If you are about to leave a job that provides medical insurance for one that does not it's important that you arrange replacement cover before you depart in order to take advantage of a little known concession.
The concession is that it may be possible to continue the policy that you already have in place, as part of your existing employer's group medical scheme, on an individual basis once you leave your job.
While admittedly the monthly premium will rise, as you will no longer benefit from the group discount applied to your company's scheme, perhaps most importantly you can maintain the level and type of cover you have enjoyed to date without the need for underwriting. Underwriting is the process whereby an insurer assesses an insurance application. This usually involves the insurance company contacting the applicant's GP to discuss their medical history and possibly putting the applicant through a series of medical tests.
If you were to leave the firm and then subsequently look into taking out replacement cover any new contract will unlikely cover any existing medical conditions you may have, or at least not for a period of time known as the 'moratorium period' (often 2 years). However, if you obtain a quote from the insurance company that provides your soon to be ex-employer's scheme they will usually provide an individual policy on the same basis, without underwriting, which covers existing medical conditions -but only if there is no break in cover from the date of leaving the employer’s scheme to the date of taking out a new individual policy.
(Image: renjith krishnan / FreeDigitalPhotos.net)
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