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Medicash product changes

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Following the closure of its two convalescent homes in Colwyn Bay, Medicash’s plans will no longer cover payments towards rehabilitation at home and convalescence.


Another benefit, funeral plan expenses has been withdrawn due to circumstances beyond Medicash’s control. Medicash’s interim chief executive Susan Weir says: “Medicash first introduced funeral benefit in 1996. There are two reasons why we can no longer provide this, the first relates to the level of risk associated with this benefit for Medicash. In the past it was re-insured by a third party, when this party informed us that they were no longer in a position to re-insure this benefit we searched for an alternative provider and no-one was willing to take this on. Secondly, the Financial Services Authority defines insurance in various different categories. Funeral benefit is classed as life assurance and Medicash is a general insurer not a life assurance company. We took legal advice and were advised that it was no longer appropriate for us to offer funeral benefit. These factors have meant that it simply would not be responsible for us to continue to provide funeral benefit.”


Health cash plans: News update: April 2008


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