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NewsAustralia second in the World for Health Cover costs
Australia second in the World for Health Cover costs

Australia second in the World for Health Cover costs

Tags: Private Health Insurance Sticking Up for FiftyUps
Last updated by John Mangos on

You would all be familiar with the old saying; there are two things certain in life … death and taxes!

Here at the FiftyUp Club we thought we’d add another … that your private health insurance will go up in the New Year, and there’s nothing you can do about it short of quitting your insurer.

We did some research and discovered Australians pay for the second most expensive basic private health cover in the world after the USA. According to an international survey by Deutsche Bank we pay an average of $US2042 ($2394).

PHIworldcomparison

Without wishing to state the obvious, that means a retired couple who have done the right thing all of their lives, and paid their fair share of taxes, must shell out more than $4500 a year just to have the peace of mind they have adequate health coverage.

And it will go up in the New Year by an average 6.2% if we see a repeat of last year’s Christmas Eve announcement. In the case of FiftyUps, we’ve found the increases are more like around 8 or 9 per cent, depending on your cover.

Many of you would remember that earlier this year we formed a petition calling for more transparency when it comes to health insurance increases. We attracted 15,000 signatures in three days and I took them to the Federal Health Minister, Peter Dutton.

In fairness, we got a good hearing on this issue and that of the controversial GP co-payments (which is dead and buried according to reports), but we are still waiting for a definitive response on why the hikes are so large for over-50s, and why there isn’t more transparency when it comes to comparisons between the various insurers.

Don’t get me wrong. I am not a whinger. But we do believe health insurance is becoming simply unaffordable for many older Australians who need it most. And we are entitled to seek more clarity when it comes to cost comparisons between private health insurers so we can make informed choices.

For those of you who have begun preparing some holiday time, good luck and enjoy. We’ll take a short break here at the FiftyUp Club too, but we will continue to fight the good fight when it comes to you and a better deal on private health insurance.

Originally posted on .

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Dian
Dian from NSW commented:

Any deals for cheaper insurance. I am about to drop mine as it has just gone up $30 per month. HCF consistently puts it up between 30 and 40 every year PER MONTH 

Nerida
Nerida from NSW commented:

We took up the Fifty Up Club offer to join NIB. Big mistake. We cancelled after 3 days. The representative at Parramatta Office quoted an incorrect monthly fee. We asked several times if the quote we received applied from 1st April (ie. when the increases commence). This was confirmed by the Representative several times. However, when the direct debit came out of our bank account it was much higher. We went back to the Branch and cancelled the transfer to NIB from HCF. Yes, HCF is more expensive, but we will receive more benefits. So, make sure you are told the correct rates if checking for a new Health Fund.. 

Janelle
Janelle from QLD commented:

Premium costs are ever increasing but refunds and items covered are decreasing. Every year we wonder whether we should continue with Private Health Insurance when considering the premium costs. Karen from Qld 

Ron
Ron from NSW commented:

Personally I can't see why we have a scheduled fee as every specialist in the country charges at least twice the fee so our out of pocket expenses just seem to increase all the time. I that if there is a scheduled fee specialists should be made to charge it or we are paid a higher claim to reduce out of pocket expenses . As an example I have just had a kidney operation and the specialist charged $6K and the rebates from Medicare and my health fund total around $1400 so my out of pockets are roughly $4600 which i9s ridiculous 

Al
Al from NSW commented:

The worst thing is that even after "shelling out more than $4500 a year just to have the peace of mind they have adequate health coverage", they don't. If anything serious is required they will find that the gap payment is 80% of the operation cost: insurance only covers you for the Medicare valuation of the operation, not the retail price. You might be better to get only basic cover and put that money away to cover that hip replacement. 

konrad
konrad from QLD commented:

Health Insurance is becoming a total rip-off, our HCF insurance increased 11.1% and the refunds don't increase. 

Jim
Jim from NSW commented:

The more you try and look after yourself the more the Government punishes you and this is certainly the case with Health Insurance. 

Anders
Anders from NSW commented:

The governments of this country have been working slowly to introduce a two tiered system just like the USA has. and it seems they have succeeded. Only the wealthy will be able to afford PHI soon. And then we get to watch Medicare collapse under the weight of all the ordinary income people who can't afford insurance. Both parties have done this and it's high time someone stepped in and slammed them for it. 

Nicky
Nicky from NSW commented:

When we have to take out private insurance and are still out of pocket it says it all. All the years we've in it no benefits, except not having to be on waiting list. Plus my Policy still covers me for pregnancy, heaven forbid. 

James
James from NSW commented:

What do you expect. Australia is one of the most expensive countries to live in. You get gouged by everyone from tradies to specialists to big business. They are all greedy although they will deny it . This Govt in particular helps big business covertly. The consumer is the looser. Health Insurance is no exception. 

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