Group PMI
Private medical insurance arranged by the employer for all employees or a defined group. One renewal date, group underwriting, and premiums based on the group profile rather than individual health histories.
Business private medical insurance helps your employees access private consultants, diagnostics and treatment quickly, reducing absence, supporting wellbeing, and making your business a more attractive place to work.
Group PMI is an investment in your workforce and your business. The commercial case is as strong as the employee welfare argument.
Employees with access to private medical care typically return to work faster than those waiting on NHS timescales. Faster treatment means shorter periods of absence and a quicker return to full productivity.
Group health insurance is one of the most valued employee benefits. Providing PMI can improve staff satisfaction, reduce turnover, and reduce the cost and disruption of recruitment.
In a competitive employment market, offering private medical insurance makes your business more attractive to high-quality candidates. It differentiates you from employers who offer only statutory benefits.
Group PMI often includes access to mental health support, employee assistance programmes, and virtual GP services, supporting your employees' broader wellbeing beyond treatment for acute conditions.
Group PMI operates differently from individual personal PMI, the group structure brings its own features and considerations.
Most group PMI insurers require a minimum of 2 employees to establish a group scheme. For very small businesses, individual policies arranged under a group umbrella may be an alternative.
All employees' cover renews on the same annual date. This simplifies administration significantly compared to managing multiple individual policies with different renewal dates.
Employers can often offer different levels of cover to different groups of employees, for example, directors may receive a higher level than general staff. Cover can be structured to suit your budget and your employees' needs.
The employer can choose to pay all or part of the premium. Where the employer pays the full premium, the benefit is typically a taxable P11D benefit for the employee. Where employees contribute, the arrangements may differ.
Group PMI is subject to underwriting and minimum group size requirements. Benefits may be a taxable P11D benefit for employees. Tax treatment depends on individual circumstances.
We compare group PMI and employee healthcare products from all major corporate providers.
Private medical insurance arranged by the employer for all employees or a defined group. One renewal date, group underwriting, and premiums based on the group profile rather than individual health histories.
Specifically designed for small and medium-sized businesses with smaller employee groups. Products tailored to SME budgets and simpler administration requirements than large corporate schemes.
Comprehensive group health schemes for larger businesses. Greater flexibility in cover design, benefit structure, and insurer negotiation. Bespoke schemes for 50+ employees.
Mental health benefits are an increasingly important part of group healthcare. Cover can include access to private therapists, counselling, and in-patient mental health treatment depending on the policy.
Many group PMI schemes can be enhanced with dental and optical benefits, covering routine check-ups, dental treatment, glasses, and contact lenses. Popular additions to a broader employee benefits package.
An EAP provides confidential counselling, legal advice, financial guidance, and wellbeing support for employees. Often included within group PMI schemes or available as a standalone add-on.
Most group PMI insurers require a minimum of 2 employees to establish a scheme. Some specialist SME products accommodate very small groups. For sole directors or single-employee businesses, individual policies may be arranged alongside other business protection products. Your adviser will confirm the minimum requirements for each insurer's products.
Where the employer pays the premium for an employee's private medical insurance, the benefit is generally a taxable benefit-in-kind that should be reported on a P11D. The employee will pay income tax on the value of the benefit. The employer also pays Class 1A National Insurance on the benefit value. There are arrangements where employee salary sacrifice is used to fund PMI, which have different tax implications. Professional tax advice should be sought.
Yes, many group PMI schemes allow for tiered cover levels. Directors or senior employees may receive a more comprehensive level of cover than other staff. Some schemes also allow employees to top up their cover or add family members at their own expense. The level of flexibility available depends on the insurer and the size of the group.
Group PMI premiums are typically based on the age profile of the group, the level of cover selected, the excess chosen, the claims history of the group (for renewing schemes), and the number of employees. Premiums are usually reviewed annually at renewal. We compare the full market at each renewal to ensure you are receiving competitive terms.
Yes. Dental and optical benefits can usually be added to a group PMI scheme as optional modules, or arranged as standalone group dental and optical policies. These benefits are among the most valued by employees and can significantly enhance the overall appeal of your benefits package. Your adviser will compare the options and costs available.
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