Scholarly Contribution to Database/Website

Private hospital insurance premiums should vary by age

Yuting Zhang

Published : 2020


IT is widely recognised that the Australian private hospital insurance (PHI) sector is in trouble, with younger customers abandoning insurance. Young people are not getting value for money, and subsidise older generations. Other countries with similar PHI allow private insurers to charge less for the young than the old (for example, in the US). It is important that premiums should not vary by pre-existing medical conditions, but perhaps it is time to consider age-based premiums in Australia.