The Government’s plan to fully privatise Medibank will increase private health insurance premiums and reduce competition in the sector according to Australia’s peak medical body.
Within 24 hours of confirming that health funding would not be quarantined from its Commission of Audit, the Government has dealt a second blow to the Australian public by confirming its intention to sell Medibank.
Australian Medical Association President Dr Steve Hambleton today said the sale of Medibank Private would put upward pressure on health insurance premiums:
We are concerned that competition needs to be maintained in the private health and Government owning Medibank Private has kept the costs down so we do have concerns about that and wonder whether in fact it will actually decrease in amount of pressure on private health insurers to keep their price down.
ABC RADIO – AM – 23 OCTOBER 2013
The Government has already announced it plans to outsource decision making to big business through its Commission of Audit. Australians ought to be concerned about the Prime Minister’s willingness to outsource their health to big business too.
It’s up to the Government to explain how the sale of Medibank Private will benefit Australians and whether they’ll sit idly by and watch health premiums rise as a result.