NHS woes are boosting Aviva’s health insurance arm as demand for private healthcare soars
Demand for private healthcare drove sales at Aviva as concerns over long waiting lists and staff strikes led to patients leaving the NHS.
Private health insurance sales grew 25 percent in the first quarter to £33 million, the insurer said, after rising 14 percent last year.
Chief executive Amanda Blanc directly linked the proliferation of new policies to shortcomings in public health care.
She said: ‘The increase is a result of what we’re seeing in the NHS and customers are basically saying if they can take control of their health situation they will.
“The volumes are very robust and frankly we don’t see that changing.”
Healthcare boost: Insurer Aviva said first-quarter private health insurance sales grew 25% to £33m, after rising 14% last year
More individuals and businesses are “attracting to the benefits of private coverage,” an Aviva spokesperson added.
Over the past year, the NHS has been hit by staff shortages, record waiting lists and strikes by nurses, junior doctors and ambulance drivers over pay and conditions.
The FTSE 100 insurer said customers were buying full packages, including access to online doctors, as patients are more concerned about not being able to get an appointment quickly.
The number of people waiting to start hospital treatment hit a record high earlier this month. Figures from the NHS England showed that 7.3 million patients had not yet started treatment at the end of March.
In an effort to combat the ever-growing waiting list, the health department is expected to pay private companies to conduct cancer checks.
Patients can also book NHS-funded procedures in private facilities under separate plans to be confirmed today.
Overall, Aviva’s performance in the first quarter was mixed. Non-life insurance premiums rose 11 percent to £2.4 billion, but Aviva’s asset business slowed.