Medibank Private remains Australia’s largest private health fund, according to the latest industry figures.
The September 02 quarter data released today by the Private Health Insurance Administration Council (PHIAC) shows that Medibank Private remains the market leader with a national market share of 30.3%.
Managing Director George Savvides said Medibank Private was committed to maintaining its industry leadership.
“We are very pleased that the vast majority of our members have chosen to remain with Medibank Private, despite the substantial changes we have had to make to our products and prices in recent times,” Mr Savvides said.
“Most members have recognised that despite these changes, their Medibank cover remains extremely well-priced and represents real value in the market.
“Even after the recent discount removal takes effect on 2 December, we will still be collecting five percent less premium income per average member than the industry average.”
However, Mr Savvides said that industry leadership involved more than market share dominance.
Following Medibank Private’s major corporate restructuring in May, the fund has also dramatically lowered its management expense to income costs to now below 9%, establishing it as an industry leader in administration cost efficiency.
“We are continuing to deliver member value by returning over 90% of member contributions as benefits,” Mr Savvides said.
“And we are working hard to set the benchmark for private health insurance customer service.
“We already have the industry’s most extensive face-to-face retail network, which we are committed to maintaining and improving, refurbishing up to 1/3 of our branch network over the coming months to improve our customer service capacity.
“Our first new-look store, with its innovative layout and new health information technology, opened in Parramatta in September and has been met with overwhelming member approval.”
Four more refurbished stores are due to open in late 2002/early 2003 – Hobart, Broadmeadows (Vic), Watergardens (Vic) and Burwood (NSW) to further enhance service provision to Medibank members.