Based in Liverpool national health cash plan provider Medicash sold a record 122,000 new policies in 2021 – pushing revenues up to almost £34.5m. Tony McDonough reports
National health cash plan provider Medicash is reporting revenues of almost £34.5m in 2021 – its 150th anniversary year.
In March, the Liverpool-based business revealed it had sold a record 122,000 new policies in 2021. This took its total number of policyholders to more than 375,000, a net increase of 51,000.
According to accounts just filed on Companies House, Medicash’s annual revenue figure was more than £2m higher than the almost £32.3m achieved in 2020. However, pre-tax profits fell from £9.7m in 2020 to £8.5m in 2021.
On Sunday, January 8, 1871, the first Hospital Sunday collection was held in Liverpool, raising £4,685 to support the local voluntary hospitals. This provided critical funding decades before the formation of the NHS.
It was the start of an organisation that eventually was to become Medicash. It has been known by many names over its 150-year history including The Penny in the Pound Fund and Merseyside Health Benefits Council. Eventually the name was changed to Medicash as it expanded its regional focus to a national one.
During 2021, Derby Square-based Medicash continued to invest in digital technology. It launched a new version of the Medicash app, offering additional features and better functionality. More than 77% of claims were submitted via the app, speeding up payments.
In its annual report the business, which has been run for almost 19 years by chief executive Sue Weir, said there had been an increase in policyholders via their employers. This offset a “gradual decline” in the number of direct policyholders.
Medicash says the rising cost of living and pressures on the NHS due to COVID-19 will lead to a rise in claims in the current year.
However, it added: “The board is confident that the business can continue on its upward trajectory and will continue to be seen as the health cash plan provider of choice for customers and intermediaries alike.”
There will also be a cash boost for the organisation’s charitable arm, the Medicash Foundation. This provides grants to health and well-being charities, local authority-run departments and other trusts. The Medicash board has agreed to top up its funds by £750,000.
Medicash also revealed it had renewed the lease on its Derby Square home. And during 2021 it said it had spent £49,000 on services with two Liverpool professional firms. It spent £39,000 with law firm Hill Dickson and £10,000 with accountants DSG.
The business paid its directors a total of £820,000 in salaries and pension benefits in 2021, up from £733,000 in 2020. Its highest paid director received salary and pension benefits totalling £259,000, up from £255,000 in 2020.