Why private health insurance is dying a slow death

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By Leith van Onselen

I have previously claimed that Australia’s private health insurance system is facing a ‘death spiral’ as young and healthy people (the so-called “invincibles”) continue to leave system, thus leaving a larger proportion of unhealthier, older, expensive users.

If this process continues, it will force premium up further, leading to a further exodus of the invicibles, and so on.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.