Insurance companies offering private health plans in Cyprus are not worried about losing business due to the introduction of the universal General Healthcare System from June 2019.
While they do not anticipate any differentiation in their client’s behaviour, they do expect that the GHS will actually give the sector the push it needs by creating opportunities for it to grow through designing new products and services.
Universal Life's CEO Evan Gavas said the GHS will bring about significant changes to Cyprus' healthcare system but called on people to avoid taking hasty decisions before they have the chance to form an opinion on the quality of services offered.
Gavas told Stockwatch: “We advise our clients to make informed decisions regarding their insurance policies. Particularly during the first phase of the GHS, which will start in June 2019 and will cover only outpatient care.
“We expect that private health care policy holders will not make substantial changes to their contracts as coverage offered to them by the GHS will not be complete”.
Echoing the same arguments, CNP Insurance CEO Takis Phidias said Cyprus is in need of a GHS which will act as a safety net for vulnerable groups of society, but it will not affect insurance companies.
“The introduction of the GHS is an opportunity for insurance companies to grow and offer innovative and complementary products to the GHS”.
"As international experience, and especially from the UK, has proven, insurance companies play a very important role following the implementation of a national health system as they fill in any gaps in the design," explained Phidias.
According to the latest data available data from the Association of Insurance Companies, total life insurance premiums amounted to € 287.8 mln in the first nine months of 2018 compared to €261.7 mln in the same period for 2017 recording an increase of 10%.
The same data showed Universal Life heading the list of companies with the largest number of policies, with the value of issued policies standing at €76 mln.
Eurolife follows with policies worth €67 mln while CNP come in third with policies worth €64 mln.
