More or less direct insurance policies in UK are quite similar to direct insurance policies in US, Canada and EU in terms of coverage. However there are many facets of direct insurance that are unique to UK. We take a brief look at some of these aspects in this article.
Vehicle Insurance:
- A unique aspect of direct insurance car in UK firstly is very minor. Vehicle insurance in UK is known as motor insurance.
- And a major unique aspect is that every motor driver and owner must own a minimum of third party coverage as it is a legal requirement as per the Road Traffic Act of 1952. In other words it means that if you don’t own this piece of paper then it is a legal offence. All motor owners have to be covered against their responsibility for injuries to others and damage to some one else’s residential or business property.
- Another distinctive part of direct insurance car is that cars have to display a sticker or disc of Vehicle Excise Duty. This is obtained by a motorist when they buy a car insurance policy
Health Insurance:
- The health insurance in UK mostly covers patient treatments received at NHS clinics and this happens to be its unique aspect. NHS is sponsored by PTC or Primary Trust Care- local government based systems that ensure the general public receives a minimum level of health and social care. Private health care is also covered by health insurance but is not very popular with the UK residents. Most people prefer NHS covered health insurance.
- What makes UK direct insurance health unique from that of US is that the general American population prefers health insurance that covers private medical care rather than the government sponsored Medicare.
Pet Insurance:
- In UK pet insurance companies are offering third party liability insurance specifically for dogs. This is offered as according to 1971 Animals Act, dog owners are legally responsible for their dogs. Thus third party liability insurance is offered in order to cover possible scenarios in which a dog causes a vehicle collision or accident which in turn may lead to damage to a third party car or vehicle.
Dental Insurance:
There are many types of dental cash plans that are offered to potential dental insurance buyers in US, Canada and UK. But one unique kind of dental cash plan that is offered to UK residents is the capitation plan. The plan works out in the following manner
- A dentist will check the patient’s teeth and general oral condition
- Based on its condition will then go on to set up a premium price
- Hence if the overall oral health is in good condition, the direct dental premium price will be lower
- Similarly if the patient’s teeth are in an appalling state, the direct dental premium price will be higher
Moreover under this scheme the person pay’s a monthly amount of money rather than paying the dentist’s fee |
