Govt warns insurers about premium increases  

The Minister of Health has warned health insurers to focus on providing value to customers when they apply to increase their premiums over the next few weeks.  

Private health insurers are allowed to raise premiums once a year only, subject to government approval. Insurer applications for 2026 premium increases are due in November, with approved prices taking effect on 1 April 2026. This year, for the first time, Minister of Health Mark Butler has issued a “statement of expectation” telling insurers to make “more strenuous efforts” to offer value to customers and also help struggling private hospitals. 

The minister has also announced he is introducing legislation to stop insurers closing policies then launching similar policies at a higher price – a practice known as “product phoenixing”, as reported in healthslips.com.au in December 2024. 

“While these details are being finalised, I expect insurers to cease practices that seek to deliberately circumvent the premium approval process and restrict consumer choice,” Mark Butler said. 

Trudie McConnochie

Writer and Researcher

Knowledge is power – that’s the guiding principle behind everything Trudie writes, and it’s a philosophy she brings to her work at healthslips.com.au. By breaking down complex information into easy-to-understand blogs and stories, she aims to empower Australians to make the best choices and an informed decision around private health insurance.

Trudie understands firsthand some of the complexity of private health insurance having moved to Australia from New Zealand and having to navigate a vastly different public healthcare system and health insurance structure.

Trudie holds a Bachelor of Communication Studies (journalism major) from the Auckland University of Technology.

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