Your Premium Will Increase (But the Rate Depends on the Insurer)
The October increase is the lowest we’ve seen in almost two decades, at least that’s what health insurers are telling us. Is that the full picture? Not entirely. If you take a look at the big picture, you’ll see something very different. Namely, here’s what the increases have looked like in the past five years:
● 2015 – 6.18%
● 2016 – 5.59%
● 2017 – 4.84%
● 2018 – 3.95%
● 2019 – 3.25%
Source: The Department of Health
What this means: you’re paying – on average – 26.1% more than 2015. For every $1,000 that’s an extra $261 – money to pay for kids school supplies for the year.
It doesn’t end there, and this is something the industry never openly reveals – the annual increase outstrips inflation, and since 2001, it’s done so by a staggering 300%!
Prediction: prices will probably keep rising into the future. And they’ll probably keep staying ahead of inflation.
The lesson: Review your policy. Check the fine print. And always be willing to compare providers to see if you can get more for your buck.
Pre-Paying May Help You Save Money
Want to save money? Sure, we all do! Which is why it might be possible to soften the blow by pre-paying.
For instance, if you pay for a full year in advance, you may be able to do so at the rate before the October change. The same goes for quarterly, monthly, and fortnightly pre-payments.
Bear in mind that not every fund allows this. Check with your provider to see if they offer such terms.
Certain Item Numbers May Not Be Covered in Your Policy for Dental
You probably know your policy limit. But do you know for certain that your insurance covers everything you need?
Unfortunately, many parents don’t.
Take dental as an example. Many insurance holders assume that it covers the needed services. And then they get a nasty surprise when they discover their insurance doesn’t cover certain item numbers.
Plus, the cover for an item number can vary greatly.
What to do: Whatever you do, make sure that you’re 100% clear on your cover. Again, check the fine print. And if you’re not happy, compare your providers to others.
$5 Million Fine
And sometimes, insurers get it wrong… and don’t deliver on their promises.
In July, for instance, the Federal Court ordered Medibank to pay $5 million in penalties due to false benefits representations. The court discovered that Medibank fraudulently rejected at least 1,396 claims!
Free, No Obligation Comparison
In times like these, we need safety and certainty above all! That’s especially true when it comes to our children. So if your policy isn’t offering you peace of mind – or if this article has given you a few things to think about – then get your policy checked.
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.