Don't get the needle - get insurance

Times Online
August 21, 2005

Therapies such as acupuncture are increasingly being offered on private health policies. By David Budworth
 

DEMAND for alternative therapies such as acupuncture and homeopathy is soaring, and people are increasingly using their medical insurance to pay for it.

Not so long ago alternative therapy was sneered at. But the Foundation for Integrated Health estimates that one in ten adults went to an alternative practitioner last year.

 

Unorthodox medicine has become part of the mainstream, helped by the support of figures such as Gwyneth Paltrow and Prince Charles and the growing acceptance of the medical establishment. Saga reported last week that it had seen a 58% increase in claims for chiropractic treatment, a 65% rise in demand for homeopathy and 43% more claims for acupuncture treatment.

It’s an industry-wide trend. David Costain, medical director at Axa PPP Healthcare, said: “There is a lot of interest in alternative therapies. It has become a popular form of treatment.” As the acceptance of alternative therapies has grown, more providers of private medical insurance (PMI) and cash plans are including cover within their standard policies.

Penny O’Nions of the Onion Group, a specialist adviser, said: “Most will pay for treatments that are accepted by the National Health Service, so they cover acupuncture, chiropractic and osteopathy.”

Such policies may include homeopathy, where illnesses are treated with preparations made from plant, mineral, metal and insect sources. But some insurers steer clear because homeopathy is unregulated. That is one reason why even more unorthodox treatments, such as hypnotherapy and colonic irrigation, are generally not covered.

Lydia Aydon at Bupa said: “We cover treatments like acupuncture, homeopathy, chiropractic and osteopathy. But we avoid the less well-known ones, mainly because we want to ensure practitioners are registered with a professional body.”

To make a claim for treatment, policy holders must be referred to a practitioner by a GP or a consultant recognised by the provider. Most insurers refuse cover for pre-existing conditions — ones that predate the start of the policy.

There are annual limits on how much cash you will receive for alternative therapies. So if you need a long course of treatment you may have to cover some of the cost out of your own pocket.

Saga offers some of the most generous cover for complementary therapies, but its policies are confined to the over-fifties. Its Super Cover private medical insurance costs £109.42 a month for a couple in their fifties and will pay up to £1,200 per person each year towards alternative treatments.

Bupa’s Health Care Select 1 plan would cost a 45-year-old couple £130.83 a month, assuming no excess. It provides annual cover of £250 per person for alternative therapies.

Standard Life Healthcare’s Primecare policy would cost £141.67 a month and would pay out £1,000 a year.

At Axa PPP the couple would pay monthly premiums of £99.77 on its Key policy and get annual cover of up to £300 each. Axa’s Premier policy costs £162.69 a month, but it provides unlimited cover.

Most PMI policies are renewable annually, so terms and conditions may change and premiums tend to rise with age. The yearly term also enables insurers to escape having to pay for long-term conditions. You will be able to claim if an illness crops up in year one, say, but when you renew you will find that the illness is not covered.

You may be able to cut premiums by paying an excess — the amount you pay towards the cost of a claim before the policy kicks in. A couple who opted for a £250 excess on Bupa’s Health Care Select 1 deal would pay £103.35 a month instead of £130.83.

But be aware that the excess normally applies to each person for each policy year. If your treatment extends over two policy years you will have to pay the excess twice.

Cash plans are a cheaper alternative to PMI but have limitations. They will generally pay only a percentage of your bill.

Premiums for HSA’s Super Plan, covering chiropractic, osteopathy, acupuncture and homeopathy, start at just £2.20 a week for a couple. Policy holders may claim up to half the cost of alternative therapy treatments, up to a maximum of £120 a year. Pay £17.60 a week and you get £960 annual cover.

Premiums at WPA, another cash-plan provider, start from £9.21 a month for a 45-year-old individual. It would therefore cost a couple £18.42 a month. They would each be able to claim back half the cost of alternative treatments, up to a maximum of £300 in the first year and £400 after that.

For most people alternative therapies will be viewed as an additional benefit rather than the prime reason to take out a medical insurance policy or cash plan. Make sure you fully check what a policy does and does not include.

Some cash plans do not pay towards the cost of any inpatient care in a private hospital. You may, however, be able to claim if you have to spend time in an NHS hospital.

PMI policies normally cover only acute conditions that can be substantially alleviated by treatment. Chronic illnesses that need long-term treatment are usually excluded.

More people are doing away with PMI altogether and paying for private treatment as and when they need it. You choose a practitioner or hospital, agree a price and pay direct instead of claiming on your insurance. You should expect to pay between £20 and £70 for an alternative therapy session.