The recent decrease in the take up of private medical insurance (PMI) has showed signs of plateauing according to new research.

Analysts Laing & Buisson reported that although figures are dramatically down over the medium term, last years saw only a 0.8% decline. According to the report:

“Individual policyholders have fallen from a peak of 1,457,000 in 1996 to a low of 1,088,000 at the end of 2007, but a reported pick up in individual PMI demand by several leading insurers in the first half of 2008 suggests that the falling trend may level off this year.”

Though this is good news for the industry, the report found that it was the corporate sector which reversed the downward trend, while individuals are still unwilling to take up health insurance.

The reports author Philip Blackburn commented that:
“A second successive rise in PMI demand, although relatively modest, confirms the unfading popularity of private health care cover, particularly in the corporate world, but also from individuals willing to spend increasing amounts to be covered. Corporate desire for flexible health, protection and wellbeing solutions, including an increasing range of employee support services, across employers of all shapes and sizes continues to underpin market strength and drive growth forward gradually.”

In the current climate it appears though that individuals simply do not have the spare cash to take up the extra expense.