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Private health cover premium complaints down 25%

18 October 2011 - 4:13pm

The Private Health Insurance Ombudsman (PHIO) released its annual report last week, stating that changes in recent years have led to a decrease in premium increase complaints.

Only 58 complaints - two per cent of the total number received - were in regards to premium increases, a reduction of almost 25 per cent on the previous year.

The report recognised that one reason for the complaint decrease was that the average premium increases for individual policyholders have been lower than previous years.

Another contributing factor was that there has "been greater transparency by funds in communicating with members about the reasons for health insurance premium increases".

Unexpected increases in premiums may occur when hospital, medical or other health related costs rise, or when an insurer's members have an increase in the use of health services.

More than 10.2 million Australians currently have private health cover and services such as brokers make it possible to compare health insurance options in order to find the most appropriate plan.