Private Hospital Groups Back AMA Call for Minimum Health Insurance Payouts

Private Hospital Groups Back AMA Call for Minimum Health Insurance Payouts

06 Mar 2026

This week, the Australian Private Hospitals Association (APHA) and Catholic Health Australia (CHA) released a joint statement urging the government to legislate a minimum insurer benefit-payout ratio of 90 per cent.

The AMA first raised the issue in 2020. Their latest Private Health Insurance Report Card shows that since 2008, premium increases have consistently outpaced inflation, health sector costs, average weekly earnings, and Medicare Benefits Schedule (MBS) indexation.

In 2024–25, insurers returned just 84.2 per cent of premiums as benefits — down from 88 per cent in 2019.

The report also highlights that over the six years to June 2025, benefits paid for in-hospital treatment grew by only 18.1 per cent, while sector profits rose nearly 50 per cent during the same period.

https://www.ama.com.au/

Source: AMA