Recession Busters: Health insurance

Private health premiums are set to go up an average of 6 per cent with some soaring up 12 per cent but despite that you can still save money.

We spend $13 billion a year on private health insurance. On average it is $2000 for a family in hospital and extras.

It can be mind-boggling trying to compare 38 different funds with varying levels of benefits and extras.

Mood foods: What to eat to feel better

Even though we get a 30 per cent or more government rebate on yearly premiums can we save simply by not insuring at all?

Dr Adir Shiffman runs HelpMeChoose.com.au, a free on-line service that helps compare policies and prices and select the best match.

"Those who can afford to have private health insurance should very seriously consider it," he said.

"It gives you a choice of the doctor you want to treat you and it enables you to have faster access to medical services.

"If you turn 30 and you don't have private health insurance the government will impose a penalty if you then take out private health insurance."

So whether you're a family, a single person, or over 60, there's is a cheaper and undoubtedly better deal for you.

Related: Energy drink concerns

Empty nesters, over 60s, need comprehensive couples cover but they often keep the old family policies running, paying for redundant extras like pregnancy.

For life insurance there are similar on-line services to help you compare policies and get the best prices but watch out for life insurance companies that offer instant cover for simply ticking a few boxes.

For that convenience, the premiums are sky high.

Websites that compare private health funds

Ozecover
www.ozecover.com.au
1300 326 837 (1300ECOVER)

Australian Government Private Health
www.privatehealth.gov.au

Help Me Choose
www.helpmechoose.com.au

iselect
www.iselect.com.au

Life insurance
www.lifebroker.com.au