Why do private health insurance providers apply waiting periods for certain procedures and services? A - HSC - SSCE Personal Development and Physical Education - Question 11 - 2024 - Paper 1

Private health insurance providers implement waiting periods primarily to prevent immediate claims for pre-existing medical conditions. This practice ensures that individuals do not take advantage of the insurance system by signing up just to claim coverage for existing health issues, which could lead to financial losses for the insurer. By establishing waiting periods, insurers can maintain the sustainability of their policies and better manage their risk pool.