Private health insurance grows
Nicola Roxon
posted Friday, 19 February 2010
Yet more evidence has been released today that proves the Opposition got it wrong when they predicted a huge drop in private health insurance (PHI) membership. Instead, the latest PHI membership figures released today reveal that the number of Australians taking out cover continues to grow.
More than 45,000 extra people are now covered by private hospital insurance, and more than 55,000 extra people have general treatment or ancillary cover.
A total of 44.7 per cent of all Australians were covered by private hospital insurance in the December 2009 quarter, continuing the highest proportion of people with hospital insurance since December 2001.
The Opposition said that up to a million people would drop their private health insurance because of the Rudd Government. Instead, the people have emphatically proved their claim wrong, with 474,000 more taking out hospital cover under the Rudd Government.
It is time that the Opposition came clean and admitted they got it wrong on private health insurance.
The Government is making the private health insurance system fairer and more sustainable. Under changes proposed by the Government, the private insurance of singles on incomes of over $120,000 or couples earning more than $240,000 will no longer be subsidised by taxpayers.
Treasury modelling estimates that after these reforms 99.7% of people will remain in PHI.
This measure is part of the Government’s reform of the health system, will save $1.9 billion over the next four years, and allow the Government to invest more in better services, new medicines and improved technology.
This legislation will be debated in the Senate on Monday.
For more information on the latest PHI membership statistics visit www.phiac.gov.au