Most of the nationals picked up on NICE’s purported ‘banning’ of Avastin for secondary bowel cancer yesterday, despite the fact that the appraisal is still in the consultation stage.

I’ll sidestep the story itself, save to state the obvious that the NHS has finite resources and part of NICE’s remit is to evaluate the cost-effectiveness of some very expensive drugs.

I imagine that many people would have been surprised to learn that a course of Avastin typically costs over £20,000. This explains why NHS provision for advanced cancer drugs can be patchy, and also helps to explain why PMI can be so expensive.

Drugs like Avastin are routinely financed by private medical insurers and treatment for cancer in the private sector is one of the most compelling reasons to buy PMI. The extent of cancer coverage differs between insurers, though, and these differences are not always highlighted at the point of sale.

The key areas of difference are the length of time that an insurer will fund treatment with advanced cancer drugs like Avastin, and whether the policy will provide cover for palliative care once the condition has reached an incurable stage. Comprehensive cancer cover is the exception rather than the rule, with most insurers specifying some restrictions.

Some insurers now offer a cancer upgrade option for an additional premium, and I anticipate that this will eventually become the norm. This approach has merit, not least because it serves to highlight that, with most insurers, a ‘standard’ plan will be subject to restrictions in this regard, even if it is otherwise marketed as providing comprehensive cover.

Advisers should always draw attention to limitations on cancer coverage, especially when recommending a change of insurer. In my experience, clients are reluctant to compromise on cancer cover unless a significant premium saving is on offer.