Further questions answered in the House of Lords regarding health insurance
On 9th September Lord Sassoon answered two further questions from Lord Crisp on health insurance.
09/09 – House of Lords – Written Answers: Health: Cancer and Health: Insurance
Lord Crisp: To ask Her Majesty’s Government what assessment they have made of certain cancer patients having to cease their treatment when their insurer refuses further funding even though the patient is advised by their doctor that they would still benefit from the treatment.
Lord Crisp: To ask Her Majesty’s Government what assessment they have made of the practice of certain health insurance companies saying they offer “full cancer cover” but ceasing to cover patients’ treatment because in their view the insured’s condition has changed from being acute to chronic even though the patient’s doctor advises that they still need the same treatment.
Lord Sassoon: The FSA is responsible for regulating insurance companies. Insurance companies are required to comply with the FSA’s TCF (Treating Customers Fairly) requirements. The FSA also monitors and publishes data on consumer complaints, including in relation to private medical insurance. This can be accessed at: http://www.fsa.gov.uk/pages/Library/Other_publications/commentary/previous_complaints/index.shtml.
Lord Crisp: To ask Her Majesty’s Government whether they will ask the proposed Consumer Protection and Markets Authority to conduct an early review into the terms and conditions of private health insurance sold to individuals and to employers, in the light of the number of cancer patients who have to cease treatment when their insurer refuses further funding even though the patient’s doctor advises that they would still benefit from the treatment.
Lord Sassoon: The Government are committed to establishing a new Consumer Protection and Markets Agency (CPMA). The CPMA will be responsible for making all conduct of business rules, including those relating to private medical insurance, and will take a strong approach to enforcement of conduct of business rules to ensure credible deterrence. The new CPMA will be independent of government. The independence of the Financial Ombudsman Service (FOS), the Financial Services Compensation Scheme (FSCS) and the CPMA will be vital to their role of providing a safety net for consumers with complaints against financial services firms. Their credibility, authority and value to consumers would be undermined if it were possible for the Government to intervene in their decision-making. In the mean time, the issues remain a matter for the Financial Services Authority (FSA), which makes and enforces these conduct of business rules.