Bupa's premium review

Is Bupa planning to increase membership premiums?

This is the time of year when Bupa and most other health funds review their premiums. Bupa has received approval from the Minister for Health & Ageing to revise our premiums.

We recognise that our members don’t like price increases, so we work extremely hard to keep healthcare costs affordable, whilst continuing to provide new and better services. We also realise how important it is that members receive maximum value from their cover when they’re healthy, as well as when they need treatment. That’s why we’re investing in new products, health programs and technological innovations that help benefit our members.

Bupa remains committed to improving the health of our members, and we will continue to provide them with healthcare support, information and advise they need both now and in the long-term.

To find some information on different Bupa health insurance options, you can either compare health insurance or get a health insurance quote online.

What is Bupa’s premium increase?

Our average premium increase is 5.80%. This is lower than the increase in benefits paid to members.

How much did Bupa pay in benefits last year?

Last year, we paid more than $4.1 billion in benefits – an increase of over 8% on the previous year.

• Our members spent more than 2.8 million days in hospital receiving the private care they required.
• We spent more than $110 million so almost 46,000 children could be treated in hospital.
• Bupa paid for 71 members to give birth every day.
• We spent an average of $5500 when a baby was delivered (non caesarean), and around $7,400 when the birth was via a caesarean.
• 66 members underwent a heart operation each day at an average cost of around $14,000.
• Bupa funded more than 3,800 cancer treatments each week at a cost of around $2,300 per treatment.

How much will the premiums increase by on average?

On average, health insurance will increase by $1.30 per week for a single person and $2.90 per week for a family – with the Federal Government 30% Rebate on private health insurance.

Why does Bupa need to increase premiums?

We understand that members don’t like price rises so we work extremely hard to keep healthcare costs affordable. However, the benefits we pay to members and the overall cost of healthcare continue to increase every year.

We work hard to manage costs responsibly to ensure our members receive maximum value from their cover when they’re healthy, as well as when they need treatment.

To make sure you are getting the most value out of your health insurance and your health cover is right for you, send us a private message via our Facebook page, call us on 134 135 or visit your local Bupa centre.

When/how will I know what my rate increase is?

From Wednesday 27 February 2013, Bupa will begin mailing letters to members to advise any premium or product changes to their membership.

If I pre-paid my premium for 12 months prior to 30 June 2012 when rebate means testing was introduced, what does this increase mean to me?

Your premium is ‘rate protected’ until the date your policy is currently paid up to. This means that any premium changes will only apply after the date you have paid up to on your policy.

You may need to consider the impact of the means testing of the federal government rebate on private health insurance, depending on your personal financial circumstances. In 2012, there were changes to the private health insurance rebate and Medicare Levy Surcharge – to avoid tax implications you can choose to nominate your rebate tier. For personal financial advice, we recommend contacting your financial planner or tax adviser.

What are the benefits of being a private health insurance member?

Being a Bupa member provides people with more choices when it comes to making important decisions about their health such as choosing their own doctor, and generally, when and where they are treated. These choices are generally not available to patients in the public health system. Members can also access cover to extras services such as dental, optical, chiro and physio, which generally are not covered by Medicare.

Hospital and Medical Benefits

• While dependent on a member’s level of cover, generally speaking Bupa members experience gap free hospital visits - provided that they visit a Members First or Network Hospital and a doctor participating in our Medical Gap Scheme

Before seeking treatment in hospital, we recommend discussing your options with us as we may be able to assist in reducing or eliminating any out of pocket expenses.

Bupa members receive special benefits through our exclusive relationship with Healthscope that include:

• Medical Centre Benefits
  • 50% reduction in the out of pocket cost of a Health Check at all HSP Medical Centres
  • From 1 April 2013, participating Healthscope Medical Centres will provide bulk billing to all Bupa members
• Skin Cancer and Molescan Clinic Benefits
  • 50 per cent reduction in the out of pocket cost of a Skin Check at participating HSP Skin Cancer or Molescan Clinics

Extras Benefits

• For Bupa members with extras cover we pay benefits at all Bupa recognised providers around Australia, giving you great coverage and peace of mind.
• Save with Australia's largest combined provider network - choose from our extensive network of Members First providers for most general dental, optical,  physiotherapy and chiropractic services to receive certainty about any gap you may need to pay**.
• 60% to 100% back on most general dental treatment at Members First providers^
• 60% to 100% back on most physiotherapy and chiropractic services at Members First providers^
• Excellent benefits on Optical cover:
  • Higher benefits and annual maximums at Members First providers including BLINK Optical, Kevin Paisley Fashion Eyewear, National Pharmacies Optical, Prevue Eyewear, Stacey and Stacey Optometrists and selected independent retailers than at non network providers
  • On a range of fixed-price packages on glasses and contact lenses at no additional cost*
  • Up to $100 off a wide range of fashion frames#
  • 20% off a variety of sunglasses and non-standard contact lenses at BLINK Optical and National Pharmacies Optical
• Benefit Bonus on selected covers, which helps you get 2% more back on your Extras claims each year, up to a maximum of 10% (applies each calendar year after the first 12 months).
• Top-up Bonus on selected covers which helps cover out-of-pocket costs

Other great benefits

• Member exclusive discounts on movie tickets, theme parks, airfares, fitness programs and much more with our Member Discount Partners.
• We also offer health and wellness programs through our Living Well benefit on selected covers†.

Where can I access information on what I am covered for?

All members will receive a letter advising them of any premium increases and product changes relevant to their cover.

If you require additional information, you can access information using our online self service area myBupa, by calling 134 135 or by visiting your local Bupa Centre.

Is it more cost effective for people to try and fund their own treatment rather than being a member of a health fund?

Most people grossly underestimate the cost of basic treatments. It can take years to save up the funds required for many common operations, and trying to fund a person’s own private care increases the risk of them not being able to cover themselves against the cost of unexpected complications such as additional operations or treatments.

For example, Bupa's top 10 most expensive claims cost more than $2.2 million, while the highest was made for a patient with cancer blood disorder with multiple infections at a cost of $306,138 to Bupa.

Additionally, people who have private health insurance have the peace of mind that comes with knowing they can be covered for medical treatments when and if they become necessary.

# Not in conjunction with any other offer

^ The percentage you get back at Members First providers is dependent on your level of cover and up to your annual maximums. Waiting periods apply.

* Depending on your level of cover. Annual maximums and waiting periods apply.

** As at 1 January 2013.

†Eligibility criteria and conditions apply.