Amid pandemic-induced deteriorating economic conditions and extreme financial pressures on nib members, the health insurer has decided in favour of what managing director Mark Fitzgibbon believes is the responsible thing to do.
In an announcement on March 30, nib said its scheduled April 01 health insurance premium increases for the provider’s Australian residents health insurance business will not go through as planned. Instead, the hike is postponed until at least October 01.
Read more: nib launches support package in response to COVID-19
“It’s a very significant measure,” said Fitzgibbon, “and the reality is we aren’t yet seeing any material savings as a consequence of the government order to temporarily suspend non-urgent elective surgery.
“But we are confident we can accommodate postponing premium increases, and it’s consistent with all the other initiatives we’re undertaking to support our members through this crisis.”
According to nib, the premium adjustment is 2.9% on average. Meanwhile members will be notified of the six-month premium rise postponement.
