The Members Health Fund Alliance (Members Health) has welcomed the latest statistics released by the Australian Prudential Regulation Authority (APRA), which illustrate a positive trajectory for the private health insurance sector in Australia.
The statistics not only underscore the growing preference for private health coverage among Australians but also highlight the sector’s substantial contribution to the healthcare system, it was stated.
The data, covering the quarter ending December 2023, revealed an uptick in the number of Australians opting for hospital and extras cover. Specifically, nearly 55,000 individuals added hospital treatment coverage, and over 53,000 chose extras coverage, including services like dental, optical, and physiotherapy.
In addition, the APRA report indicated a significant increase in the amount paid out by health insurers in claims over the 12 months to December 2023, totalling more than $23.5 billion, with over $6 billion disbursed in the last quarter alone. This reflected an 11.1% increase in hospital treatment benefits and a 7.6% rise in general treatment benefits compared to the preceding year, marking a notable escalation in insurers’ investment in member healthcare.
Responding to the findings, Members Health CEO Matthew Koce emphasised the vital role that private health insurance plays in supporting Australia’s healthcare system.
“The 55% of Australians who are members of a health fund not only receive access to high-quality care sooner – they’re also easing pressure on our public health system, freeing up beds for those most in need,” he said.
Koce celebrated the record-breaking membership in health insurance funds, with more than 14.7 million Australians now covered, a historic high.
“It is a remarkable achievement that more than 14.7 million Australians have chosen to be members of a health insurance fund, more than at any other time in Australia’s history. Over 5.3 million Australians and growing are with a Members Health fund,” he said.
Additionally, Koce reiterated the commitment of Members Health funds to offering the best possible health coverage and value.
“Members Health funds are not driven by shareholder or overseas investor interests,” he said. “We are a trusted source of advice and support and are committed to helping Australians navigate the healthcare system to get fast reliable access to high-quality care.”
