PPP Healthcare is setting up an individual PMI product for people who want some control over their healthcare costs in exchange for a greater degree of investment risk.
Healthy Outlook is targeted at individuals who would tend to pay for their own private medical costs without taking out insurance but still appreciate the safety net that comes with cover.
Under the policy, PPP will not pay anything towards the individual's medical costs until they exceed the £5,000 excess.
Until their medical costs break this limit, they pay premiums that are 60 per cent cheaper than the average competing plan. Once their healthcare costs breach the ceiling, consumers still pay 25 per cent less than the average plan.
They can stretch the first £5,000 over any time period they desire. As long as their health costs do not break this barrier, they enjoy the lower premium levels.
During the period before the excess is reached, benefits include £200 cash for every day spent as a National Health Service hospital inpatient, international emergency medical assistance and access to PPP's 24-hour health information and counselling service.
Initial commission is 40 per cent and renewal commission is 5 per cent.
PPP Healthcare commercial director Fergus Craig says: “Healthy Outlook will appeal to people who are not insurance-minded and who are prepared to fund some of their private healthcare costs but who want to cap their personal exposure.”