PruHealth's Gym Memberships Reduce Their Profits

Private medical insurance company Pruhealth has announced a healthy balance sheet for the last six months of trading. PruHealth is well known in the health insurance industry because of its Vitality points reward system which offers reduced premiums when their customers follow a range of health measures.

PruHealth offers heavily discounted membership to gymnasiums as an incentive to improve people's health and reduce their need to make claims. However, Adrian Gore, CEO of Discovery, PruHealth's parent company, said that if the company was to become healthy is had to make changes to the gym membership scheme.

Early last year PruHealth was flooded with people joining up to their private health insurance policies in order to make the most of the reduced cost memberships. Mr Gore said 'During the first part of 2008 it became clear that a considerable number of members acquired online had joined PruHealth only for the gym benefit. And while this activity supported a low level of health claims, it created increased Vitality subsidy costs in the short term.'

Now Pruhealth offer reductions in premiums if people follow a whole range of health lifestyle activities including the following:

Flu vaccination
Pap smear
Glaucoma test
Basic health screen
Full health screen
Dental check up
Cholesterol screening
Mammogram
Maintaining blood pressure
Lowering blood pressure
Improving BMI over 6 months
Maintaining BMI over 6 months
Reading Lifestyle articles

You are awarded Vitality Points which you then use to reduce your medical cover premiums. Although private medical insurance companies do not cover chronic conditions PruHealth also offer points on the Vitality scheme when you take measures to help yourself with your condition.