Wasted extras are costing a fortune

TIM McINTYRE

UNUSED health insurance extras are costing Australians millions, a finder.com.au report has revealed.

The survey of more than 2000 consumers found around 15 per cent of those with extras cover as part of their health insurance have not claimed anything in the last 12 months.

Using Australian Prudential Regulation Authority statistics, this means 1.8 million of the 12.2 million Australians with extras cover are not putting it to use.

The research also found 68 per cent – around 8.3 million people – do not keep track of how much money they have left to claim on extras, which concerned finder.com.au spokeswoman Bessie Hassan.

“People are paying for cover they don’t need,” she said.

Speech therapy, naturopathy and lifestyle products like gym membership rebates were the least used extras, with just 2 per cent making claims.

“If you haven’t used your extras cover in the last 12 months you should consider switching to a more basic policy or dropping it,” Ms Hassan said.

At the other end of the scale, general dental was the most used, with 62 per cent claiming; eye care (48 per cent) and physiotherapy (22 per cent) next.

Ms Hassan said take note of waiting periods – if you drop extras cover, you may need to re-serve a lengthy waiting period in the future.

BUPA managing director Dr Dwayne Crombie recommends investigating packaged options that combine hospital and extras cover, which he says can lower costs and sometimes offer benefits that may not be available on stand-alone deals.

One Big Switch campaign director Joel Gibson said it makes sense to claim extras if paying for them anyway.

“Get a remedial massage a few times a year, go to the dentist regularly,” he said.

To find out more about the Big Health Insurance Switch go to www.onebigswitch.com.au