Health Insurance for Self-Employed People

Health insurance for self-employed people is private medical insurance that you arrange and pay for yourself, rather than through an employer. It covers the cost of eligible private treatment for acute conditions that begin after your policy starts, such as specialist consultations, diagnostic scans and hospital treatment, while you stay fully entitled to NHS care.

In most cases there is no separate product just for the self-employed. Insurers usually offer their standard individual policies, and the right cover depends on how you work, where you live and what matters most to you. An acute condition is an illness or injury that is expected to respond to treatment and get better.

Core cover usually focuses on inpatient and day patient treatment, with options to add outpatient consultations, diagnostic tests, therapies and mental health support. Many policies also include a digital GP service, which can be useful when you cannot easily take time out of your working day. Policies normally run for 12 months and are renewed each year.

When you speak to Morehealth about individual health insurance, we explain what is core cover, what is optional and how each choice affects your premium.

There is no single price, because premiums are based on your personal details and the cover you choose. Your age, postcode, hospital list, excess, level of outpatient cover and underwriting method all affect the cost. That is why we compare quotes from several insurers before recommending a policy.

You will not see instant prices on our website. Insurers need a few details to give an accurate quote, and a short conversation helps make sure you are comparing like for like rather than relying on a misleading estimate. To get started, we usually only need your name, date of birth and postcode.

Where you live can make a noticeable difference, as treatment in some areas, particularly central London, costs more to include. Premiums also tend to rise as you get older and are reviewed by the insurer each year at renewal, so it helps to check your cover regularly.

For a fuller explanation of the factors involved, read our guide to how much private medical insurance costs.

If you are a sole trader, personal health insurance premiums are not usually an allowable business expense, as HMRC treats them as a personal cost. If your limited company pays for your cover, the premium is usually a business expense for corporation tax, but it is normally a taxable benefit for you.

HMRC only allows sole traders to claim expenses that are wholly and exclusively for business purposes. Personal health cover benefits you as an individual, so it is not normally claimable through your Self Assessment tax return.

For limited company directors, cover paid by the company is usually reported to HMRC as a benefit in kind, either on a P11D or through payroll. You would normally pay income tax on the value of that benefit, and the company would pay Class 1A National Insurance on it.

Tax rules can change and depend on your circumstances, so we always recommend checking with your accountant. What we can do is explain how individual policies and business health insurance differ, so you can have an informed conversation about which route suits you.

Often, yes. If you are leaving an employer scheme to work for yourself, you may be able to move to an individual policy and carry your existing underwriting with you. Where your workplace scheme covered you on a medical history disregarded basis, insurers can accept this when you switch to an individual policy, subject to their criteria.

This matters because a brand new policy usually starts with moratorium underwriting. That means anything you have had symptoms, advice or treatment for in the past 5 years would not be covered for at least the first 2 years. Transferring your underwriting may allow conditions that were covered under your company scheme to stay covered.

Timing is important. It is best to speak to us before your workplace cover ends, so your new policy can start straight away without a gap. In some cases carrying over your previous underwriting may not be necessary, and choosing a different option could reduce your premium. We talk you through both routes so you can decide.

Our guide to company health insurance after retirement also explains your options if you are leaving work later in life.

Usually not straight away. On a moratorium policy, anything you have had symptoms, advice, diagnostic tests or treatment for in the 5 years before your policy starts is not covered for the first 2 years. After that, it may be covered if you have been free of symptoms, advice and treatment for 2 consecutive years.

With full medical underwriting, you share your medical history when you apply. Conditions you declare are usually excluded from the start, but you know exactly where you stand before you need to claim. If you are switching from an existing policy, continued personal medical exclusions may allow your current terms to carry across.

Private medical insurance is designed for acute conditions. The ongoing management of chronic conditions, such as diabetes or asthma, is not covered. Some policies may cover the initial diagnosis of a condition and treatment of an acute flare-up, but ongoing care remains with the NHS. Our guide to chronic conditions explains this in more detail.

Every insurer applies its own rules, so we explain how your medical history is likely to be treated before you apply.

No. Private medical insurance pays for eligible private treatment, not lost earnings. If you are worried about covering your bills during a long illness, income protection and critical illness cover are separate types of insurance designed to pay you money, rather than paying for your medical care.

Income protection usually pays a regular monthly amount if illness or injury stops you working, after an agreed waiting period. Critical illness cover usually pays a lump sum if you are diagnosed with a serious illness listed in the policy.

Health insurance can still play an important part when you are self-employed. Quicker access to diagnosis and treatment may help you return to work sooner than if you were waiting, although no policy can guarantee this.

Many people consider health insurance alongside other protection. MoneyHelper offers free, impartial guidance on personal insurance when you are self-employed. Our own advice focuses on private medical insurance, so we will always be clear about what your policy does and does not do.

You can often lower your premium by changing how your policy works, rather than removing the cover you value most. Common options include a higher excess, a more targeted hospital list, a guided consultant option or a set outpatient limit. We explain what each change means for you before you decide.

A higher excess means you pay more towards a claim, but your premium is usually lower. Hospital lists vary between insurers, and some exclude certain hospitals, particularly in central London, in return for a lower price.

Guided options restrict your choice of consultant to help keep premiums down, and our page on guided options explains how they work. Some insurers also offer a 6 week option, where you use the NHS if treatment is available within 6 weeks.

Any potential savings depend on your circumstances, so we make sure your cover still meets your needs. For more ideas, read our guide on how to reduce your private medical insurance premium.

An insurer can only show you its own policies. As an independent broker, Morehealth compares leading UK insurers, explains the differences in plain English and recommends cover that fits your circumstances. Our advice is free, we are paid by the insurer you choose, and our commission is not added to your premium.

As a small, UK based team, we offer a personal service. You speak to an adviser who takes the time to understand your work, your budget and your priorities. We help with the application and underwriting, so you know how your cover works from the start.

Our support continues after your policy begins, with reviews at renewal and help if you need to make a claim. We can also review policies that were arranged elsewhere.

You can call us on 0800 028 5540, message us on WhatsApp or request a quote online. Our advisers are available Monday to Thursday, 9am to 6:30pm, and Friday, 9am to 5pm. Find out more about Morehealth.

The best time is a few weeks before your renewal date. This gives enough time to compare insurers properly and complete any underwriting if you decide to switch. If your renewal has already passed, a review can still be carried out up to 14 days after the renewal date.

Premiums can change at renewal, and your needs may have changed too. You might have moved home, added a partner to your policy or changed the way you work. A review helps you check that your hospital access, outpatient limits and excess still make sense.

You can switch insurer at any time, not just at renewal. When you do, we look at whether continued personal medical exclusions or continued moratorium underwriting could help protect your position. If staying with your current insurer is the best option, we will say so.

Request a free health insurance check and we will compare your renewal with the wider market.