Health insurer HBF has started returning $110 million in COVID-19 savings to eligible members' bank accounts as part of its commitment to not profit from the pandemic.
The payments, first announced in March, range from $45 for singles holding an extras-only policy up to $330 for families holding a hospital and extras policy.
HBF CEO Dr. Lachlan Henderson said the payments are intended to help HBF members as Australians continue to face the rising cost-of-living pressures.
“The payments are part of HBF's commitment that as a not-for-profit, member-based organisation, we would not financially benefit from the pandemic, with COVID-19 support provided to HBF members now totalling more than $255 million,” Dr. Henderson said. “We are returning this round of claims savings via a cash payment after our members told us in surveys they would prefer the simplicity of having the money directly in their bank accounts rather than returned via premium increase deferrals.”
HBF set aside funds when the COVID-19 pandemic impacted access and utilisation of health services.
When the claims had started stabilising, the insurer vowed not to use a significant portion of the funds as it would rather return the savings to eligible members via a cashback.
Other insurers have been returning funds to their policyholders. This month, Bupa announced a bumper cashback initiative valued at $320 million.
