How Switching Private Health Insurers Got Me 10 Weeks Free Cover Last Year

Peter Enis on 04/01/2018 - 10:39

Hey all. Slow day in the office today! I've been meaning to post this for a while in case it helps others save a few dollars.

Last year I switched Private Health cover from Insurer A to Insurer B, after being with A for more than 10 years. B was offering a one month free signup bonus (2nd month free).

About 3 months later I got a call out of the blue from Insurer A wondering why I'd left them, I was honest and told them the only reason I switched was to get the one month free bonus from B. They didn't want to lose a "loyal customer" and offered 6 weeks free if I switched back to them, so I did. They also offered to put me onto their corporate rate which was a bit cheaper than what I was previously paying.

All up I got around 10 weeks free which is equivalent to about $500 for our family cover. Not bad for about 1 hour of phone calls!

So avoiding the lazy tax and switching providers every now and then can be a great way to save.

Health & Beauty

Comments

  • CLoSeR on 04/01/2018 - 10:43
    +3

    privatehealth.gov.au is the best place to compare health insurance as it's govt and no commissions involved.

    iSelect and the rest of them work off commissions and only sell certain products/insurers.

  • Lando on 04/01/2018 - 10:57

    I'm 25 with no private health cover and just got kicked off my parent's cover.

    Which is a good provider for someone like me? I'm a young professional making $90k/year. Live with my parents. No debts

    • PLA74 on 04/01/2018 - 11:09

      I'm in a similar situation also.

    • CLoSeR on 04/01/2018 - 11:19

      Use the website above to look for cover options, if you are fit and healthy then you probably only want ambulance or ambulance and basic hospital cover.

    • Peter Enis on 04/01/2018 - 11:27
      +1

      The Medicare Levy Surcharge (MLS) threshold is $90k/year for individuals so you should probably work out if your taxable income will be above or below that figure, given that you've said your income is $90k (nice income for a 25yr old BTW).

      Assuming you are in good health, at your age I'd probably be getting myself the minimum level of private hospital cover required to avoid the MLS. Then up your level of cover as you get older. However everyones circumstances are different (eg are you a female hoping to give birth in a Private Hospital in the near future?)
      Also don't forget the Lifetime Health Cover loading from 30+ yrs if you don't get cover.

      Al CLoSeR has already indicated, privatehealth.gov.au is a good place to compare products.

      • Lando on 04/01/2018 - 11:33

        Thank you. I will have a look at that website.

        given that you've said your income is $90k (nice income for a 25yr old BTW).

        Stressful engineering job. Long hours. Not much time to smile, smell the roses and date a girl.

  • tryagain on 04/01/2018 - 11:08

    I find private health something that is really hard to compare, so have gone with what suits best for the best price, my concern with chopping and changing is that the level of cover between different policies changes so much, I do do a regular compare that makes sure we are getting a good deal but a $500 saving is worth a bit of hassle.

  • Yttrium on 04/01/2018 - 12:47
    +1

    Private health insurance is bad financial value for most Australians , especially for younger and healthier people.

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