Here’s How Much More You’ll Pay For Health Insurance Premiums Next Month

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Here’s How Much More You’ll Pay For Health Insurance Premiums Next Month
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On April 1, health insurance premiums will rise across the board in Australia. This year, the average price hike is estimated at 3.95% per per cent which works out to well over $200 per year for families. However, some premiums are going up more than others which can result in forking out significantly more. Here are the average increases for each insurer in Australia.

Each year, health insurers apply to have their increased premiums approved by the Federal Government regulator. The reason for this is the rising cost of treatments and services and to ensure standards of service don’t slip. A higher utilisation of treatments and services, an increasingly ageing membership profile and investment in chronic disease management programs are also factors contributing to the increase.

From April 1, the industry weighted average premium increase is 3.95% which is slightly lower than the previous few years. (2017’s increase was 4.84%, for example.) Nevertheless, you’re still looking at a significant price hike; particularly if you’re paying for a family and are with a costly provider.

The Australian Department Of Health has released the percentage amount that private health insurance premiums will rise compared to previous years. Here are the results:

Insurer

2016

2017

2018

ACA Health Benefits Fund Limited

6.19%

4.70%

2.72%

Australian Unity Health Limited

5.05%

4.46%

3.89%

BUPA HI Pty Ltd

5.69%

4.90%

3.99%

CBHS Corporate Health Pty Ltd

 

2.98%

2.38%

CBHS Health Fund Limited

5.92%

3.29%

2.73%

Cessnock District Health Benefits Fund Limited

6.19%

6.57%

6.40%

CUA Health Limited

8.95%

4.97%

3.29%

Defence Health Limited

5.48%

5.51%

5.97%

Doctors’ Health Fund Pty Ltd, The

3.76%

3.54%

2.28%

Emergency Services Health Pty Ltd

   

3.36%

GMHBA Limited

5.44%

4.94%

4.34%

Grand United Corporate Health Limited

4.26%

4.11%

2.84%

HBF Health Limited

4.94%

5.96%

3.75%

Health Care Insurance Ltd

6.90%

6.06%

8.90%

Health Insurance Fund of Australia Limited

6.55%

7.99%

5.35%

Health Partners Limited

7.14%

5.10%

3.95%

health.com.au Pty Ltd

8.81%

8.53%

5.87%

Hospitals Contribution Fund of Australia Ltd, The

5.42%

3.65%

3.39%

Latrobe Health Services Limited

5.52%

4.49%

4.25%

Medibank Private Limited

5.64%

4.60%

3.88%

Mildura District Hospital Fund Ltd

6.74%

5.95%

5.68%

MO Health Pty Ltd

   

3.90%

National Health Benefits Australia Pty Ltd

5.28%

5.41%

3.97%

Navy Health Ltd

5.50%

4.94%

3.94%

NIB Health Funds Ltd

5.55%

4.48%

3.93%

Nurses & Midwives Health Pty Ltd

   

3.22%

Peoplecare Health Limited

4.38%

5.09%

4.19%

Phoenix Health Fund Limited

5.72%

5.93%

4.19%

Police Health Limited

4.81%

4.63%

3.72%

Queensland Country Health Fund Ltd

4.91%

5.15%

4.39%

Queensland Teachers’ Union Health Fund Limited

7.15%

7.30%

4.40%

Railway & Transport Health Fund Ltd

5.61%

5.54%

4.47%

Reserve Bank Health Society Ltd

5.37%

5.00%

3.97%

St Luke’s Medical and Hospital Benefits Association

5.89%

4.99%

4.23%

Teachers Federation Health Ltd

4.97%

4.96%

2.84%

Transport Health Pty Ltd

6.49%

4.93%

5.16%

Westfund Limited

5.94%

4.96%

3.43%

INDUSTRY WEIGHTED AVERAGE

5.59%

4.84%

3.95%

As you can see, the average increase ranges from 2.28 per cent (The Doctors’ Health Fund Pty Limited) to a whopping 8.95 per cent (Health Care Insurance Ltd). Needless to say, it’s probably worth shopping around before you pay the increased premium.

Bear in mind that your individual premium increase could be above or below your insurer’s average depending on the specific policy and inclusions you’ve signed up for. As always, it works out cheaper in the long run to pay your premiums ahead of the rate change. If you pay for 12 months of cover in advance now, you’ll be covered by the rate prior to April 1.

[Via Dept. Health]

Comments

  • I like to think that I know a little bit about a lot of different things, but health insurance is something that I never really understood.

    A serious answer to this would be appreciated, so here is the questions I have.

    1) Why, if we are getting bombarded yearly about signing up to health insurance like it is a good thing, are the prices going up every year? People will not be able to afford it (and many can’t already).
    2) I understand the idea behind health insurance, you pay and when you require a service you get preferential treatment and pay less, but why do you have to pay anything if you are on insurance? I mean if you get corrective eye surgury (like with a laser or whatever) you still have to pay to get it done, then you only get a certain amount back… the insurace doesn’t cover the whole cost.

    One of my uncles was on health insurance and had been for many many years, he had an accident and fell 3 or 4 meters and was seriously injured (broken bones), his health insurance told him that the circumstance he was in was not covered in part or completely and he had to pay a lot in post surgury fees. Luckly (or unluckly i suppose) the accident was the result of a builders negligence and he got a pay out for that.

    Is there really a purpose?

    • The only real reason to get it, as far as I can see, is if you need/want something done that isn’t covered by the public system, or is something the public system won’t do. For example, I had to get private health insurance to get my tubes tied, because the public system refused on the basis that I haven’t reproduced yet and as a feeeemale I’ll assuredly regret it.

      The other is getting ahead of public waiting lists for things like gall bladder surgery, which you can wait months for in a public hospital.

      Outside of circumstances like these, I fail to see any good reason to get it.

    • It mostly impacts things like facilities & wait times for ‘elective’ procedures.
      Private/Semi-private rooms as opposed to shared wards, theoretically better-paid- therefore better doctors.
      Also, coverage for specialists- Gyno etc, & Extras- Dental, Chiro etc. The amount covered depends on your policy- My policy gets 50% back on all ‘Extras’ appointments.

  • How is it cheaper to pay for insurance 12 mths in advance if it’s just (very likely) rising again in the next year ?

  • I really don’t understand these premium increases. According to that list, the average for my insurer is approx 5%, yet I just received a notice from them indicating my premiums will increase by 14%!! That’s crazy – and will make it unaffordable if it keeps happening each year.

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