AMA Warns Changes to Private Health Insurance Could See People Abandoned By Insurers

Started by Epoch-Times-Bot, Dec 07, 2022, 08:49 PM

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Epoch-Times-Bot

Dec 07, 2022, 08:49 PM
AMA Warns Changes to Private Health Insurance Could See People Abandoned By Insurers

The Australian Medical Association (AMA) has warned that proposed changes to private health insurance (PHI) could leave Australians abandoned by insurers, placing more burden on the already struggling public health system.
This comes as the federal government is seeking to make the most significant reforms to PHI in over a decade, including looking at ways to incentivise lifetime health cover and the use of risk equalisation.
Risk equalisation (RE) essentially means that funds from insurers with lower-than-average claim costs are transferred to those with higher average claim costs. It is argued because PHI is community rated, with everyone of the same policies paying the same premiums irrespective of expected claim costs, that this supports the community rating better....

Source: AMA Warns Changes to Private Health Insurance Could See People Abandoned By Insurers

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