Health insurance loyalty programs

Just like any other type of insurer, Australian health insurance providers offer a range of discounts and initiatives to encourage you to purchase a policy and then continue renewing cover each year. One of the tools insurers commonly use to entice you to maintain cover is the loyalty program which offers increased benefit limits and a range of other discounts and giveaways to eligible members.

So, what types of loyalty programs are available and how can they make maintaining cover worth your while? Read on to find out.

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What are health insurance loyalty programs?

Health insurance loyalty programs are designed to motivate Australian consumers to keep cover with the same insurer for an extended period of time. By staying “loyal” to your insurer and renewing or upgrading your cover each year, you can access a variety of benefits from your health fund as well as discounts and special offers from partner retailers.

You can usually enjoy your first loyalty rewards after you have been a health fund member for one year or more, while the level and type of rewards you can access may increase the longer you remain a member of the same health fund.

For example, the most common type of loyalty program provides an increased claim bonus. This means that the longer you’ve been a member of the fund, the more you are able to claim for specific healthcare services.

However, health insurance loyalty programs come in several varieties and can differ widely from one insurer to the next, so let’s look at the types of reward programs available and the benefits they provide.

What services can you claim loyalty bonuses on with Aussie health funds?

Fund	Loyalty bonuses*	Apply
	Depending on your policy, ahm members are rewarded for their loyalty every 5, 10 and 20 they hold continuous cover with increased claims bonuses on various extras services including: Audiology Chiropractic Complex dental Major dental Occupational Therapy Optical Orthoptics Orthodontics Osteopathy Podiatry Pharmacy Physiotherapy Speech Therapy Psychology and hypnotherapy	More info
	Gold or Platinum extras members can enjoy loyalty benefits on extras benefits including: Appliances such as hearing aids Audiology Chiropractic Diabetics General dental Major dental and orthodontics Exercise physiology Eye therapy Natural therapies Osteopathy Occupational therapy Pharmacy Physiotherapy Podiatry Psychology Remedial massage & Myotherapy Speech therapy	Go to Site
	Depending on your level of cover, you may be able to get a loyalty bonus for orthodontia.	Go to Site
	Depending on your level of cover, you may be able to get a loyalty bonus for orthodontia.	Go to Site
	Bupa members who hold continuous Silver, Gold or Platinum Extras cover will see their benefits increase 2% every year, to a maximum of 10%.	More info
	HBF provide members, depending on their level of cover, with increasing claims levels on many extras benefits including: Crowns Root Canals Dentures Bridges Implants	More info
	If you have a Saver, Special, Super or Premium extras policies with HIF, you can claim more back on a range of services including: Dental Physio Chiro Complementary therapies Occupational therapy Optical Orthoptics Osteopathy Pharmacy Speech therapy Hearing aids	More info
	Depending on your policy, Mildura health offer increased claims for certain dental procedures including: Inlay/onlay Crowns and bridges	More info
	onemedifund offers loyalty limits on some of it's policies for services including: Crowns and bridges Dentures Orthodontic Surgical equipment/health aids	More info
	Depending on your policy, Nurses & Midwives Health offer increasing limits for services such as: Major dental Appliances such as hearing aids	More info
	If you hold a Gold Combined policy continuously for ten years, your Laser Eye Surgery Lifetime limit will increase from $1,600 to $2,400 per person.	More info
	There is an increase in the overall benefit limits for dental (excluding orthodontics) and therapies by $50 after the first year of membership and then for each year after for the first five years of cover.	More info
	Depending on your level of cover, you can earn loyalty bonuses on the following extras services: Major dental Appliances such as hearing aids	More info
	Depending on your level of cover, you can earn loyalty bonuses on the following extras services: Major dental Laser eye surgery	More info
	Depending on your level of cover, you can earn loyalty bonuses on the following extras services: Major dental Home nursing and lactation nurse Mechanical/health appliances Acupuncture Audiology Chiropractic Occupational therapy Optical Orthoptics Orthotics Osteopathy Pharmaceutical Physiotherapy Podiatry Prostheses Psychology/hypnotherapy Speech therapy	More info

What are the different types of rewards available?
Health insurance loyalty programs can offer a wide range of rewards to long-term health fund members, including:

• Increased claims. The most common type of loyalty reward, this type of program allows you to enjoy an increased benefit limit on specified services the longer you remain a member. For example, your extras cover may offer $750 dental cover in your first year of membership, but this could then increase to $1,000 in your second year, $1,500 in your third year and so on – until you reach the policy’s maximum benefit limit.
• Cover for out-of-pocket hospital expenses. Some insurers also allow loyal members to accrue reward points that can be used to cover any out-of-pocket hospital expenses that may arise. For example, the Hospital Rewards program from health insurer Frank allows members to accrue rewards when they join and on each policy anniversary date. These rewards are then automatically used to help pay for out-of-pocket expenses if your doctor charges more for a service than the insurer covers.
• Earn points. When you become a member of a health fund, you may be eligible to earn frequent flyer points or points through other rewards programs such as Flybuys.
• Discounted movie and sporting tickets. If your health fund has partnerships with cinema chains or ticket providers, you may be able to enjoy discounted movie tickets or reduced-cost entry to sporting events.
• Discounted gym memberships. Your health fund may have a special deal with a nationwide gym chain, providing access to discounted gym memberships to help you maintain your health and fitness.
• Discounts at partner retailers. Many health funds also have relationships with a variety of retailers, allowing you to access discounts and special offers on everything from sporting goods and vitamins to theme park entry and even hotel accommodation.
• Giveaways. Many health funds run regular member-exclusive competitions to win items such as sporting goods, electrical items and even holidays. In some cases, being a long-term member of a fund may give you an increased number of competition entries.
• Referral bonuses. If you refer a friend and they sign up to become a member of your health fund, your insurer may reward you with a gift card.

What kind of services do these benefits typically apply to?

Where loyalty programs apply to the level of cover you are eligible to receive, they typically apply to a variety of extras cover benefits. Some of the healthcare services for which you can commonly access increased benefit loyalty rewards include:

It’s also worth pointing out that the Private Health Insurance Act 2007 imposes restrictions on the value of the promotions and discounts health funds can offer to their members. These limits are designed to ensure that the principle of Community Rating is upheld, ensuring that health funds don’t discriminate against people on the basis of their health, age or any other factor.

Can I still access loyalty program benefits if I switch insurers or change my level of cover?

If you decide to switch to a new health fund, in most cases you will forfeit any loyalty benefits that you have accrued with your old fund. However, some funds will recognise your years of membership with your old fund when determining your eligibility to access increased benefits as part of their own rewards programs, so check with your new fund to find out if this is possible before switching.

Changing your level of cover (but staying with the same insurer) may also affect your loyalty benefits. However, the consequences of switching to a new policy differ between insurers so contact your health fund to find out whether you will still have the same access to any benefits you have already accrued.

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