"Trust is built not just on paying claims but in matching expectations. The sector needs to do more to support people at the point of sale and beyond."
- James Daley, managing director at Fairer Finance
In the last twelve months, consumer trust has improved amongst those aged 18-30 (63.52 to 63.79) and 65+ (55.53 to 55.9) but dropped amongst those aged 31-64, decreasing significantly amongst 46-64-year-olds from 56.38 to 54.45.
The fall in trust comes despite a record year for private hospital admissions. The Private Healthcare Information Network’s (PHIN) latest figures reported that there were 939k private admissions in 2024 – up 3% on the previous year. Of those, 664k were funded by Private Medical Insurance (PMI), representing a 6% year-on-year increase.
Fairer Finance found that consumer trust is generally higher for customers who have held their policy longer, although this isn’t a linear relationship. The lowest trust scores were amongst those who’d held a policy for less than a year. Interestingly, customers who’d held a policy for 2-10 years were more trusting than those with a policy from 10+ years ago.
Adults aged 50 or over remain the most likely users of private healthcare, which may explain the decline in trust. Fairer Finance highlighted that as more people turn to PMI to escape long NHS waits, some are discovering that existing conditions are usually excluded or attract higher premiums. These experiences may be eroding trust in the age group most likely to use it.
Although trust fell during 2024, claim satisfaction scores continued to rise. On average, scores went up by approximately 1p.p from the previous quarter, reaching 61.9. This suggests providers are improving the quality of claims processes and service.
“As more people turn to private healthcare, with many buying PMI for the first time, the sector is at a critical moment. The current boom in demand reflects growing concern over the NHS, but it’s also putting more pressure on insurers to deliver clear, fair, and transparent products,” explained James Daley, managing director at Fairer Finance.
He said: “Trust is built not just on paying claims but in matching expectations. The sector needs to do more to support people at the point of sale and beyond.
“Too many consumers still find themselves confused about what their policy covers or frustrated when they realise the healthcare they expected is out of reach due to exclusions or geography.”
