Media Release: Labor Must Come Clean on Private Health Premium Increases

The Albanese Labor Government must be transparent with the more than 14 million Australians who hold private health insurance, as they face yet another cost-of-living blow when premium increases are announced for 2025.

The Federal Government is required to announce the average premium rise within the first quarter of the year. However, last year, this government delayed the announcement for the longest period in 15 years.

In stark contrast, prior to the last election, the Coalition oversaw the lowest premium change in 21 years, at 2.70 per cent for 2022, which was announced in December 2021.

In the midst of a cost-of-living crisis, the Albanese Government must be upfront with Australians as soon as possible about the impending increase to their household expenses.

This premium increase will come in addition to already soaring out-of-pocket costs for medical care under Labor, with working Australians now paying $47 on average per visit to see a GP.

Shadow Minister for Health and Aged Care, Senator Anne Ruston, stated that Labor’s actions are driving up the cost of essential healthcare, including for hardworking Australians with private health insurance.

"Considering the inflationary impact from Labor's cost-of-living crisis, we have serious concerns about the upcoming premium increase that Australians with private health insurance will face under this government,” Senator Ruston said.

"Higher premium increases for the more than 14 million Australians with private health insurance would further strain household budgets at a time when families are already struggling to cope with rising healthcare costs.

“It is essential that the Minister is transparent and informs Australians of the scale of these increases as soon as possible."

Under this Labor Government, Australians are already finding private health unaffordable. More than 216,000 people have downgraded their health insurance policies in the first half of 2024 alone.

If Australians are no longer able to afford their private health cover, this will put even greater pressure on public hospitals at a time when we are already seeing historic ramping issues.

The Albanese Labor Government must immediately outline what the average premium change will be this year to ensure that Australians with private health have time to plan for this additional cost hike.

ENDS