Australia’s most expensive health insurance policies have been revealed and given annual increases are set to take effect, it pays to make sure you’re not wasting your money on overpriced cover.
Consumer group CHOICE has named the most expensive standard ‘Gold’ policies in each state and territory, and the results may surprise you.
In just about every state, the most expensive policy was from one of three major insurers – nib, HCF and HBF. The analysis was conducted on annual premiums for Gold Hospital cover for a single person (no extras), with no government rebate, a $750 excess and rounded to the nearest $10.
The results were:
- ACT/NSW – nib Suncorp Gold Hospital, $3570 per year
- QLD – HBF Gold Hospital Elevate, $3840 per year
- SA – HCF Premium Gold, $3200 per year
- TAS – HCF Premium Gold, $3440 per year
- VIC – nib Suncorp Gold Hospital, $3900 per year
- WA – HBF Gold Hospital Elevate, $3360 per year
- NT – Mildura Five Star Gold F4A, $2540 per year
CHOICE health insurance expert Uta Mihm says consumers can often get a better deal by looking outside the major players.
“A great tip to save money on health insurance is to look beyond the well-known funds that spend lots on advertising, and consider smaller insurers that are often not-for-profit,” she says.
Some health insurance premiums are increasing from 1 April. If you’ve been unwittingly holding one of these policies, now may the time to look around to see if you can find a better deal.
Ms Mihm says that while some of the smaller funds will increase their prices, several of the bigger funds will wait until later in the year.
“This means if you want to switch to the best policy, now’s the time so you can pre-pay and avoid the premium increase,” she says.
Andrew Davis, CEO of comparison website Compare Club, says it’s important to regularly compare your policy against others to ensure you’re getting the best deal.
“It’s worth taking a look every few years and also at times when something significant changes in your health or financial position,” he says.
“Savings could be in excess of $500 per annum in premiums, plus hundreds in value from lower gaps on extras like dentistry/optical/podiatry, plus peace of mind knowing you are covered for what you need to be covered for.”
Mr Davis says you can really benefit from speaking to an insurance expert, as insurance is a complex area.
“I would have a think about what is really important to me,” he says.
“I would then talk to an expert who is able to help me to form a firm view on what is most important. She/he should then be able to recommend a policy, and assuming it is better, facilitate a transfer.”
Are your health insurance premiums increasing from 1 April? When was the last time you reviewed your health insurance? Let us know in the comments section below.
YourLifeChoices is owned by Compare Club.