Health Cash Plans Explained: How They Differ From Private Health Insurance (UK, 2026)
Last updated: September 2026
Health Cash Plans Explained: How They Differ From Private Health Insurance
If you have seen plans from Westfield Health, Simplyhealth, Medicash, Health Shield, Hive or Benenden alongside Bupa or AXA on a comparison site, it is worth knowing that they are a different product from private medical insurance (PMI), not a cheaper version of the same thing.
What a health cash plan actually does
A health cash plan reimburses you for a percentage of routine healthcare costs you have already paid. These costs typically include dental check-ups and treatment, eye tests and glasses, physiotherapy, osteopathy and chiropractic care, and sometimes prescriptions or specialist consultations. You pay the practitioner yourself, then claim back a portion—often 50–100%, depending on the category and plan tier—up to an annual limit for each benefit type.
This is different from how PMI works. PMI covers eligible costs for private hospital treatment, surgery and cancer care—treatment you may never need, but which could be expensive if you did. A cash plan instead helps with routine costs you are likely to have anyway. Most adults see a dentist and optician regularly, so a cash plan is intended to reduce predictable spending over time, not protect you against a large, unexpected medical bill.
What's typically covered
Across the major UK providers, you'll generally find reimbursement for:
- Dental check-ups, treatment, and sometimes orthodontics
- Optical tests, glasses, and contact lenses
- Physiotherapy, osteopathy, chiropractic, and acupuncture
- Prescription charges
- Specialist consultations and diagnostic tests (on some plans)
- A cash benefit for hospital stays (a fixed amount per night, separate from the reimbursement mechanism above)
What's typically NOT covered
Understand these exclusions before treating a cash plan as a substitute for PMI:
- Private hospital treatment or surgery — cash plans don't fund this the way PMI does
- Cancer treatment — most cash plans explicitly exclude this; it's one of the biggest differences from even basic PMI
- Pre-existing or chronic condition management — same general exclusion pattern as PMI
Benenden Health: a related but distinct model
Benenden Health is related to cash plans but works differently. It is a membership scheme that offers discretionary access to diagnostic tests and treatment when NHS waiting times exceed a set threshold, rather than reimbursing routine costs you have paid yourself. “Discretionary” is important: unlike a cash plan claim, access is not a contractual insurance payout. Benenden also explicitly excludes private cancer treatment.
How the major UK cash plan providers compare
| Provider | From (per month) | Known for |
|---|---|---|
| Westfield Health | £8.58/month | Lowest published entry price; free dependent child cover; Eldercare support service |
| Simplyhealth | ~£10/month | UK's largest provider (~2.5 million customers); strongest dental benefit caps on top tiers |
| Medicash | ~£9/month | Affordable entry pricing; broad therapy category coverage |
| Health Shield | ~£12/month | FCA/PRA-regulated; dependent children included on its Select plan |
| Hive | ~£11/month | Simple, no-frills structure for core dental/optical/therapy reimbursement |
| Benenden Health | £15.85/month | Discretionary NHS-wait-time backstop, not reimbursement-based |
These prices are for entry-level tiers. Most providers offer three to six tiers with progressively higher annual limits. Many households choose a mid-tier plan after comparing their likely yearly spending on dental, optical and therapy costs with the entry tier's limits.
Is a cash plan worth it?
If you regularly see a dentist or optician, or use physiotherapy and similar services, a cash plan may pay for itself. The FCA has noted that cash plans offer better claims-to-premium value than most other insurance products, in part because they reimburse costs people were likely to incur anyway. A cash plan may offer less value if you rarely use the covered services, as you could pay a monthly premium but claim little in return.
Cash plan vs PMI: do you need one, the other, or both?
They address different needs, so some people may choose both if their budget allows: a cash plan for predictable routine costs and PMI for unexpected, expensive treatment. If you have to choose one, consider which risk concerns you more: the cost of dental and optical bills over a year, or the cost and waiting time involved in hospital treatment or cancer care.
Compare real plans
Use our comparison tool to compare leading UK PMI providers. Visit the cash plans and membership schemes section on our homepage to compare Westfield, Simplyhealth, Medicash, Health Shield, Hive and Benenden.
Prices and features in this guide are indicative and based on publicly available product information. Benefit caps, tiers, and exclusions vary by provider and plan level — always check the current benefit table before purchasing. This article is for general information only and is not financial or insurance advice.