Health insurance for self employed
Having time off work takes planning when you're self-employed. But unlike holidays, injury and illness can't be planned. So, being sick can have a major impact on your business.
What is self-employed health insurance?
Self-employed health insurance is a type of private medical insurance that self-employed individuals can buy from an insurance company to help cover the cost of private healthcare. It works separately from the NHS and provides an optional additional layer of healthcare cover. It's for people who work for themselves, such as freelancers, contractors and sole traders.
Self-employed health insurance typically covers seeing a private GP, physiotherapist, or mental health professional, as well as treatment in private hospitals and diagnostic tests such as MRI, CT, and PET scans. Many policies include comprehensive cancer cover and access to the latest treatments.
Additional cover options can include optical and dental cover, travel insurance, and enhanced mental health support, though policies vary depending on the insurance provider and plan you choose.
The key benefit of having health insurance as self-employed person is speed and convenience. Many people choose to be seen privately because they can get appointments quickly and at times that suit their schedule, while still having the safety net of NHS care when needed.
Explore Health Insurance for Self-Employed
Why is health insurance important when you're self-employed?
When you're self-employed, your business depends entirely on your ability to work. Unlike employed workers, you don't have the safety net of Statutory Sick Pay or employer-provided health benefits. If illness strikes, time off work can mean lost income.
Over 4.4 million people in the UK are self-employed1, yet most don't have private health insurance. This leaves them vulnerable to financial setbacks if they fall ill or face delays in accessing treatment.
Private health insurance offers more than just medical support. Investing in health insurance means investing in your ability to keep working and earning, even when life throws unexpected health challenges your way.
How does self-employed health insurance work?
Setting up self-employed health insurance policy is simple. Here's how it works, from choosing your cover to making a claim.
1. Set Up Your Policy
- Choose Your Core Cover. At Vitality, all our plans start with Core Cover, which includes virtual GP consultations, in-patient and day-patient treatment (hospital fees, consultant fees and scans), advanced cancer cover, mental health support, physiotherapy sessions, and more.
- Add Optional Extras. At Vitality, you can decide if you want to add extras like out-patient cover, mental health cover, therapies cover, optical, dental and hearing cover and Worldwide travel cover.
- Select Your Hospital Access. Decide where you want to be treated.
- Choose Your Excess. You can set your excess at different levels, zero, £100, £250, £500 or £1,000.
- Choose Your Underwriting Type. Choose between Full Medical Underwriting or Moratorium Underwriting.
- Submit Your Application. Once your application is accepted, you'll receive your policy documents confirming your cover. As a Vitality member, you'll also get access to the Vitality Member App. Use it to track claims and book GP appointments.
2. When You Need Treatment
- See a GP. Use the Vitality GP app or your NHS GP and book a GP appointment. Ask for an open referral to keep your options flexible. For private physiotherapy and mental health treatments, you can usually refer yourself without needing to see a GP first.
- Start a Claim. Send your referral letter and symptoms to your insurer for "pre-authorisation”. With Vitality, you can do this via Vitality Member App or online via Member Zone.
- Choose a Hospital and Specialist from your insurer's approved network.
- Get Treated. Book your consultation with the chosen specialist. The specialist may recommend further diagnostic tests (like an MRI or X-ray) or a course of treatment (such as physiotherapy or surgery). If the specialist recommends any additional tests or treatment, you will need to contact your insurer again to get further pre-authorisation.
3. Paying for Treatment
This is where the private health insurance steps in. When the insurer approves your treatment, they'll usually pay the consultant or the hospital directly.
If there's an excess on your policy, the insurance company will let you know how much to pay when you make your claim. Some insurance companies will ask you to pay it straightaway, others when they settle the bill for treatment.
Learn more: How does private health insurance work explained
What does self-employed health insurance cover?
Vitality offers flexible private medical insurance tailored to your needs.
All plans start with Core Cover, which includes a wide range of benefits, and you can customise your plan with optional cover options.
Core cover
- Private GP consultations: Access virtual GP consultations via the Vitality GP app within 48 hours, plus up to two face-to-face consultations with a private GP for just £20 each.
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Private hospital treatment: Full cover for in-patient and day-patient hospital fees, including consultant fees, diagnostic tests, and scans (MRI, CT, PET).
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Cancer care: Includes Advanced Cancer Cover with full cover for biological therapies, stem cell therapy, radiotherapy, chemotherapy, and reconstructive surgery. Eligible members also get access to Check4Cancer assessments for five common cancers, with discounted screenings based on risk.
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Mental health support: Core Cover includes up to eight Talking Therapy sessions (CBT or counselling) per plan year, plus a 12-month subscription to the Headspace mindfulness app. No exclusions or underwriting apply to Talking Therapies.
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Physiotherapy: Up to six sessions per year through Vitality's Priority Physio network, with access to 24/7 virtual support via Ascenti Reach.
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Additional benefits: Includes NHS hospital cash benefit, home nursing, private ambulance, and Vitality Menopause Support via Peppy.
Additional options
- Out-patient cover: Covers consultations, diagnostic tests, and physiotherapy.
- Enhanced mental health cover: Provides full cover for Talking Therapies (where clinically appropriate), up to £1,500 for outpatient psychiatric treatment, and up to 28 days of in-patient and day-patient treatment per episode.
- Therapies cover: Full cover for chiropractic, osteopathy, chiropody/podiatry, acupuncture, homeopathy, and up to two dietician consultations following GP or consultant referral.
- Optical, dental and hearing cover: Contributions towards eyesight tests, prescription glasses or contact lenses, hearing tests and aids, and dental check-ups, hygienist fees, and emergency dental treatment.
- Worldwide travel cover: Includes up to £10 million for emergency medical expenses abroad, repatriation, and cover for travel disruptions, personal belongings, and winter sports.
What's usually not covered?
Most health insurance policies don't pay for the ongoing treatment of long-term conditions. Like high blood pressure, diabetes, asthma or arthritis.
Emergency treatment and cosmetic treatments are also excluded. As is routine pregnancy and childbirth. Treatment for alcohol and drug abuse also isn't covered. Plus, any treatment that takes place outside the UK.
And if you have a pre-existing condition, it's likely that treatment related to this condition won't be covered.
Learn more: What is pre-existing condition in health insurance?
How much does self-employed health insurance cost in the UK?
The cost of health insurance for self-employed individuals varies depending on several factors, like:
- Your age. The younger you are the cheaper your premiums are likely to be.
- Where you live. Prices in the southeast of England, especially London, will be higher.
- Your health status. Your current health and medical history may impact your quote.
- Your lifestyle. Your premiums will be higher if you smoke.
- Type of cover. What level of cover you choose will affect your premiums.
- Your excess. If you choose to have an excess on your plan, it should reduce the cost of your regular premiums.
Read more: How much does UK health insurance cost?
Is health insurance tax-deductible for the self-employed?
If you're sole trader and buying a personal health insurance plan using your own income, then HMRC consider this a personal expense, and it's not tax-deductible. You won't be able to offset the cost against company profits.
But if you're the director of a limited company, you may be able to offset the cost of cover against the company's Corporation Tax bill. To do this, the plan must be bought by the business and be paid for from a business bank account. The cost of the premium can then be deducted from taxable income.
However, as premiums are tax deductible for the business, the insurance is classed as a benefit in kind. This means you'll pay income tax at your usual rate relative to the cost of the insurance premiums. And the business will pay Class 1A National Insurance on the value of the premium. Please consult your own tax advisers before deciding what's best for your business.
What's the difference between self-employed and personal health insurance?
The difference between the two plans depends on how they're set up.
Self-employed health insurance is a form of small business health insurance. So, if you're self-employed and want to take out self-employed health insurance, you take out business health insurance for one employee.
Personal health insurance is a plan for one person and can be taken out by anyone regardless of their employment status.
| Personal health insurance | Self-employed health insurance | |
|---|---|---|
| Who can take it out | Anyone. | Specifically for freelancers, contractors, sole traders and small business owners. |
| Policy type | Individual policy. | Business policy. |
| How it's paid | From a personal bank account. | From a business bank account. |
| Tax treatment | No tax relief on the premiums. | Premiums can be tax-deductible for the business. However, as an employee of the business, you will pay additional income tax. And the business pays additional NI. |
What other insurance options should self-employed people consider?
- Besides health insurance, many self-employed people take out income protection insurance. This cover pays you a regular income if you're unable to work due to illness or injury.
- You might also want to consider life insurance. If you passed away, your loved ones would receive a payout which could replace your lost income.
- Critical and serious illness cover is another option. This insurance policy pays out a lump sum if you get a serious illness.
Key takeaways
- Self-employed health insurance is private medical insurance for people who work for themselves. Such as freelancers, contractors and sole traders.
- If you're injured or become unwell, self-employed health insurance helps pay for private treatment.
- Investing in health insurance means investing in your ability to keep working and earning, even when life throws unexpected health challenges your way.
- Self-employed health insurance is a form of small business health insurance. So, as a self-employed person, you take out business health insurance for one employee. Personal health insurance is a plan for one person and can be taken out by anyone.
1 Statistica: Number of self-employed workers in the United Kingdom. Q1 2000 to Q2 2025.
