Yahoo Finance Private health patients in Sydney, Canberra cop extra $320 fee
Private health insurers HCF and Medibank have notified members of a cut to benefits, meaning customers using private rooms for overnight stays at NSW and ACT public hospitals will face hundreds of dollars in out-of-pocket fees.
In a letter to its members on Monday 2 September, HCF said it was bringing its rates for single hospital rooms in NSW and ACT public hospitals in line with other states.
Also read: Misleading Medibank claims left patients waiting for hip surgery, ACCC alleges
Also read: Answered: Is public or private healthcare better for childbirth?
Also read: Private health insurance has changed – here’s what it means for you
“The Australian Government sets the rate to be paid by all private health insurers for overnight stays for privately insured patients who choose to be treated in public hospitals,” it said.
“While we will continue to pay the government’s set rate for overnight stays, we will also pay an extra fee to a public hospital if you have asked for and receive a single room.”
NSW and ACT public hospitals charge $752 per night for private patients in their own rooms, compared with around $432 in other states, the SMH reported.
That means private health patients in those areas will now be only covered to the amount of other states, and be left $320 out-of-pocket.
HCF said public hospitals would need to let patients know of any extra costs, and get their consent before the hospital stay.
It also advised members if they experience an out-of-pocket cost on their accommodation fees for services included in their policies, they would cover that cost until 30 November 2019.
HCF told members they would pass on “100% of the savings to members through lower premium increases”.
Medibank also under fire
Medibank announced a similar change to its policy last month, according to the SMH.
The private health insurer also made headlines yesterday after Australia’s consumer watchdog, the ACCC, claimed they falsely told members on some policies that they couldn’t claim cover for reconstruction procedures or joint investigations.
Make your money work with Yahoo Finance’s daily newsletter. Sign up here and stay on top of the latest money, news and tech news.
