What is private health insurance?

Private health insurance is a policy that covers the cost of private medical treatment for acute conditions. It gives you faster access to specialists, diagnostic tests, and surgery without relying on NHS waiting lists.

How much does private health insurance cost in the UK?

Premiums typically range from £50 to £150 per month for an individual, depending on your age, medical history, level of cover, and chosen excess. Family policies cost more but often offer better value than insuring each person separately.

Does private health insurance cover pre-existing conditions?

Most standard policies do not cover pre-existing conditions. Some providers offer moratorium-based underwriting where pre-existing conditions may become covered after a period without symptoms or treatment, typically two years.

Can I use private health insurance alongside the NHS?

Yes. Many policyholders use the NHS for routine care and their private cover for specialist referrals, elective surgery, or when NHS waiting times are long. Some policies include a six-week NHS wait option to reduce premiums.

What is the difference between an excess and a co-payment?

An excess is a fixed amount you pay towards each claim or policy year before your insurer pays. A co-payment means you pay a percentage of every claim. Both reduce your premium but increase your out-of-pocket costs when you claim.

How do I compare private health insurance plans effectively?

Compare policies based on the level of cover, the hospital and consultant network, exclusions, excess amounts, and annual claim limits. Getting quotes from multiple providers ensures you find the best value for your needs.

What is the difference between a health cash plan and private health insurance?

A health cash plan reimburses you for everyday healthcare costs like dental, optical, and physiotherapy, typically costing £5 to £30 per month. Private health insurance covers acute medical treatment including specialist consultations, surgery, and hospital stays, costing £40 to £150+ per month.

Are health cash plan premiums affected by age?

No. Unlike private health insurance, cash plan premiums are typically the same regardless of your age. A 25-year-old and a 55-year-old pay the same amount for the same level of cover, making cash plans particularly good value for older adults.

Can I have both a health cash plan and private health insurance?

Yes, many people have both. A cash plan covers routine costs like dental and optical that PMI usually excludes, while PMI covers serious medical treatment. Together they provide comprehensive healthcare cover.

Do health cash plans cover pre-existing conditions?

Health cash plans generally cover all claims regardless of pre-existing conditions, since they pay fixed amounts for routine treatments rather than covering specific medical conditions. This is a key advantage over private health insurance.

Which is the best health cash plan provider?

Simplyhealth is the largest and most popular UK provider. Westfield Health and HSF offer excellent value alternatives. The best choice depends on which benefits matter most to you — compare the dental, optical, and therapy limits across providers.

Health Cash Plan UK | What It Covers, Costs & Best Providers

What Is a Health Cash Plan?

A health cash plan is an affordable type of health cover that pays you cash back when you spend on everyday healthcare such as dental check-ups, eye tests, physiotherapy, and GP consultations. Unlike private medical insurance (PMI), which covers the cost of specialist and hospital treatment, a cash plan reimburses you for routine health expenses that the NHS either does not cover or involves long waiting times.

Cash plans typically cost between £5 and £30 per month, making them an accessible option for individuals, families, and employers looking to provide health benefits without the higher cost of full private health insurance.

What Does a Health Cash Plan Cover?

Most health cash plans cover a core set of everyday healthcare costs. The exact amounts you can claim back depend on your plan level, but typical cover includes:

Dental treatment — check-ups, fillings, crowns, and hygienist visits. Most plans pay back £50–£200 per year.
Optical care — eye tests, prescription glasses, and contact lenses. Typical cashback of £50–£150 per year.
Physiotherapy and osteopathy — usually £15–£35 per session, up to an annual limit.
Consultations — GP appointments, specialist referrals, and diagnostic tests.
Mental health — counselling and therapy sessions, increasingly included in modern cash plans.
Prescriptions — some plans reimburse the cost of NHS prescriptions.

Higher-tier plans may also include hospital stays (a daily cash benefit while you are an NHS inpatient), maternity payments, and access to a 24/7 GP helpline.

Health Cash Plan vs Private Health Insurance

The key difference is scope. A health cash plan covers routine, everyday healthcare — the dentist, optician, and physiotherapist. Private health insurance covers acute medical treatment — specialist consultations, surgery, and hospital stays.

Many people choose to have both: a cash plan for day-to-day costs and PMI for serious conditions. If your budget only stretches to one, a cash plan is the better choice if you are generally healthy and want to offset routine costs, while PMI is better if you want protection against expensive specialist treatment and surgery.

For a detailed comparison, see our guide to health cash plans vs private health insurance.

How Much Does a Health Cash Plan Cost?

Health cash plans are among the most affordable health products available:

Level 1 (basic): £5–£10 per month — covers dental and optical with modest limits.
Level 2 (mid-range): £10–£20 per month — adds physiotherapy, consultations, and higher claim limits.
Level 3 (comprehensive): £20–£30 per month — the widest cover with the highest cashback amounts, often including hospital stays and maternity.

Unlike PMI, cash plan premiums are typically not age-related — a 25-year-old and a 55-year-old pay the same amount for the same level of cover. This makes them particularly good value for older adults.

Best Health Cash Plan Providers in the UK

The UK health cash plan market is dominated by specialist providers rather than the big-name insurers:

Simplyhealth — the largest UK cash plan provider. Plans from £6.75/month. Covers dental, optical, therapies, and includes a 24/7 GP helpline. Excellent app for managing claims.
Westfield Health — not-for-profit provider based in Sheffield. Plans from £5.60/month. Strong dental and optical cover, plus gym discounts and wellbeing support.
HSF Health Plan — one of the oldest providers (established 1877). Plans from around £6/month. Good all-round cover with a focus on simplicity.
BHSF — Birmingham-based not-for-profit. Competitive corporate plans, popular with SMEs. Plans from £5/month.
Health Shield — award-winning provider with strong employer scheme options. Plans from £5.25/month with fast claims processing via their app.

Health Cash Plans for Employers

Cash plans are one of the most cost-effective employee benefits available. They are fully allowable as a business expense and are not subject to National Insurance contributions when structured correctly. For SMEs that cannot afford full corporate PMI, a health cash plan for employees provides tangible health benefits from as little as £5 per employee per month.

Employers benefit from reduced absenteeism (employees can access physiotherapy and GP consultations faster), improved recruitment and retention, and a healthier workforce overall.

Is a Health Cash Plan Worth It?

If you regularly visit the dentist, optician, or physiotherapist, a health cash plan almost certainly pays for itself. A basic plan at £7 per month (£84 per year) typically allows you to claim back £100+ on dental alone, plus additional amounts on optical and therapies. For families, the value multiplies because children are usually covered at no extra cost.

The main limitation is that cash plans do not cover serious medical treatment. If you are concerned about access to private hospitals and specialist surgery, you need private health insurance — either instead of or alongside a cash plan.

Health Cash Plans: The Complete UK Guide