Vitality ABC renewal pricing
16 January 2017
Vitality believe individual renewal premiums should be fair, intuitive and transparent. However, the No claims discount approach to renewal pricing is more of a penalty for those who claim, rather than a reward for those who don't claim.
Vitality are introducing an alternative method for calculating renewal premiums, based on Age, Base medical inflation, and an adjustment for Claims and engagement (ABC).
When will this new structure take place?
For new business with effect from 5th January 2017 and business renewing on or after 5th January 2017, meaning the first time plans will be priced using the ABC model will be renewals on or after 5th January 2018.