Simple hack to find out if your Health Fund is charging you more than you need to pay

This revolutionary tool tells you straight if you're paying your Health Fund too much.
finance insurance > health
This revolutionary tool tells you straight if you're paying your Health Fund too much.
Do you trust your existing health fund provider? It’s no secret that health insurance prices have increased substantially during the last few years. Of other household expenses such as rent, energy and fuel which have left Australian families struggling to keep their head above the water, Health Insurance costs are top of the pile in terms of fastest-rising expenses (66% in the last 10 years! *). But why are retailers increasing Health insurance Rates, and are you actually getting bang for your buck? Billy Sumo’s new tool lifts the lid on Health fund retailer’s rates and allows you to access if you are overpaying for the actual extras and hospital cover you are receiving.

So Are You Overpaying With Your Current Health fund?

To check it’s both easy and quick. Simply confirm your health fund below, answer a few basic questions and you will find out.

So, what are the common ways in which health insurance customers could be overpaying?

1. Paying for top level cover

Did you know that:

• Fewer than 5% of people below the age of 55 have issues with heart disease.
• Less than 10% of people below the age of 65 suffer from chronic kidney disease.

If you have top-level cover, you’re probably paying to insure yourself against these types of issues. You’re paying to protect yourself from cardiac disease, kidney failure, and a host of other issues that likely won’t affect you until you’re much older.

Realistically, this is the type of cover that you’re unlikely to need until you are at a later stage in life.

2. Being overcharged on inclusions not needed

For example pregnancy cover. Having cover for obstetrics in your policy adds an average of $1,099 to your annual insurance bill.

If you want to have more kids then paying those fees is worth your while.

But if you’ve finished building your family, paying for pregnancy cover leaves you over $1,000 short per year.

If it’s not needed, cut the cover from your policy. And if your provider won’t do it, consider looking elsewhere.

3. Their policy price increasing every single year

If we go back to 2015 you’ll see how much prices have actually risen:

2015 – 6.18%
2016 – 5.59%
2017 – 4.84%
2018 – 3.95%
2019 – 3.25%

Source: The Department of Health

But it gets worse: the annual increase outstrips inflation. And since 2001, private insurance costs have gone up by a whopping 300% over inflation

So, if you are concerned that your health insurance provider is charging more than you should be paying what can you do about it?

It’s simple, complete these 2 quick steps:

  • Step 1: Confirm your state within the below map.
  • Step 2: Answer a few basic question about your existing healthcare fund

This article is opinion only and should not be taken as medical or financial advice. Check with a financial professional before making any decisions.

Sources:
https://www1.health.gov.au/internet/main/publishing.nsf/Content/privatehealth-average-premium-round
https://fairhealthcare.com.au/health-insurance-price-increase-2020/ *https://nationalseniors.com.au/news/latest/lowest-health-insurance-increase-in-19-years-our-budget-call