Medibank is increasing its COVID-19 support package, raising its give back commitment from $215 million to $305 million.
This increase brings the total support provided by Medibank to its customers since the pandemic began to $1.46 billion.
Eligible Medibank customers will receive an additional $35 million in cash back, adding to the $200 million previously announced in February. These payments will be issued by the end of September 2024.
Each policyholder will receive at least $100, with some receiving up to $360 based on their coverage. On average, extras-only policies will see about $100 back, while combined hospital and extras policies will receive around $185.
Eligibility requires holding a hospital and/or extras policy as of June 30, 2024.
Eligible ahm customers will receive approximately $55 million in cash back in October 2024, with each receiving $100 per policy. This is in addition to the rollover of most extras limits, valued at up to $15 million, announced earlier this year.
For eligibility, customers must hold a relevant policy as of September 30, 2024, for the cash back and June 30, 2024, for the extras rollover.
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“We made a commitment at the start of COVID that we would not profit from the pandemic, and we’ve continued to stick by that promise,” said Medibank chief customer officer Milosh Milisavljevic. “COVID hospitalisations and other impacts continue to contribute to claims being lower than expected. This is why we are topping up our current give back commitment to $305 million.
“With our current give back commitment now standing at $305 million, we hope this will provide households with some cost-of-living relief. The top-up will bring Medibank’s total support for customers through our COVID give back program to $1.46 billion, the largest of any health insurer in Australia to date.”
No action is required from customers, as funds will be deposited into the bank account on file for the policyholder. Therefore, customers should ensure their bank account details are up to date to receive their payments promptly.
The giveback is funded primarily from COVID-19 permanent net claims savings for the current financial year and will not affect Medibank’s group operating profit for the fiscal year ending June 30, 2024.
Aside from increasing its COVID-19 support package, Medibank recently highlighted its business performance and its growth strategy – looking at clients, families, and new customers while maintaining profitable growth in priority segments.
