At CBHS we help you manage your health challenges. We believe in offering you the services, support and tools you need to live your best life.
Our Better Living Programs are available to support eligible members towards a healthier lifestyle. Each Better Living Program is subject to its own eligibility criteria.
Contact us for more information and to confirm your eligibility for a program.
Learn more about the 1 October 2023 premium increase
Like all health funds, CBHS reviews premiums each year to ensure they continue to reflect the cost of providing quality health insurance and outstanding service. As a result, health cover premiums will need to increase, effective 1 October 2023. The average increase for CBHS members is 4.46%, however your individual premium amount may be higher or lower than this average depending on the product you hold and which state you live in.
CBHS deferred the planned 1 April 2023 increase by six months until 1 October 2023. This was our fourth premium increase deferral for members in three years, as part of our COVID support measures for members, which totals $62 million.
To help you understand more about the annual premium review process, we’ve put together some FAQs.
FAQs
Health funds need to review their premiums annually as the cost of healthcare, medical technology, and subsequently claims costs, increases each year. Also, like all industries, higher than normal inflation is impacting the private health insurance sector.
The ongoing strength and viability of CBHS as your not-for-profit, member-owned health fund relies on prudent financial management, and this includes reviewing premiums. We do our best to keep premium increases as low as possible so that our members can continue to benefit from great value health cover.
In 2023, our average premium increase may be higher than other funds. However, even at these new premiums, our products remain very competitive and continue to offer great value health cover.
For example, our Gold tier Hospital and top level Extras products are priced lower than comparable competitors’ products.
When you experience a premium increase, it’s important to consider those factors when comparing to other health funds.
CBHS’ high-quality products offer additional health and wellbeing programs and services, while we provided 87.8% in benefits returned to members in 2022 as a percentage of premiums paid. That’s the second highest of all Australian restricted health funds.* Over recent years we have worked hard to keep our premiums as low as possible, and the June announcement of our $15m cashback brings our total COVID support package to $62m.
It’s also important to note that as a not-for-profit, member-owned fund, CBHS operates at a very low margin. Any profits we make are invested back into the fund to improve our products and services for members.
CBHS is focused on keeping costs down by investing in our health and wellbeing programs to keep you healthier longer, reducing claims fraud and errors, and focusing on optimising the administration costs of running our member-owned fund.
We have written to each primary member with their policy’s premium increase details. You’ll receive this either by email or letter depending on your current communication preference.
The premium increase comes into effect on 1 October 2023. If you’ve got direct debits or salary deductions in place, this will automatically update to the new premium amount from your first payment after 1 October 2023.
No. While we will continue to assess the impact of COVID, premium increases are expected to return to 1 April annually.
Our policies are competitively priced and provide great overall value. When you experience a premium increase, consider the overall value of your cover when comparing to other health funds.
Our Gold tier Hospital and top-level Extras products are priced lower than comparable competitors’ products.
Plus, CBHS’ member focus ensures we give back more to members in benefits as a percentage of premium revenue than the industry average. *
At CBHS, we’re about more than great health insurance. We provide great member service, give more back in benefits, and offer a whole range of health and wellbeing initiatives which are included in your cover. In fact, some Extras benefit limits on selected dental, chiro and podiatry services increased in 2023. CBHS products continue to offer great value for money when you compare the overall cost of similar products across different health funds.
Our commitment remains consistent – to keep the cost of your health cover as low as possible while providing more value.
If you’re wondering why you should maintain cover in general, remember that private health cover offers:
- Timely and more convenient treatment options
- More choice over who treats you
- Continued peace of mind.
Many Australians receive the Australian Government Rebate on private health insurance (Rebate) to help reduce the cost of their private health insurance. This year, there were no changes to the Rebate percentages. However, the Rebate income thresholds increased as of 1 July 2023. This means that depending on your income level, you may benefit from a higher rebate. Read our article to find out more about the Rebate income threshold changes.
The rebate tiers for 1 July 2023 to 30 June 2024 are available on the privatehealth.gov.au website.
Premium increases are not calculated at an individual member level and aren't based on your personal claiming behaviour. Private health insurance in Australia is community rated, which means premiums can’t be determined based on factors such as your age, gender, lifestyle, claim patterns or pre-existing conditions. This is to ensure that private health insurance remains fair for all.
We calculate premium increases by analysing claims and service cost data from previous years. From this analysis we estimate the amount required to cover these costs in the coming year. Premiums are then adjusted on a product-by-product and state-by-state basis.
Each year, CBHS submits proposed premium increases to the Minister for Health’s office for approval.
We understand that affordability pressures have increased for many Australians, and we want to do our best to help you stay covered. There are some options you can consider:
Are you claiming the Australian Government Rebate on private health insurance? If you are not claiming it already − and are entitled to it − you can reduce your regular contribution by claiming the rebate as a reduced premium. To find out the level of rebate you may be entitled to, visit privatehealth.gov.au. You can nominate a rebate tier by logging in to the CBHS Member Centre and selecting Manage My Rebate under the My Account menu.
Select a Hospital product with a co-payment: You can consider taking on a co-payment if you don’t already have one. If you need to go to hospital, you’ll pay a daily cost up to a maximum of six days per adult on the membership, with a cap of 12 days per year per family depending on your cover. This means you’ll pay less on your premium.
Change your level of cover or excess limit: We’d be happy to review your level of cover to see if you’re on the most appropriate option for your needs and budget. You may also be able to opt for a higher level of excess in return for a lower premium on some Hospital covers.
Contact our Member Care team on 1300 654 123 (Monday to Friday 8am – 7pm AET) to discuss your options.
For all members who have paid in advance before 1 October 2023, your current paid-to date will remain unchanged. After 1 October 2023, when your paid-to date expires, the new premium amount will apply.
Your current premium is protected for the period that your membership is currently paid to.
This stands as long as you don’t make any change to your membership that impacts your premium, like a change in level of cover or changing your Rebate percentage. Please reach out to us and check if you’re unsure.
You can pay up to a maximum of 12 months in advance to lock in your current premium.
Your payment notice has a due date and we issue these a month prior to this date. If your due date falls prior to 1 October 2023, you’ll pay the current premium. You must make the payment before the due date, in order to receive the current premium. If your due date falls after 1 October 2023, or you make payment after this date, the new premium will apply.
If your payment notice is posted, it may be the case that you receive your notice after 1 October 2023 due to factors outside of our control, and the due date has passed. In this case, the new premium will apply as any payments made after 1 October 2023 are based on the new premium.
If you choose to make an advance payment before 1 October 2023, it will be based on current rates. You can do this by contacting our Member Care team and they’ll be able to set this up so you can pay via any of the following payment methods:
- BPAY
- BPOINT over the phone or online
- Cheque