Health funds adjust their premiums on the April 1 every year. And, as with most things in life, the price tends to go up. So, how much extra did Australians have to pay in 2016?*
Based on the average national combined (hospital and extras) health insurance premiums listed on privatehealth.gov.au, couples were hardest hit by the price rise, having to pay, on average, an additional $160 per year. Families saw an average of $151 disappear from their yearly budget, while single parent families needed to fork out an additional $115 per year, on average, in order to keep the same level of cover.
The premium increase is only a weighted average, meaning a number of health funds put their prices up by a more, and some by less. Also, the weighted average is derived from changes to a health fund’s entire portfolio of policies, meaning some policies go up by a little bit, others quite considerably.
Looking at all of the health funds, you can see that the premium increase varied significantly. One insurer only put their prices up by an average 3.76% in 2016, while another did so by 8.95%.
* Calculations based on the average national price of combined (hospital and extras) health insurance policies listed on privatehealth.gov.au. Policies were categorised using life-stages pre-selected by customers based on: single, couple, family and single parent family, using all levels of policy cover.