The 'moratorium' is one of the most popular methods of underwriting private medical insurance in the UK, and it’s easy to see why. Not only is it typically cheaper than the alternatives, moratorium health insurance makes the whole process quick, easy and unobtrusive.
Moratorium Underwriting Definition
Before going any further it’s worth defining what health insurance on a moratorium basis actually means. In short, it’s a way of covering individuals without them having to disclose their entire medical history. Full medical underwriting often requires the completion of a comprehensive medical report, then certain conditions are sometimes excluded, based on the results.
Moratorium underwriting, on the other hand, doesn’t require individuals to go through medicals or disclose their full medical history. Instead, all pre-existing conditions from the past five years are excluded for a set period (ours is 24 months). Provided no symptoms emerge in that two-year period after the cover with us begins, these conditions can be included on the cover thereafter.
Full Medical Underwriting or Moratorium?
As the above should suggest, there are plenty of benefits to moratorium cover:
It’s easier. There are no lengthy or intrusive tests, or no need to disclose an entire lifetime of medical records. This means there is less paperwork and admin.
Pre-existing conditions can be covered. Provided no symptoms emerge within two years of the policy being taken out, existing conditions can still be covered. With full medical underwriting, this may not be the case.
There are some considerations, though:
Exclusions. Any conditions dating back five years or less will not be covered, so moratorium cover is best suited to healthy individuals or those not foreseeing more symptoms over the coming two years.
If you’re a healthy individual or have had older medical conditions that fall outside of the five-year threshold, moratorium private medical insurance could well be the best solution. Even if your conditions have been present within the past five years, it could still prove effective if nothing more comes up for 24 months after cover with us begins. If you have questions about moratorium cover and want to find out more, contact us here.