--- title: "Is private health insurance worth it?" description: "Is private health insurance worth it? What it covers and costs, the excess and exclusions to check, and how to decide whether it fits your budget." author: "Wealtie Team" published: 2026-11-12 updated: 2026-11-12 category: "Budgeting" canonical: https://wealtie.com/blog/health-insurance-worth-it --- # Is private health insurance worth it? Is private health insurance worth it? It depends on what your public health system covers, how much waiting times matter to you and whether the premiums fit your budget, and in a worked example a policy at 70 a month costs 840 a year. ## Key takeaways - Whether private health insurance is worth it depends on your public system, waiting times and budget. - In a worked example, a policy at 70 a month costs 840 a year. - A higher excess lowers the premium, but you pay more when you claim. - Check exclusions, especially for existing conditions, before you buy. ## Is private health insurance worth it? It depends on where you live and what matters to you. In some countries, health insurance is required or is the main way to pay for care. In others, a public health system covers most treatment, and private insurance is an optional extra for faster access, more choice or extra comfort. Whether it's worth it depends on what you'd get that you don't already have, and whether the premiums fit your budget. This guide is for people deciding whether to add private cover on top of what they already have. If you're covered through work, check what happens to the cover if you leave your job. ## What does private health insurance cover? It varies by policy, but often includes: - Faster access to specialists, scans and planned treatment - Choice of hospital and consultant - A private room for hospital stays - Some treatments not available or not funded publicly - Outpatient care, like consultations and tests, on some policies - Mental health and therapy cover, on some policies Most policies don't cover emergency care, which is usually handled by public services, or routine care for long-term conditions. Some policies add extras like health checks or gym discounts, which have value only if you'd use them. ## What does it cost? Premiums depend on your age, health, where you live, the level of cover and the excess. Here's a worked example of how the excess changes the yearly premium, in round numbers that work in any currency: ![Yearly premium by excess. Excess of 0: 1080, Excess of 250: 840, Excess of 500: 720.](https://us-1-s3.polodev.net/wealtie-blog-media/posts/2026/11/yearly-premium-by-excess-excess-of-0-1080-excess-of-250-840-3b824874fd.webp "Source: Worked example in round numbers") In this example, a policy with a 250 excess costs 70 a month, or 840 a year. Choosing no excess raises it to 1,080, while a 500 excess lowers it to 720. Premiums usually rise with age, and paying yearly instead of monthly is sometimes cheaper. ### What is the excess? The excess is the amount you pay towards a claim before the insurer pays the rest. A higher excess means lower premiums but more cost when you claim. Choose an excess you could comfortably pay from savings. ## What doesn't it cover? Read the exclusions carefully. Common ones include: - Conditions you had before the policy started, at least for a period - Chronic conditions that need ongoing management - Emergency treatment - Pregnancy and childbirth, on many policies - Cosmetic treatment - Some mental health care, unless added If you have an existing condition, check exactly how it's treated before you buy. ## When is it most worth it? Private health insurance tends to make more sense when: - Waiting times for planned treatment where you live are long, and waiting would affect your work or life - You're self-employed, and time off for treatment would cost you income - Your employer offers it as a benefit, so you pay less or nothing - You value choice of hospital and timing - You can get a lower price on a joint or family policy It may make less sense if your public system works well for you, premiums would stretch your budget, or the exclusions would leave out the care you're most likely to need. [Which insurance do you need](https://wealtie.com/blog/which-insurance-do-you-need) helps you weigh it against other cover. ## What are the alternatives? Some people save a health fund instead, using the premium amount each month. Others choose cheaper policies that cover only specific things, like diagnosis or cancer care. Cash plans, available in some countries, pay fixed amounts towards routine costs like dental care, glasses and physiotherapy. [How to budget for medical bills](https://wealtie.com/blog/budget-for-medical-bills) covers saving for health costs, and [how to save money on dental care](https://wealtie.com/blog/save-money-on-dental-care) covers one of the most common extras. Some employers also offer a health cash plan or discounted cover, so check your benefits first. ### If you're self-employed Freelancers often have more to lose from waiting for treatment, since time off means lost income. [How to save before going freelance](https://wealtie.com/blog/save-before-going-freelance) covers building a safety net, including health and income protection. ## How do you compare policies? Compare the cover, the excess, the exclusions, how premiums rise with age and how easy claims are. A cheap policy with narrow cover may not help when you need it. Review your policy each year at renewal, since premiums can rise and your needs can change. An independent broker can compare several insurers for you, often at no direct cost. ## How do you track health insurance in Wealtie? Set up premiums as a recurring transaction with the [bill tracker](https://wealtie.com/features/recurring), so they're logged each month and you can see the yearly cost. Give health costs, including any excess you pay, their own line in your [expense categories](https://wealtie.com/features/categories), so you can see what health costs you over a year. ## Questions people ask ### Is private health insurance worth it? Often only if waiting times, self-employment or an employer subsidy make faster care valuable to you. Compare what you'd gain with the cost. ### How much does private health insurance cost? Premiums vary with age, health, location and cover. In a worked example, a policy at 70 a month costs 840 a year. ### What is a health insurance excess? The amount you pay towards a claim before the insurer pays. A higher excess lowers premiums. ### Does private health insurance cover existing conditions? Often not, at least for a period. Check exactly how your conditions are treated before you buy. *This article is general information, not financial, tax or legal advice. Your situation is your own; check the numbers that apply to you before you act on them.*