When buying Contractor Health Insurance, the insurer will underwrite you on either a Moratorium or Full Medical Basis. Which one is right for you depends on your medical history—not just on the conditions you’ve had, but also how severe those conditions were.
Moratorium Underwriting (MORI)
Moratorium is the most common form of underwriting. Your insurer will assess your medical history and exclude any health condition you’ve had advice, medication or treatment for in the previous 5 years. Most providers underwrite under a 2-year rolling basis. Here they might reconsider cover for a previous condition as long as you haven’t sought any treatment or advice for it in those 2 years.
Full Medical Underwriting (FMU)
Full Medical Underwriting means you’ll fill in a form declaring any pre-existing conditions when you apply for cover. Your insurer will then go on to exclude these conditions. Although you’ll know what you’re covered for from the start, there’s often very little wiggle room to remove exclusions. For example, if you broke a bone 20 years ago and received care for it, but you suffer the same fracture again as an adult, the cost of treatment isn’t covered. It does, however, provide a faster payout as you don’t need to provide medical proof, unlike Moratorium Underwriting. Your insurer already knows your health history.