Medibank Editors Review

Medibank is a government owned private health fund that also owns AHM (acquired in 2008). It is Australia’s largest health fund accounting for just under a third of the market according PHIAC (see the graph below).

Market Share In 2012 Of Australian Health Funds

Medibank private the largest market share in Victoria and the Northern Territory. Part of the reason that Medibank has such a high market share is because they are one of Australia’s oldest health funds that was setup by the government to ensure the private health insurance would be affordable for Australian’s while delivering a strong service outcome.

The editor who wrote this article was a Medibank customer for over a decade and joined due to the family having this health insurance already. Key attractions of Medibank included:

  • Strong extra’s cover but only when a visit occurred at one of Medibank’s allocated providers (ie dentists)
  • Very good private hospital cover for pregnancy
  • Good customer service (the call centre was always easy to contact and helpful)
  • There is an app to make a claim straight after seeing a provider (this also tells you how much you have used in the calendar year).

While this provider has the highest market share the reviews is has received on Australia’s most popular review website (product review) is quite poor at 4.2/10 (from 119 reviews). Key negative reviews focused on areas including:

  • Their policy not covering specific treatments/operations
  • A lack of policy updates when key elements change
  • A slow payment on claims when manually submitted
  • Items not been claimable

While Medibank is owned by the government its a ‘open for profit’ fund with profits been payable to the Australian Government. The profit the fund made in the 2013 fiscal year was $233 million. This was in part due to a 12% profit rise in health insurance and due to strong performances in their healthcare business and investments. Its rumoured that the business may be sold or placed on the stock exchange in the coming future.

Medibank Private

 

White the editor of 457visacompared endorses Medicare for their permanent resident the price of their 457 visa health insurance is at the higher end. For example their cheapest singles 457 visa health insurance is  $114.15 compared to IMAN’s $79.99. White their cover does have some improve private health insurance elements the 42% increase in price is difficult to justify (see the singles table). Their top end cover on the other hand is wee valued such as their top level couples cover. See the top couples 457 visa table.

Overall, Medibank has a strong offering but consumers should review their exact policies when it comes to 457 visa health insurance cover. While choosing a brand with a strong reputation and market share is important the premium price may make this a less attractive option!