Robert Oakeshott (Lyne, Independent) Share this | Link to this | Hansard source

asked the Minister for Health and Ageing, in writing, on 16 August 2011:

(1) Why have private health insurance premiums under Medibank Private been rising over the past five years, beyond the annual rate of inflation.

(2) Is she aware that a constituent in the electorate of Lyne claims that his Medibank Private premium rose by (a) 6.7 per cent in 2007, (b) 4.5 per cent in 2008; (c) 10.3 per cent in 2009, (d) 5.4 per cent in 2010, and (e) 8 per cent in 2011.

(3) For the same period, what were Medibank Private's (a) annual dividends received by the Government, (b) net profit after tax earning, and (c) rate of return.

Nicola Roxon (Gellibrand, Australian Labor Party, Minister for Health and Ageing) Share this | Link to this | Hansard source

The answer to the honourable member's question is as follows:

(1) Private health insurance premiums have been rising mainly because of current and forecast increases in benefit outlays. This includes the increasing costs of treatments and services and higher utilisation of treatments and services.

Medibank Private premiums have risen by 26.41% over the last 5 years, compared to the weighted industry average of 26.82%, and the Health Services Index average of 28.2%.

(2) No. Different policies offered by the same insurer will have different premiums and different premium increases. Premium increases vary between policies for a range of reasons.

(3) The Minister for Finance and Deregulation is the Government's sole shareholder in Medibank Private. Therefore, all questions regarding Medibank Private's performance, returns and ownership should be addressed to the Minister for Finance and Deregulation.