This is going to hurt. Around 15 million Aussies with some form of private health care cover are about to feel the pinch of another rate rise on 1 April.
The government has approved a health insurance industry average price increase of 3.73 per cent. This is the biggest hike since 2018 and a kick in the teeth as Aussies also juggle rising grocery prices, energy bill blowouts and higher insurance premiums across the board.
But don’t be fooled by the headline figure – the impact varies massively between funds, and individual policies.
Some of the nation’s popular funds are increasing above the industry average.
The highest average increase is 9.56 per cent.
The team at Compare the Market is hearing from some customers who have been told they’ll pay hundreds more in premiums a year if they stay on the same policy with their current provider.
But it’s not too late to put your policy under the microscope, do a pulse check on features, and take a scalpel to some of the extra bits you may not be using.
Here are my health insurance saving hacks, which aren’t as scary as you’d think.
Lock in last year’s prices
Some health funds will let you pay for your policy up to a year in advance.
By paying 12 months up front before prices go up on 1 April you can effectively turn back time on this year’s rate rise.
While not everyone is in the financial position to pay a year’s worth of premiums in one hit, this hack is a doozy if you can do it.
Depending on your fund and your policy this move could help you avoid hundreds of dollars in extra premiums for 12 months.
Switch don’t ditch
If you’ve been with the same health fund for several years, you could be missing out on offers and incentives reserved for new customers.
Run a quick comparison and see if you can find similar value for less.
Bump up your excess
A higher excess can be a great way to save on your regular premium, as long as you don’t mind paying more in the event you need to claim on your hospital policy.
If you don’t have any hospital visits or treatments planned, and you have a bit of money stashed in your emergency fund, this could be a good option.