However Jessie Petterd from iSelect says now is a good time for locals to shop around and make sure they're getting the best deal.
“We’d encourage any customers struggling to afford their premiums to ‘switch not ditch’ and explore other options before cancelling as the savings can be well worth it and many customers are in fact able to find a similar level of cover for a lower price with a different fund.
The iLink research also highlighted the benefit of shopping around, with 90 per cent of policy holders who recently switched private health funds either saving money or finding better value. Furthermore, the study revealed that almost a third (33%) of policy holders suspect they are currently paying more than they need to and could probably find a similar level of cover for the same price.
Ms Petterd explained that some policy holders could be missing out on potential savings of hundreds of dollars a year or more off their health insurance premiums simply because they fail to shop around.
“Our study found that almost half (46%) of those who switched told us they saved at least $100 off their annual premiums while one in five (20%) said they are saving over $300 annually.” Ms Petterd said.
Ms Petterd said funds should have contacted customers to let them know exactly how much their policy is set to increase and encouraged customers to review their policy before April 1 to see how their fund stacks up. “Given this is the second time in six months that we’ve seen some premiums creep up, it’s more important than ever to check you’re not paying more than you need to on your policy.”
“A comparison service like iSelect* can compare your current policy against others from their range of providers and help find you an alternative better suited to your needs and budget.” Ms Petterd said.