Long may they say "God save the queen" because nothing will save our private health system, if premiums go up another 5 per cent next April.
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The lethargy when discussing this problem, suggests that either the government is in total denial, or is simply waiting for another train wreck to hit the system next April, simply hoping that ordinary Australians will factor in another price rise double the CPI, while still claiming that there is no problem.
The private health system received a mini heart attack earlier this year, when Health Minister Hunt boasted that premiums had risen the lowest in a decade, but then witnessed thousands upon thousands leaving the system, clearly not endorsing his good news.
The government must clearly know what the problem is, because the general public does, continuing rising costs in one particular area, galloping out of control, and seemingly untouchable.
Any business requires new customers to grow and flourish, but in regards to private health insurance, those prospective new customers are single people who do not believe they require it at their age, and young families, who are simply stretched to the limit, with the first casualty of their budget being private health insurance.
So this exposes the absolute vulnerability of the system, leaving the bulk of the members remaining being the elderly, higher risk and cost, but of which many have had this insurance for 50 years.
It is not their fault that the system is lurching to the continuing catastrophe of higher premiums. Many of these are pensioners, who simply cannot afford to drop it, but financially in many cases, cannot afford to keep it either, but they do.
No, unless a more pro-active approach to the reason for the continual higher costs is under taken, the future of the private hospital/insurance system is on borrowed time.
If the government does not believe that, just continue to ignore the obvious - until next April.
Ken Price, Eaglehawk
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