Article from iSelect Spokesperson, Sophie Ryan.
April 1st is just around the corner. Hello cooler weather, school holidays and Easter! Historically, it’s also the month health insurance premiums go up. 2022 is a little different though, with some funds deferring their premium increases until later in the year.
Unclear about if or when your premium is increasing in 2022? You’re not the only one! To cut through the confusion, here it is, put simply. Whether your premium is going up on April 1st or later, the reality is that premiums are going to increase this year by an average of 2.70%[1] so now is a great time to take action.
Here are the top 5 reasons to review your health insurance policy now.
1. Many Australians are Under Increased Financial Pressure
We know times are tough. Groceries, petrol, rent — it seems like everything in life is becoming more expensive. The last thing anyone wants to hear about is another price rise but ignoring the 2022 health premium increase could result in paying more than you need to. No thanks!
The 2.70% average increase means families could be parting with an extra $125 per year on average, while singles could be out-of-pocket an additional $58 a year on average.[2] Now is the time to consider reviewing your cover to make sure you’re still getting value for money and see if you could save yourself some serious cash.
2. Freebies and Deals are on Offer Right now
Keen for some pre-April perks? That’s right, some funds are offering deals and incentives this month. From significant cash back offers to waiving waiting periods on Extras, there are plenty of deals that you may be able to take advantage of. Did I mention it’s a great time to review your cover? Yes indeed.
3. You Could Avoid the 2022 Premium Increase for Another Year
Think about paying your premium upfront for a full year. This will lock in your current rate for another 12 months. Also, if you set up direct debit instead of paying by credit card, some funds will give you a discount. A simple action now that could save you a hit to the hip-pocket later down the track.
4. Life-Changing Events
Were you one of the thousands of Aussies that put their wedding off because of COVID-19 in 2020? ABS data reveals a 30.6% decrease in the number of marriages registered in 2020 compared to 2019 — the largest annual drop ever reported by the ABS.[3]
You may be wondering what that has to do with private health insurance? Well, major life events are a key reason to review your private health insurance to ensure your loved ones are covered too.
Now that big celebrations are back on, you may have recently tied the knot or are about to. Consider shared cover. It not only provides peace of mind, but also cuts down on boring paperwork!
5. It’s Really Easy to Compare
We lead such busy lives these days. No one wants to worry about private health insurance on top of everything else we’ve got going on.
Finding cover that suits you or your family depends on individual needs, circumstances, budget and life stage. Instead of doing the hard yards yourself, a comparison service like iSelect can help you cut through the confusion of the 2022 health insurance rate rise and compare hospital and extras policies for you to help you find a suitable level of cover from their range of providers*.
Disclaimer:
*iSelect does not compare all health insurance providers or policies in the market. The availability of policies will change from time to time. Not all policies available from its providers are compared by iSelect and due to commercial arrangements, your stated needs and circumstances, not all policies compared by iSelect are available to all customers. Some policies and special offers are available only from iSelect’s contact centre or website. Click here to view iSelect’s range of providers.
[1] Source: https://www.health.gov.au/ministers/the-hon-greg-hunt-mp/media/delivering-australias-lowest-private-health-insurance-premium-change-in-21-years
[2] Source: Based on weekly calculations included in the Health Minister’s media release, multiplied by 52 weeks. https://www.health.gov.au/ministers/the-hon-greg-hunt-mp/media/delivering-australias-lowest-private-health-insurance-premium-change-in-21-years
[3] Source: https://www.abs.gov.au/media-centre/media-releases/historic-decrease-marriages-2020
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