Regularly Changing Private Health Insurance Providers to Take Advantage of Bonuses

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  fruit on 20/10/2016 - 19:38

  Once you serve waiting periods you don't need to serve them again.

  • 

    resubaehtgnolhcs on 20/10/2016 - 19:54

    +1

    Not entirely correct. If you upgrade your cover, then waiting periods for the higher benefits will apply.

    • 

      fruit on 20/10/2016 - 20:04

      Well you haven't served those waiting periods yet.

      • 

        resubaehtgnolhcs on 20/10/2016 - 20:52

        Not entirely correct again. People change health fund providers thinking that they won't have waiting periods once they have served them, but no two funds offer exactly the same cover for all items. For example, if your previous fund covered you to $500 for general dental services (and you have served all the waiting periods) and your new funds covers you to $600, then you will have to serve the waiting period for the additional $100 in benefit. You will still be covered up to what your previous fund covered you for (i.e. $500), but if you want $600 in benefits (i.e the additional $100), then you will have to serve waiting periods again.

        So, just because you have served the waiting periods for general dental work with one health fund, doesn't mean you won't have serve them again with another health fund, especially when they offer higher benefits.

      • 

        fruit on 20/10/2016 - 21:00

        @resubaehtgnolhcs: Just get top cover, it's the same for all.

      • 

        resubaehtgnolhcs on 20/10/2016 - 21:05

        @fruit:

        Nope again! If the dollar benefit is different between your top covers then waiting periods will be applied to you again (to get the higher dollar benefit). For example, some funds only cover $800 for orthodontia work under their top cover (e.g. NIB), but other top cover funds cover up to $2000 (e.g.BUPA) So again in this case you will need to serve the 12 month waiting period with BUPA for major dental work to claim the additional $1200 benefit.

      • 

        fruit on 20/10/2016 - 21:07

        @resubaehtgnolhcs: Jesus christ this is slimy.
        Thanks for the info.

      • 

        resubaehtgnolhcs on 20/10/2016 - 21:08

        @fruit: No problem. It's all buried in their T&Cs and PDS!

      • 

        fruit on 20/10/2016 - 21:09

        @resubaehtgnolhcs: https://www.youtube.com/watch?v=FZ23kosLFec

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  resubaehtgnolhcs on 20/10/2016 - 19:53

  +2

  It can get problematic, as after a couple of funds, your current health provider will only send across your history with them (and not with previous funds). This could make you look like you have only been in a fund for a few months and waiting periods could be imposed again. Whilst you will be able to prove otherwise, you have to take into consideration your time and effort in providing the proof.

  • 

    onceupon8 on 21/10/2016 - 11:03

    Can you please elaborate on how you know this? Is it from experience? This is a concern.

    • 

      resubaehtgnolhcs on 21/10/2016 - 17:54

      I have worked for a long time at a private health insurer

      • 

        zooter on 04/11/2019 - 16:57

        This seems incorrect. Let's say you were with Insurer X then switched to Insurer Y. Insurer Y would get a certificate from X with what waiting periods have already been served. When you switch from Y to Z, you mean to say that Y will only provide what waiting periods have been served with them?

        Please name the private health insurer who does this so that we can avoid them

        The government mandates that continuity of cover must be provided for the patient

• 

  HardQuiz on 20/10/2016 - 21:01

  http://www.privatehealth.gov.au/healthinsurance/howitworks/l…

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  holdenmg on 21/10/2016 - 10:27

  A possible unintended consequence (of switching) is that if you are a long-term member of a Health Fund and the fund decides to Demutualise or "list" on the ASX, your entitlement to Shares or capacity to apply for Shares at a Discount may be based on Length of Membership (Date Joined).

  Although this didn't apply with Medibank Private, there was a case being advanced that Policyholders should have received a preference over other Retail and Institutional Applications and a discount as well.

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  brainactive on 23/10/2016 - 08:21

  If we do decide on switching health insurers, what is the process? In particular, how do we ensure the new fund policy starts immediately after the old fund policy is cancelled? Do we apply for the new fund first or cancel the old fund, would be really helpful if those with experience can share what the timeline of the switching process is like.

  • 

    holdenmg on 23/10/2016 - 08:59

    +1

    Generally you propose cover to the new Health Insurer either direct or through iSelect or similar.

    The new Health Insurer then contacts the existing insurer to check the Level of Cover and Date of Joining.
    (This is to ensure the level of cover you are proposing with the new Insurer is equivalent and that any waiting periods have been served).

    Then, when you are accepted and you have checked the Cover you have been accepted for is that you proposed and all the details are correct and payment complete, you notify the old fund you have switched to the New Insurer.

    If you have a Periodic Debit Authority in place you generally notify the old Insurer to cancel or Terminate said authority but you can also advise your Bank or Financial Institution.

    Also, ensure that prior to cancelling or switching that you have lodged all claims during the period you have had cover with the old insurer and that all of there have been settled or paid.

    • 

      brainactive on 23/10/2016 - 09:23

      Thanks, just one more question - I think the new health insurer I'm going with is online only (not direct), would it complicate the process if I'm changing the level of cover (i.e. going from Hospitals/Extra to Hospital only)?

      • 

        holdenmg on 23/10/2016 - 09:48

        No, that isn't a problem as you are migrating to a cover equal to (or less than) your current.

        But, again, if you are intending to both switch and split, that is change your Hospital Cover to a different insurer and also maintain your Extras with another different Insurer, again you want to be sure that your existing cover is maintained until your new proposed cover(s) are accepted elsewhere.

        Also, consider if you are just cancelling your extras outright, that you would need to re-serve any qualifying period, if you wanted Extras again at some later date.

        Consider looking at lowering your Extras cover as an option…

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  parallax on 04/04/2019 - 20:41

  I've been thinking recently about changing health insurance providers every 2 to 3 months to take advantage of sign up offers, and also most funds seem to have a 2 month waiting period on retinue dental check ups, so if you signed up to a new fund, waited 2 months, went to the dentist, then signed up with a different fund, waited 2 months again and went to the dentist again, then you could potentially go the dentist 6 times a year for the same spend on health insurance as sticking with 1 fund and only going twice a year. Anyone have any experience doing this?

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  blueyez on 08/11/2019 - 10:27

  I've have private health cover for a very long time - mainly extras, but now also hospital cover.

  I'd be a bit wary of trying to 'churn' through private health, I don't think it might be worth it in the long run.