The Association of British Insurers has published new PMI guidance updating definitions of medical terms used in all PMI policy documents and information and has added new guidelines on explaining cancer cover.
The revised definitions were developed with the industry and other relevant groups including the charity Cancerbackup.
The ABI says the definitions and guidance will help to ensure PMI customers are able to understand what policies do and do not cover and to compare the products of different companies more easily.
ABI director of general insurance and health Nick Starling says for the first time companies will be required to provide a more detailed explanation of their cancer cover.
He says: “This is because cancer is a complex disease that does not always fit into the standard categories of ‘acute’ or ‘chronic’ illnesses. We hope that the new definitions will improve people’s understanding of PMI and encourage more people to take it out.”
Cancerbackup chief executive Joanne Rule says: “Common definitions will bring much needed clarity to people purchasing PMI and allow them to make better informed decisions about the kind of cover they want, and the treatments which would be covered if they were diagnosed with cancer.”