"Preventative programmes that can spot issues earlier can help bring down the cost of healthcare by minimising treatments for more complex conditions."
- Brett Hill, Head of Health & Protection at Broadstone
Earlier this year, data published by the Private Healthcare Information Network (PHIN) reported that Private Medical Insurance (PMI) funded hospital admissions were at record levels (612k), going above pre-pandemic figures for the first time. Notably, in the final three months of 2023, 161k private hospital admissions were funded by PMI policies.
Insured admissions were 7% higher in 2023 compared to 2019, and 11% higher than in 2022. Meanwhile, self-funded admissions also peaked in 2023, especially in the first three months with 73k admissions. Throughout the year, self-funded admissions were at least 39% higher than pre-pandemic levels.
READ MORE: Self-funded private hospital admissions spike in 2023
Although there’s been a minor decline in hospital admissions compared to Q1 2024 (3%), this follows an established seasonal pattern - hospital admissions rose to 232k, which is 5% higher than Q2 2023.
Northern Ireland (NI) saw the biggest increase in reported hospital admissions (26.5%) compared to Q2 2023, followed by Scotland (6.8%), Wales (5.8%), and England (3.8%). However, England had the highest volume of admissions despite experiencing the smallest degree of growth. The data showed an increase in hospital admissions across every region in England, except for the Southeast (-0.3%) and Yorkshire & The Humber (-1.2%).
Notably, the gap in admissions between those paying with PMI versus ‘self-pay’ was up to 96k from 80k in Q2 2023. Self-pay has consistently been more popular than it was before the pandemic, remaining 36% above pre-pandemic levels. Geographically, PMI-funded hospital admissions rose from 54k to 61k in London, whereas admissions in the Northeast stayed at 2k. This was the lowest PMI-funded admissions figure across all regions.
Unlike, PMI-funded admissions, self-pay patient figures remained relatively the same, only increasing in four regions: London (14k), Southeast (10k), East of England (7k), and Southwest (6k). Overall, self-pay decreased from 71k to 68k – a much smaller difference than in PMI-funded admissions.
Analysing procedure popularity, admissions for chemotherapy rose by 17% (15,030 vs 17,630) which was the most substantial increase. This was followed by upper GI endoscopy (15,030 vs 17,630), and colonoscopy (8,800 vs 9,600).
Utilising protection policies to afford hospital admissions was up across all age groups, particularly amongst 40-49-year-olds. In contrast, the use of self-pay reduced in all age groups except 10-19-year-olds.
Reacting to PHIN’s latest data, Brett Hill, Head of Health & Protection at Broadstone, said “As the NHS grapples with a huge backlog in patients, it’s struggling to meet the healthcare needs of the UK population. Private healthcare, therefore, is increasingly becoming the go-to option for employers seeking timely screenings, diagnoses, and treatments for their workforce to avoid absenteeism and long-term inactivity.
“However, this surge in PMI coverage has been accompanied by an increase in claims which, coupled with the rising complexity of medical conditions, has led to higher costs for insurers. Employers have been feeling the impact of escalating PMI premiums. Preventative programmes that can spot issues earlier can help bring down the cost of healthcare by minimising treatments for more complex conditions,” he added.
