Choice Says Drop Extras CoverNews & Announcements
Posted: May 20, 2016
Choice spokesman Tom Godfrey, choice.com.au 16
March 2016, says its analysis of extras cover shows
below average payout rates and savings of up to 45%
available for consumers who drop it.
The federal government’s decision to sign off on 5.59% average
premium increases sees consumers slugged with a
48.3% cumulative increase since 2009.
Choice found that only around $370 on average was
paid out in extras benefits per person in 2013/2014. It
also found that of top cover health insurance from the
two largest health insurance funds,
Bupa and Medibank Private, you can save between 30% and 45% of your
health insurance premium by dropping extras insurance.
The Medicare levy surcharge and the lifetime health
cover loading only apply if you don’t have private
hospital insurance. You don’t need extras cover to avoid