While those yearly premium adjustments might seem minimal, data shows that the industry average increase has jumped a whopping 34.47% between 2017 and 2026.
And that’s just an average, with some individual policies jumping much higher over the last 10 years.
Aussies who stay loyal to their health insurer could be forking out hundreds of dollars more each year by not comparing.
Paying too much for health insurance?
Step 1: Select your current health fund below.
The funds displayed are for the top 10 largest health funds by market share in Australia as of April 2026.
Step 2: Compare from a range of funds when you answer a few basic questions.
But which health funds have hiked prices the most over the past decade?
Looking at official premium change data between 2017 and 2026, Cessnock District Health Benefits Fund recorded the largest average increase, lifting premiums by around 4.28% on average over the past decade. In the space of 10 years, this equals a 42.84% average increase – the largest of any health fund. Cessnock District Health Benefits Fund trades as Hunter Health Insurance.
Close behind was Health Insurance Fund of Australia Limited, with a 42.15% average increase since 2017, CBHS Corporate with a 40.56% average spike and NIB with an average 10-year price jump of 39.79%.
Other big-name health insurers that have increased above the industry average over the past 10 years include Bupa (38.43%) and Medibank (36.76%), while Australian Unity (33.26%) and Westfund (33.18%) sit just below the 10-year industry average.
| Active Private Health Insurer | Average between 2017 – 2026 | Total increase since 2017 |
| Cessnock District Health Benefits Fund Limited* | 4.8% | 42.84% |
| Health Insurance Fund of Australia Limited | 4.22% | 42.15% |
| CBHS Corporate Health Pty Ltd | 4.06% | 40.56% |
| NIB Heath Funds Ltd | 3.98% | 39.79% |
| Mildura District Hospital Fund Ltd | 3.97% | 39.73% |
| BUPA HI Pty Ltd | 3.84% | 38.43% |
| Defence Health Limited | 3.75% | 37.50% |
| Peoplecare Health Limited | 3.68% | 36.80% |
| Medibank Private Limited | 3.68% | 36.76% |
| Reserve Bank Health Society Ltd | 3.6% | 36.47% |
| Industry Average | 3.45% | 34.47% |
Source: Australian Government Department of Health, Disability and Ageing. Funds with missing data for the past 10 years have been excluded from analysis. Not reflective of every fund and only the top 10 funds with the highest average increases above the industry average calculated for 2017 – 2026 have been included in above table.
Why averages don’t tell the whole story
Before rushing to switch funds based on averages alone, it’s important to understand what these figures actually mean.
The data reflects each insurer’s average premium increase across all policies, not what any individual customer pays. While the headline number is important, it’s not indicative of what every policyholder will experience.
In reality:
- Different policies within the same fund can rise by different amounts
- Some years have higher or lower increases
- Your age, cover level, state and choice of extras can influence your premium
- Rebates and loadings can influence your final price
Even if your fund sits around the average, your individual policy could still have an above average increase.
Why comparing your cover matters
With variation across funds and even within them, regularly comparing your policy is one of the best ways to keep costs down.
Even small differences compound over time. A fund increasing premiums by a percent more than another insurer could mean the difference of hundreds of dollars extra over a decade.
And with loyalty often coming at a cost, many Australians may be paying more simply because they haven’t reviewed their cover recently.
If your premium increase is above average, it could be a sign to shop around for better value. And, if you hold a green Medicare card, it usually means you’ll be entitled to any special offers that health insurers offer to lure new customers, such as waived waiting periods or weeks of free coverage.
Choose your type of cover to see if you could be saving
Why health insurance premiums change every year
Private health insurance price changes aren’t random; they are part of a structured, government‑regulated process.
Insurers must apply to change premiums annually, and the Federal Government must approve any changes before they take effect on 1 April each year.
For 2026, the industry-wide increase sits at 4.41% on average, the highest since 2017.
What’s driving the increases?
- The cost of hospital care, medical services and other health-related expenses are increasing
- Members are using more services
- Wages for nurses, hospital staff and other healthcare workers are driving up overall costs, as well as increased doctor fees
- The growing cost of medical equipment and advanced technology
- More complex and expensive procedures are becoming available in private hospitals.
Review your health insurance regularly
Even if your health insurance once offered good value, it doesn’t guarantee your current policy is still the right fit. Premiums and benefits change over time and if you haven’t compared options recently, you could end up paying more than you need to.
See if you can find cheaper cover now
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