Am I Paying Too Much for Health Insurance?

Low claims in the past do not show that you will not need cover in future. Insurance protects against eligible uncertain costs; it is not expected to refund every premium through claims. Decide whether the protection and access are worth the cost to you.

An excess is the amount you pay towards eligible claims under the policy’s rules. Increasing it can reduce the premium, but compare the annual saving with the extra amount you could have to pay.

For example, a £250 excess on a fully eligible £1,000 bill leaves £750 for the insurer only if no other limit or shortfall applies and that excess has not already been met. Check whether it applies per person, policy year, claim or condition.

Should I increase my health insurance excess?

Ask for two otherwise identical quotes. Take an annual excess rising from £250 to £500 in exchange for a £100 annual premium saving. In a year with no excess payable you are £100 ahead. In a year where you use the full extra £250, you are £150 worse off overall, assuming nothing else changes. An excess can also operate differently between products, so check whether it applies per person, per claim or per policy year before comparing two quotes as equivalent. These are arithmetic examples, not quoted premiums.

Age is one pricing factor, alongside postcode, selected benefits, hospital access and the insurer’s rating method. A higher premium at renewal does not by itself establish that the policy is poor value, and there is no universal age at which every policy becomes most expensive.

Compare alternatives for your current age and requirements. Check the long-term affordability as well as the first-year price, particularly where a discount may change at renewal.

A broad market average cannot tell you whether your particular cover is overpriced. Bupa’s published May 2026 UK examples include £44.90 a month for a non-smoker under 50 and £102.40 for a non-smoker over 60. They assume one person, Comprehensive cover, £500 outpatient allowance, £500 excess, Extended Choice hospitals and full cancer cover.

The source page was updated on 3 July 2026 and checked by MHP on 15 September 2026. These are Bupa’s illustrative figures, not a whole-market average or a quote for your circumstances. See Bupa’s figures and assumptions.

For a useful comparison, ask insurers to quote the same benefits and check the replacement underwriting before comparing the price.

A claim can affect a no-claims discount or claims-based pricing where the plan uses it. The amount and timing depend on the product. Age, treatment costs and other rating factors can also change the renewal price even without a claim.

Checking medical records to decide whether a claim is eligible is different from applying fresh underwriting to every condition after a claim. Do not assume that moratorium or full medical underwriting automatically restarts at renewal.

Ask for the insurer’s own discount scale, assessment period and treatment of smaller claims. Check whether any benefits are exempt from affecting the discount. The Exeter’s guide explains its own pricing and underwriting arrangements.

1. Compare like for like: use the same outpatient limits, excess and hospital access.
2. Review the excess: balance annual savings against an amount you can afford to pay.
3. Check optional benefits: removing one reduces cover, even if you have not used it yet.
4. Check the hospital network: a narrower list or guided route can limit where or whom you can use.
5. Protect underwriting: a cheaper new policy can introduce exclusions. Obtain written transfer terms.
6. Understand discounts: ask how introductory, activity or no-claims discounts can change.
7. Compare payment options: ask whether annual payment costs less; do not assume it does.
8. Use advice: ask a broker which insurers were considered and what material differences remain.

A lower premium is useful only if the remaining cover still meets your needs.

The word “comprehensive” describes benefits, not a promise to cover previous illness. Medical-history exclusions and transfer terms apply separately.

Under moratorium underwriting, a condition can become eligible only if the full policy requirements are met. These may include a continuous period without symptoms, medication, treatment or advice, alongside permanent exclusions. Full medical underwriting assesses disclosed history when the cover is arranged and sets written terms.

Some transfers can carry forward existing underwriting on an accepted basis, but additional exclusions or questions may apply. Ask the new insurer to confirm this before cancelling. Never stop prescribed treatment to try to satisfy an underwriting rule. Bupa’s underwriting guide.