Money The Australian government is hoping millennials will help save private health insurance

08:21  13 october  2017
08:21  13 october  2017 Source:   Business Insider Australia

Family ‘lost $9k’ on operation despite 30-year private health fund payments

  Family ‘lost $9k’ on operation despite 30-year private health fund payments Ahead of the government's planned shake-up of private health insurance, Australians have been warned of the potential pitfalls involved in joining a fund. "Over the past 12 months the private health funds increased their profits by 17 percent" Nine Network finance editor Ross Greenwood said."They've also increased their premiums by twice the rate of inflation - the question is, who is winning out of all this, the consumer or the health funds?"One couple, Penny and Mike, told A Current Affair they thought they had done everything right during their 30 years in their health fund.

The Turnbull government is hoping to enlist millennials to tackle skyrocketing private health insurance premiums, offering people under 30 a range of incentives if they sign up.

The Australian Government Rebate (AGR) helps you save on your health insurance by offering you a rebate on your premium. The government applies the AGR to support your involvement in private health insurance

What to watch next
  • Bumper to bumper

    Bumper to bumper

    Today Logo
    Today
    2:02
  • Several people shot in Sweden shooting

    Several people shot in Sweden shooting

    9News.com.au Logo
    9News.com.au
    0:15
  • Grandfather had no idea he was deemed missing

    Grandfather had no idea he was deemed missing

    Seven News Logo
    Seven News
    1:25
  • Flight rules 'stifle' Sydney's potential: Tourism Minister

    Flight rules 'stifle' Sydney's potential: Tourism Minister

    Seven News Logo
    Seven News
    0:20
  • Heavy fog blankets Brisbane

    Heavy fog blankets Brisbane

    Seven News Logo
    Seven News
    1:01
  • Grandfather glassed in the face while bike riding

    Grandfather glassed in the face while bike riding

    Seven News Logo
    Seven News
    0:33
  • Bees swarm through Perth CBD

    Bees swarm through Perth CBD

    Seven News Logo
    Seven News
    0:24
  • Dodd 'happy and bubbly' half an hour before her murder: truckie

    Dodd 'happy and bubbly' half an hour before her murder: truckie

    Seven News Logo
    Seven News
    1:26
  • Boy guides rescue services to help rescue injured friend

    Boy guides rescue services to help rescue injured friend

    9News.com.au Logo
    9News.com.au
    1:39
  • Mother gives birth at roadside

    Mother gives birth at roadside

    Seven News Logo
    Seven News
    0:35
  • Firefighters battle recycling plant blaze

    Firefighters battle recycling plant blaze

    Seven News Logo
    Seven News
    0:17
  • Fears missing grandmother is victim of fatal croc attack

    Fears missing grandmother is victim of fatal croc attack

    9News.com.au Logo
    9News.com.au
    1:19
  • Pony killed

    Pony killed

    ABC News Logo
    ABC News
    1:01
  • Man confronted over dangerous police chase

    Man confronted over dangerous police chase

    9News.com.au Logo
    9News.com.au
    2:13
  • Restricted military technology information stolen in cyber hack

    Restricted military technology information stolen in cyber hack

    9News.com.au Logo
    9News.com.au
    2:34
  • Shipbuilding project brings 600 new jobs

    Shipbuilding project brings 600 new jobs

    Seven News Logo
    Seven News
    1:13
UP NEXT
UP NEXT
Video provided by Seven News

The Australian government is hoping millennials will help save private health insurance

  The Australian government is hoping millennials will help save private health insurance The Turnbull government is hoping to enlist millennials to tackle skyrocketing private health insurance premiums, offering people under 30 a range of incentives if they sign up. Health minister Greg Hunt has labelled the change the biggest reforms to health care in 15 years and "hopes" premium increases, which have risen by around double the rate of inflation for a decade will stabilise as a result. Premiums have now jumped by an 5.6% annual average since 2010.

Most Australians with private health insurance currently receive a rebate from the Australian Government to help cover the cost of their premiums.

· Complete this registration form to receive the Australian Government Rebate on Private Health Insurance as a reduced premium.

The Turnbull government is hoping to enlist millennials to tackle skyrocketing private health insurance premiums, offering people under 30 a range of incentives if they sign up.

Health minister Greg Hunt has labelled the change the biggest reforms to health care in 15 years and "hopes" premium increases, which have risen by around double the rate of inflation for a decade will stabilise as a result. Premiums have now jumped by an 5.6% annual average since 2010.

The government is attempting to arrest falling private health insurance levels among under 30s, which would also help prop up the heavy demand from an ageing boomer generation.

Under the changes, people aged between 19 and 29 would get a 2% discount on their premium annually up to a maximum of five years (10%). The discount will last until age 40.

Is the party over for the Medibank Private Ltd share price?

  Is the party over for the Medibank Private Ltd share price? Medibank Private shares have touched a new all-time high.The rally in the private health insurer’s share price marks a stunning turnaround after the stock slumped all the way back to its float price of $2 in August 2015.

blog 'carolchatmon.blogdetik.com' is not exists.

Most Australians with private health insurance currently receive a rebate from the Australian Government to help cover the cost of their premiums.

Currently, the government has a 2% annual loading on premiums for anyone who fails to take out a premium after 30.

But the government will also end rebates on a range of complementary therapies popular with younger people, such as pilates, yoga, tai chi and naturopathy, following a review into the sector by the Department of Health earlier this year.

The changes will also see health insurance offers categorised into Gold, Silver, Bronze and Basic levels in a bid to make it easier for consumers to compare policies.

Access to mental health services will also be improved and waiting periods scrapped, like other insurances, so people will have the option of increasing their excess to $750 for singles and $1500 for families in return for lower premiums.

And in a big win for the insurance industry, the prices they pay for prostheses are set to be cut, responding to concerns from the sector that they were being overcharged prosthetic limbs in private hospitals. Minister Hunt estimates the savings for insurers at $1 billion over four years.

Private health insurance premiums to be cheaper under industry shake-up, funds and doctors say

  Private health insurance premiums to be cheaper under industry shake-up, funds and doctors say Private health insurers and doctors welcome a major shake-up of the industry that looks set to curb premium rises over coming years, but the Government comes under attack for not banning "useless" policies.More than a dozen changes will be formally announced today, including a discount on premiums of up to 10 per cent for younger Australians.

Australia .gov.au. Helping you find government information and services. Australian Government Rebate on Private Health Insurance .

For more information For more information about the Australian Government Rebate on Private Health Insurance , go to the Department of Human Services website at www.humanservices.gov.au/privatehealth.

  The Australian government is hoping millennials will help save private health insurance © Provided by Business Insider Inc Bupa health insurance managing director said Dr Dwayne Crombie said the changes will make private health insurance more appealing and affordable.

“For far too long, Australians have unjustifiably paid the highest prices in the world for medical prostheses. We thank Minister Hunt for helping address this critical issue and guarantee our customers that we will pass on every cent saved through lower health insurance premiums,” he said.

Dr Crombie also praised the focus on mental health and the medal-style ratings system for policies.

"The mental health safety net is an important first step, but the work the minister has foreshadowed to reduce low-value day care admissions and other low value care is also critically important," he said.

Matthew Koce, CEO of peak body HIRMMA, representing 24 not-for-profit and member-owned health funds, said prostheses accounts for around 14% of the cost of an average hospital policy.

"That is why we are pleased to see next year’s prostheses prices cut by $188 million," he said, estimating an average saving of around over $34 per policy.

Westpac to refund $65m to customers

  Westpac to refund $65m to customers Westpac will refund about $65 million to 200,000 customers who did not receive the correct discounts on home insurance and other products. Westpac is refunding about $65 million to 200,000 customers who did not receive discounts on insurance and other products to which they were entitled.The customers with Westpac premier advantage packages - or advantage packages with St George, BankSA, or Bank of Melbourne - did not receive the proper discounts on home and contents insurance, and term deposits.Westpac notified the financial regulator and is contacting customers over an issue it says dates back to 2010.

• Complete this form and lodge it with your health fund to receive the Australian Government Rebate on private health insurance as a reduced premium. • Please use capital letters and black pen ONLY to complete this application. •

The Australian Government Private Health Insurance rebate is a government initiative to help Australians pay their health insurance premiums. If you have private health insurance (hospital, extras, or a combined policy)

“We are pleased that the minister for health has listened to the concerns of the private health insurance industry and acted to place the interests of consumers before the profits of large international medical device manufacturers," he said.

“We also welcome the efforts to deliver further savings for consumers by improving informed financial consent obligations in public hospitals and improving transparency to address excessive out of pocket charges imposed by some medical specialists.”

Central to the problem faced by the government is that hospitals are charging two prices to patients -- a lesser amount for public patients, while cross-subsidising the public system with higher charges for private patients.

Matthew Koce said the minister's changes are welcome relief for more than 11 million Australians with private health insurance.

“The fact that the Minister for Health has recognised that in order to put downward pressure on premiums, action must be taken to reduce service provider costs in key areas, such as medical specialists, hospital operators and prostheses is welcome,” he said.

Speaking on ABC radio's AM program today, Health Minister Greg Hunt said the changes were about making private health insurance "more affordable and easier to understandable" but he would not guarantee that premiums increases would reduce as a result of the government's changes.

"My hope is that we'll have the lowest premium changes in over a decade," he said.

The government signs off on premium increases as the regulator.

"These are matters for the private sector, but they have guaranteed that they will pass through every dollar," Hunt said.

Twitter is developing a 'Save for Later' bookmarking feature .
While most tweets are a quick read, a lot of people still want a way to save those worthy of a more in-depth inspection. 

—   Share news in the SOC. Networks

Topical videos:

This is interesting!