tables

Table 1: Insurance Industry Definitions
Table 2: UK Private Medical Insurance - Market Summary (GBP Thousand), 2008-2012
Table 3: UK Private Medical Insurance - Market SWOT Analysis
Table 4: Recent and Upcoming Regulatory Changes
Table 5: Aviva Plc, Key Facts
Table 6: Aviva Plc, Main Products
Table 7: Aviva Plc, Key Employees
Table 8: Axa UK Plc, Key Facts
Table 9: Axa UK Plc, Main Products
Table 10: Axa UK Plc, Key Employees
Table 11: Bupa Insurance Ltd, Key Facts
Table 12: Bupa Insurance Ltd, Main Products
Table 13: Bupa Insurance Ltd, Key Employees
Table 14: Chubb Insurance Company of Europe SE, Key Facts
Table 15: Chubb Insurance Company of Europe SE, Main Products
Table 16: Chubb Insurance Company of Europe SE, Key Employees
Table 17: Cigna Life Insurance Company of Europe SA-NV, Key Facts
Table 18: Cigna Life Insurance Company of Europe SA-NV, Main Products
Table 19: Cigna Life Insurance Company of Europe SA-NV, Key Employees
Table 20: Exeter Friendly Society Ltd, Key Facts
Table 21: Exeter Friendly Society Ltd, Main Products
Table 22: Exeter Friendly Society Ltd, Key Employees
Table 23: Great Lakes Reinsurance (UK) Plc, Key Facts
Table 24: Great Lakes Reinsurance (UK) Plc, Main Products
Table 25: Great Lakes Reinsurance (UK) Plc, Key Employees
Table 26: Prudential Plc, Key Facts
Table 27: Prudential Plc, Main Products
Table 28: Prudential Plc, Board of Directors
Table 29: Simplyhealth Group Ltd, Key Facts
Table 30: Simplyhealth Group Ltd, Main Products
Table 31: Simplyhealth Group Ltd, Key Employees
Table 32: Western Provident Association, Key Facts
Table 33: Western Provident Association, Main Products
Table 34: Western Provident Association, Key Employees
Table 35: Private Medical Insurance (GBP Thousand), 2008-2012
Table 36: Private Medical Insurance (GBP Thousand), 2013-2017



List of Figures

Figure 1: UK Private Medical Insurance - Gross Written Premiums (GBP), 2008-2012
Figure 2: UK Private Medical Insurance - Penetration Rate (%) and Density (GBP), 2008-2012
Figure 3: UK Private Medical Insurance - Number of Policyholders (Millions), 2004-2012
Figure 4: UK Consumer Price Inflation - Healthcare (%), 2008-2013
Figure 5: UK Demographics, 1992-2012
Figure 6: UK GDP Growth and Labor Market Conditions, 2004-2012
Figure 7: UK Public and Private Healthcare Expenditure, 1997-2011
Figure 8: NHS Performance Measures, 2006-2013
Figure 9: UK Public Satisfaction With the NHS, 1993-2012
Figure 10: UK Private Medical Insurance - Gross Written Premiums Forecast (GBP Millions) 2013-2017
Figure 11: Market Shares of the 10 Leading UK Private Medical Insurers (%) in 2012
Figure 12: UK Private Medical Insurance - Five Forces Analysis
Figure 13: The UK’s Insurance Regulatory Framework
Figure 14: Real GDP Growth (%), 2008-2017
Figure 15: UK - Unemployment and Redundancy Rates (%), 2004-2012
Figure 16: UK - Average Weekly Earnings, 2004-2012
Figure 17: UK - Bank of England Rate (%), 2004-2014
Figure 18: UK - Population Growth and Median Age, 1995-2012
Figure 19: UK - Standards of Living (GBP), 1997-2011



View This Report »

Find all the market research you need - instantly, in one place.

+1.2 Million Research Documents & Statistics +200,000 Trusted Public Sources 350 Industries With Global Coverage

24/7 Customer Support

Talk to Amrita

+1 718 303 2019

Purchase Reports From Reputable Market Research Publishers

Innovations in Home Medical Devices and Integrated Care Systems (Technical Insights)

Innovations in Home Medical Devices and Integrated Care Systems (Technical Insights)

  • $ 6 500
  • Industry report
  • June 2014
  • by Frost & Sullivan

Emerging Healthcare Delivery Models Integrated healthcare (IHC) is the design, management and delivery of healthcare services along the continuum of care. IHC is a growing trend is fast encompassing diagnosis, ...

Healthcare Workforce Management Systems Market by Solution (Talent Management, Time & Attendance, Scheduling, Optimization Services), by Mode of Delivery (Cloud-based, Web-based), by End-User (Hospital, Long Term Care) - Global Forecast to 2019

Healthcare Workforce Management Systems Market by Solution (Talent Management, Time & Attendance, Scheduling, Optimization Services), by Mode of Delivery (Cloud-based, Web-based), by End-User (Hospital, Long Term Care) - Global Forecast to 2019

  • $ 4 650
  • Industry report
  • August 2014
  • by MarketsandMarkets

The global healthcare workforce management systems market is expected to grow at a double digit CAGR during the forecast period of 2014 to 2019 and is estimated to be worth $1,453.8 million by 2019. The ...

ICT investment trends in healthcare - Enterprise ICT spending patterns through to the end of 2015

ICT investment trends in healthcare - Enterprise ICT spending patterns through to the end of 2015

  • $ 2 995
  • Industry report
  • September 2014
  • by Kable

Summary This report presents the findings from a survey of 173 healthcare providers regarding their Information & Communications Technology (ICT) investment trends. The survey investigates how healthcare ...

Global Healthcare Providers

June 2014 $ 350

ReportLinker is an award-winning market research solution that finds, filters and organizes the latest industry data so you get all the market research you need - quickly, in one place.