Rate Rise

As a not-for-profit health fund, we only ever increase premiums to manage the rising cost of health care and ensure we can continue to improve the value of your health cover and provide comprehensive and reliable care. Several factors contribute to this increase including rising healthcare costs and increased usage of healthcare services.

We strive to keep costs down by:

• closely monitoring your cover and looking for savings
• working with the Australian Health Service Alliance (AHSA) to have more negotiating power with hospitals and doctors
• working with industry bodies to lobby the Government for changes that make healthcare more affordable for everyone
• advocating for the Access Gap scheme to reduce out of pocket expenses

We do understand that the cost of living has increased and it can be a tough balance between looking after your health and looking after your budget. If you’re considering whether your cover is still right for you, we are happy to talk you through your options and see if we can save you money. Please call us on 1800 808 690 – we’re here to help.

Yes, you can prepay for up to 12 months before the rate rise comes into effect. You can do it right now by:

• Credit or debit card – over the phone by Thursday 27 March 2025 5pm (or before Monday 31^st March 2025 midnight via the app or Online Member Services)
• Direct debit – by Wednesday 26^th March 2025
• BPAY – before your bank's close of business on Thursday 27^th March 2025.

We only ever increase premiums by what it costs to pay claims and keep our fund running, and any increases we make have to be approved by the Government. This is the same for all health funds.

We can’t charge people less if they don’t use their cover and more if they do. This is a rule set by the Government to make sure that everyone has the same access to private health insurance (it’s called ‘community rating’).

There are several things Peoplecare does to control premiums for our members:

• Closely monitor your cover and looking for savings
• Create a stable suite of products that are designed to be sustainable into the future.

You don’t need to start paying the new premium until your next payment is due. For example, if you’re paid up to 31 May 2025, you’ll start paying the new amount from 1 June 2025.

There are plenty of reasons private hospital cover is important, including: 

• Peace of mind knowing you can have access to private hospitals with state-of-the-art facilities 
• being in control of your health, by selecting the Doctor or Specialist of your choice
• getting treated when you need to in a private hospital, instead of having to spend months (even years) on a public hospital waiting list
• if you earn over the threshold for Medicare Levy Surcharge (currently $97,000 for singles and $194,000 for families), you may have to pay the Medicare Levy Surcharge if you don’t hold hospital cover.
• not being penalised with a Lifetime Health Cover loading (a Government imposed initiative for all Australians who don’t take out private hospital cover before turning 31)  

When you think about health insurance it’s important to think about more than just the cost – it’s about giving you control of your healthcare, with your choice of Doctor and hospital, less time waiting for the services you need and (most importantly) the peace of mind to know that you’ll be looked after when you and your family need it most. 

You might be surprised by how much it costs to pay for a private hospital procedure without private hospital insurance. To give you an idea, these are the highest hospital costs for individual Peoplecare members we paid in the 2024 financial year:

No. We are a proud not-for-profit, member-owned fund.

Yes, we can assist members in financial hardship. Call us on 1800 808 690 to talk about options for your personal situation.

We continually strive to ensure that we provide products and benefits that deliver value to our members and have introduced a number of benefit changes to our Extras covers. These changes come into effect on the 1^st of July as this is when all our Extras benefit limits reset and we wanted to ensure the changes are in line with this.