Is it worth shopping around for a health insurance plan?
Sometimes the grass is a little greener on the other side. Health insurance is becoming an increasingly competitive area and there are some serious bargains to be had for the canny consumer. We take a broad look whether or not it is worth shopping around for a new plan.
Have my requirements changed?
While you may have had the same policy for the last 10 years, odds are your requirements have changed. It’s important to review your policy every so often and make sure your coverage is sufficient and the premiums you’re paying are competitive. It may be worth having a conversation with your GP as to the level of coverage you actually require. Interestingly, hospital and extras cover needn’t be with the same insurer, and using multiple insurers can potentially save you money.
Review your extras
Make sure you know exactly what you’re covered for when selecting a health plan, particularly when you’re weighing the benefits of one against another. Health funds vary greatly on what services they offer as part of the package and which ones you can get rebates for. Changing funds might be an easy way to get extra coverage for services you may need in the future such as dentistry, physiotherapy and optical, all for the same price set price you’re currently paying now.
Government rebate
Many retirees who are not looking to retain their private health insurance should think again. The main reason for this is that the government provides a higher rebate for people aged over 65. This rebate is means tested according to your annual income, age and the number of dependent child you have, but it’s a useful point to be aware of.
Changing is easier than you’d think
Contrary to what you may imagine, it’s actually not too hard to change health insurance policies. Of course it’s not as simple as turning a light switch on and off. Private health funds generally have waiting periods to protect consumers and funds from people trying to join for financial gain, but if you’re switching to a fund of an equivalent or lower level of cover you generally don’t have to re-serve your waiting periods. Be sure to consult your chose health fund before changing as this varies.
So there you have it, everything you need to know about shopping around for a new health insurance plan. Ultimately it is important to consult a financial professional before making a move, but there are opportunities for canny consumers to get more for less.
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