Avoid The Health Insurance Gap Trap
Since starting at the Fiftyup Club nearly 2 years ago, I have learnt so much, in particular how energy bills and private health insurance work.
This knowledge has been invaluable in helping me negotiate a better electricity deal and bring down the cost of my health insurance.
Here are my 3 top tips now that health premiums are set to rise again by about $200 for a family or couple.
1. Shop around
A lot of us think we can’t change funds but in many cases we are mistaken. It pays to ask.
To help you do that, the Club has teamed up with HCF and with a comparison service called HealthInsuranceComparison.com.au that targets older policyholders and says it saved 100 older customers an average of $375^ on their premium last year.
Since launching, thousands of Australians have already jumped on board. Over 20,000 Australians used HealthInsuranceComparison.com.au to compare health insurance in March last year, for example, citing saving money as their number one reason for using the site.
It’s worthwhile to remember that the government operates a free site with no strings attached, privatehealth.gov.au, if you want to see every policy on the market. But the government website won’t answer your questions over the phone, which is where commercial comparison sites have an advantage.
Here at the Club, we recommend you try a service such as HealthInsuranceComparison.com.au before you drop out of the system altogether.
Or you can always check out the Club’s member offer with HCF at this link.
2. Don’t just accept big Gap payments
By far the most useful and cost-saving bit of info I have discovered is to do with the so-called “gap” payments.
Did you know, you can choose your own doctor to perform hospital procedures? What’s even better is you can choose one who doesn’t charge those dreaded gap payments.
If your GP advises that you will need surgery and recommends a colleague, ask that specialist what out-of-pocket expenses you will be up for. If you’re not happy with the result, call your health fund and ask them to recommend specialists who don’t charge these gap fees.
Alternately there are websites such as healthshare.com.au where you can find a specialist in your suburb or town and find out if they have an agreement with your health fund not to charge these infuriating costs.
If you really do want to go with your GP’s recommendation, you may end up being penalised for being a private patient.
Increasingly, members are telling us they are opting to go into a public hospital as a public patient to avoid gap payments. After all, the bed you’re lying in and the nurse who cares for you are the same as for the public patient in the bed next to you.
Public hospitals are also asking patients to consider being admitted as a private patient so they get some money from your health fund rather than the zero they get from a public patient. If you’re asked this, make sure the hospital is prepared to cover any gap payments and grab it with both hands….it’s a win/win.
3. Ask about other benefits
There are many other benefits to belonging to a health fund, for example, HCF (my health fund) offers 100% back on some of the most common diagnostic and preventatve dental procedures.
With some policies you can claim for a range of health programs including weight management and gym classes and you can even get a free blood pressure, cholesterol and blood sugar check from your local HCF branch!
In addition, HCF has offered me:
- 25% discount on the Sydney Comedy Festival Showcase
- 20% off an ongoing subscription to HelloFresh and the first box is free!
- 15% off skincare and treatments in Jurlique stores
So as you can see there is so much more to your health fund that just that monthly premium you have to pay.
Make your health fund your health partner and the benefits will roll.
