Insurance firm Aviva has reported a 25% increase in the number of new health insurance policies taken out in the first three months of this year – as NHS lists lengthened and staff went on strike.

The Aviva boss was explicit in linking the rise in new policies to failings in the public health service.

The increase is “a consequence of what we’re seeing in the NHS and customers basically saying that if they can take control over their health situation then they will,” chief executive Amanda Blanc said.

More individuals and companies are “attracted to the benefits of private cover”, Aviva’s first quarter trading update said.

There were an extra 123,000 health insurance customers over the year, Ms Blanc added.

Health insurance coverage was comparatively low in Britain, according to a survey published in April last year by Halifax. Just 6% had personal health cover, the survey suggested.

Please use Chrome browser for a more accessible video player

But in the past year, the NHS has been hit by staff shortages, record waiting lists and strikes by nurses, junior doctors and ambulance drivers over pay and conditions.

Aviva operates in the UK, Ireland and Canada. It is one of Britain’s biggest insurance companies and is listed on the London Stock Exchange.

Read more:
Patients will ‘be able to use NHS app to opt for private hospital care to help waiting lists’
Sir Keir Starmer’s NHS ambitions are laudable – but how will he pay for them?

Be the first to get Breaking News

Install the Sky News app for free

Company performance was mixed over the three months. General insurance premiums rose 11% to £2.4bn but Aviva’s wealth business slowed.

The pensions business was benefitted by higher wages, which resulted in greater contributions, the trading update said. Pension income was also up 25% due to 134 new pension schemes.

Click to subscribe to the Sky News Daily wherever you get your podcasts

“We have delivered an encouraging start to 2023 and continue to build clear trading momentum. New business volumes are good, despite persistent economic uncertainty, and we delivered another quarter of strong growth across our diversified business,” Ms Blanc said.

Aviva shares were down 3% following the update.

Related posts:

Uber loses Supreme Court battle on drivers’ rights in gig economy test Business rates review to be delayed until economic situation is clearer Amazon moves to defend UK tax contribution after bonanza COVID crisis sales Boeing board to face investor lawsuit over 737 MAX oversight ‘lies’ before crashes One in ten firms passing on higher prices to customers as cost of living pressures build Real wages effectively flatlined in lost decade of growth – but there’s a glimmer of light JD Sports says car park meeting not suspicious after footage published Tesla shares fall after Elon Musk’s plan to offload 10% of his stock is backed by Twitter users Wealth manager Succession joins industry deal rush with £400m sale plan Former outsourcing giant Interserve seals £735m Aviva pension deal Swiss government to hold news conference on Credit Suisse after UBS takeover offer Unemployment rate grows, the rise of AI and the future of digital currencies