Private Medical Insurance vs Income Protection: What Is the Difference?

Private medical insurance (PMI) and income protection solve different problems. PMI may pay for eligible private consultations, tests or treatment under the policy. Income protection is designed to provide an income benefit if illness or injury prevents you from working, subject to the policy definition and waiting period.

Compare what each policy pays for

With PMI, check treatment eligibility, exclusions, excess, limits and approved providers. With income protection, check the definition of incapacity, how long payments can continue, the deferred period and how benefit is calculated. Income protection does not generally pay because someone is made redundant.

Could someone need both?

Possibly. One product concerns access to eligible treatment; the other concerns income during a period when you cannot work. Neither replaces the other, and both have exclusions and conditions.

Which should I choose?

Start with the financial risk you want to address, read the policy terms and compare like-for-like quotes. Consider regulated advice for personal recommendations.

See our guide to what health insurance covers.

Sources checked 18 October 2026: ABI: Private medical insurance · ABI: Income protection