Divorcing women may drive new demand for private medical insurance, thinks National Friendly
Divorce rates amongst the over 50s and 60s, the so called "silver separators,"
Statistics from Age UK, show that 40 per cent of women aged 55-70 years are heavily dependent on their partners' income for a decent retirement, often because they haven't accumulated a considerable pension of their own due to career breaks to care for children or relatives and working part-time. Therefore the importance of financial protection for this cohort becomes considerable.
Wayne Carter, Head of Sales and Marketing at National Friendly thinks that these changes mean it will be important in the future, for women in particular, to ensure that they are appropriately insured with products such as private medical cover. "As increasing numbers of women are now finding themselves single and expected to pick up their careers again, the importance of staying healthy and having an income becomes pertinent to any new life plan. In this context it may be even more important for the newly divorced woman to ensure that, should she fall ill, she can have fast access to the best medical care."
Other changes are expected to impact the demand for private health insurance amongst women too. As of 2018, the UK's state pension age became 65 for both women and men, rising from the age of 63 for women in 2016. The state pension age will increase again in 2020 to age 66 for men and women. Should increasing numbers of women choose, or be obliged to remain in work due to financial hardships resulting from, for example, divorce, the importance of maintaining a healthy lifestyle increases.
National Friendly believes that this could trigger increased demand for a range of treatments, especially those where traditionally waiting times can have an impact on day-to-day living, which in the context of maintaining a salaried income, could become critical. "Typical conditions where private health insurance is perceived to offer a faster outcome include operations such as hip and knee replacements,"
National Friendly believes the societal changes that are happening are likely to push the female segment of the workforce ever more into the spotlight, with the result that this group will need more and more support from products such as private health insurance.
Sources/notes to editor
Based in the centre of Bristol, National Friendly is a mutual society, with the aim of helping its members to prepare for life's difficulties.
Established in 1868, it has no shareholders and exists to serve the best interests of its 33,400* members.
National Deposit Friendly Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Its vision is to be a forward-thinking and trusted mutual that meets the health, welfare and protection needs of its members through a portfolio of innovative insurance and savings products.
*As of November 2018.