Posted by Michael Wonder on 20 Nov 2017
Out-of-pocket costs review needed more than ever
17 November 2017 - Latest figures showing consumers are paying out more than ever to health funds and doctors, make it more important than ever for the Government’s proposed out-of-pocket costs project to result in a better deal for patients, the Consumers Health Forum says.
The Australian Prudential Regulation Authority figures show that in the 12 months to September, health fund revenue from members’ premiums rose at a faster rate than the amount they paid in benefits to their members. Premium revenue totalled $23.3 billion, an increase of 4.3% on the previous year while benefits totalled $19.7 billion, a rise of 3.7%. The funds’ net profit after tax rose to $1.43 billion, up by 4.8%.
“These figures might be healthy for health funds’ bottom line but they are not great medicine for private patients who not only face higher premiums but also a 5% jump in out of pocket costs,” the CEO of the Consumers Health Forum, Leanne Wells, said.
