Underwriting

What options do i have?

When you offer Private Medical Insurance (PMI) as a workplace benefit, the way employees are added to the plan is a bit different than buying a personal policy. For groups, it’s all about how much "medical digging" the insurer does at the start.

Here are the three common ways employees get covered:

1. Medical History Disregarded (MHD)

This is the "gold standard" for employee benefits and is usually available for larger teams over 15.

How it works: The insurer doesn't look at anyone's medical history. Pre-existing conditions are covered just like new ones.
Why employees love it: It’s inclusive. Even if someone has a chronic back issue or a recurring problem, they can get private treatment immediately.
The Business Angle: It’s the simplest to manage and the most powerful for recruitment and retention.

2. Moratorium (Group Moratorium)

This is the most common choice for smaller teams.

How it works: No health forms are needed. Instead, the policy automatically excludes any condition an employee had in the last 5 years.
The "Wait" Rule: If an employee joins, stays free of that condition (no treatment, advice, medication or symptoms) for 2 continuous years while on the plan, that condition is then likely to be covered.
The Business Angle: It’s quick to set up and keeps premiums lower than MHD, but employees need to be told clearly that their old injuries aren't covered right away.

3. Full Medical Underwriting (FMU)

Rare for groups, but sometimes used for very small teams or specific executive levels.

How it works: Every employee fills out a detailed health questionnaire.
The Result: The insurer reviews the forms and gives each person a list of what they won't be covered for based on their history.
The Business Angle: It provides total certainty (everyone knows exactly where they stand), but it can feel invasive for staff to share their medical secrets with an insurer just to get a work benefit.