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Health minister orders urgent investigation of HCF price hike
2025-04-18 02:45:04| Spiritual Career Counseling
Health Minister Mark Butler has asked the Department of Health to "urgently investigate" private health funds, which continue to exploit a regulatory loophole to raise premiums.The loophole product phoenixing is a practice that involves health funds closing a policy and opening an almost identical one at a higher price.In December, the Commonwealth Ombudsman published a report showing the practice was widespread.It also criticised the behaviour as anti-competitive, because it disincentivised consumers from shopping around for new products.At the time, Mr Butler warned health funds that if they did not stop the "sneaky practice", which he described as "price gouging", he would legislate against it.But the practice has continued.Consumer group Choice looked at the prices for all insurance policies at the big five funds and found, in late February, HCF closed its gold level cover for new customers and reopened it at a price 35 per cent higher, on average.The old policy had cost a sing...
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