Increasing numbers of businesses are turning to corporate cash plan health insurance policies in order to save money, as the costs of traditional private medical insurance become too expensive for many in times of recession. Nearly one in four businesses has said that the main reason for not using traditional private health insurance policies is that the rising costs of healthcare is pushing up the cost of premiums. According to a survey by HSA, this means that more and more companies are looking at cheaper options, like cash plan private medical cover. 

“It is hardly surprising that companies are increasingly choosing budget health plans for their workforce, and health cash plans are a simple and affordable option,” HSA’s Abby Bowman told Health Insurance and Protection Magazine.

Despite their growing popularity, some confusion seems to be arising among employees surrounding the health benefits provided by their employers, and it’s all because they simply aren’t giving them enough information. The success of a corporate health insurance policy depends on the level of communication between the private medical insurance provider and the employer, in order for the employer to pass on the information to their workforce. 

Freedom Healthnet provides easy to read information about all its policies, helping the third of employees who are currently unsatisfied with the amount of advice they are given about their health to feel happier and more at ease. Corporate cash plan health insurance is also an important way for companies, “to cover their duty of care and health and safety obligations,” said sales and marketing director Russ Piper, when also speaking to Health Insurance and Protection Magazine.

Cash plan private medical insurance providers like Freedom Healthnet are helping to address criticisms that have been levelled at other health insurance companies.

Recently there have been complaints that some private health insurance providers make their policies unclear and confusing for their customers, and that companies offering this unique type of private health insurance do not offer enough information on the levels of benefits that are available. Freedom Healthnet has a wide range of information sources, including leaflets and an easy to follow and simple website, where existing and prospective customers can find all the information they need.

Concern has been expressed that the range of benefits offered by private health insurance policies is being reduced in order to offer access to services such as optical and dental treatments. Freedom Healthnet has decided not to offer these treatments to ensure that their policy holders have access to the widest range of treatments and benefits available, and especially to make sure that both inpatient and outpatient care can be provided.

One marketing director, Stephen Duff, told Health Insurance and Protection Magazine, “People’s expectations might be diminished when they find out that hospital benefits are not covered.” Freedom Healthnet’s customers will not suffer this disappointment because most hospital treatments are included, up to the cost of £30,000, even on the most basic of policies. He also added that customers should get all the benefits and exclusions explained to them, which Freedom clearly spells out in a leaflet which is also available on its website.