Prices Will Increase in October (But Not Due to COVID-19)
Some parents wrongly believe that their insurance costs are going up because of pandemic. But this isn’t true. As you may remember, there’s always been a yearly increase on the premiums.
In 2020, the increase was to have happened in April. It was the pandemic that pushed it back to 1 October. From this date onwards, the costs will be higher by the industry-weighted average of 2.92%.
Source: The Department of Health
Bear in mind, however, that this average won’t apply to everyone. Depending on your provider, you might see an increase of up to 5.63%.
The bad news is that your benefits probably won’t go up with this increase! Plus, some item numbers for dental services might still NOT be fully covered. And some of them probably won’t get covered at all.
What to do: Review your policy. Check the fine print. And always be willing to compare providers to see if you can get more for your buck.
COVID May Be Considered as a Pre-Existing Condition in the Future
Because of its effects and scale, some providers are thinking about adding COVID to the list of pre-existing conditions. This means that you might be able to make a claim for any complications that arise as the result of a COVID infection.
Of course, this will depend on your insurer, which is all the more reason to see whether you should switch. So be sure to check in with your provider on this.
You Can’t Use a Lot of Your Extras
If you have extras in your insurance, you might not be able to use many of them now. And if you live in states like Victoria, you might not even be able to get to the clinic! With the imposed Stage 4 lockdown, movement is highly restricted.
Naturally, this greatly reduces the value of your insurance. And yet, you’ll have to pay more for it in a few months. If you don’t make any changes, you risk overpaying for things that you won’t be using for a good while.
Should You Consider Switching?
If you haven’t reviewed your policy lately, now’s the time to do it. The world is changing and if you want to get the most out of what you’re paying… then you’ve got to adapt.
However, you’ve also got to be careful… or you risk falling for a policy that won’t deliver on what’s promised.
A good example is Medibank, which recently received a $5 million fine for misrepresenting coverage information. They informed hundreds of policyholders that they couldn’t claim on procedures they were eligible for!
Source: The ACCC
At no charge and no obligation, we review a wide spectrum of providers and see how your policy stacks up against the rest. We’ll also give you the honest-to-earth truth about the price increase of your policy.