Claims paid in the June quarter increased by 9.5% over the March quarter to $1.8 billion.
FSC chief executive Richard Klipin attributes the growth to the impact of the covid pandemic.
“The general theme in health insurance is that covid is a big explanation for a number of things,” says Klipin.
“When we were all locked down, it meant that people couldn’t access health services unless it was an absolute emergency. What we’ve seen is that covid has also led to people focusing on health, effectively taking much more responsibility for their own health outcomes and wanting more choice,” he says.
The overstretched public health system revealed by the covid crisis has also helped to encourage more people to take out health insurance.
FSC data shows that more than 1.45 million Kiwis had health insurance in the June quarter, up 1.2% from the March quarter.
The latest data includes figures from eight health insurers, but only six of them were included in the June quarter data. Klipin wouldn’t say which companies were not included last year, but says all eight are now contributing data.
This means that comparisons with the same quarter last year would be misleading.
However, the data for the year to June 2021 included all eight companies, Klipin says.
So the latest premium figures were up 19.1% on June 2021, while claims paid were up 17.6% and the number of people covered was up 2.1% on June 2021.
Klipin says having private health insurance gives people more choices about their health and well-being.
“Unexpected health issues not only affect Kiwis physically, but also emotionally and financially. The ability to mitigate health issues and provide peace of mind quickly is something that a good health system can provide.”
