February 18, 2008
Health Insurance coverage up 17,000 in 2007
The number of New Zealanders covered by health insurance jumped by 17,000 in 2007, to 1.387 million people, according to
statistics released today by the Health Funds Association of New Zealand (HFANZ).
This follows a similar increase in 2006 of 15,500 people.
HFANZ executive director Roger Styles said today that claims paid out last year totalled a record $615 million, up from
$574 million in 2006.
He said the majority of policies – 63.4 percent – were for elective surgical and specialist cover, and the majority of
claims’ cost related to the more than 100,000 elective surgical discharges funded by health insurance in the last year.
“People with health insurance are relieving pressure from an increasingly stressed public system. Those with health
insurance have essentially saved the public health system $400 million for elective procedures for the year,” Mr Styles
said.
HFANZ is the body representing the 1.387 million New Zealanders – about a third of the population - with health
insurance.
Notably, more policies were being taken out for children aged under four (up 4 percent to 63,600 for the year) and in
the 20-29 and 60-74 age brackets. The majority of people with health insurance are aged 35 to 59.
Mr Styles said health insurance coverage had been steadily improving since March 2003 when 1.272 million people had
policies.
“In previous decades the number of people insured had dropped after incentives were removed. However, the industry has
now stabilised and membership numbers have started to lift again.”
Today’s statistics follow figures released by HFANZ last month showing nearly 60 percent of the country’s elective
surgery was carried out by the private health sector in the year to June 2007 - 148,000 surgical discharges compared
with the public hospitals’ 113,000.
“Voluntary health insurance is an important part of New Zealand’s overall health system. It helps relieve pressure from
the public system, saves tax dollars, encourages capital investment in new facilities, and provides people with greater
choice in managing their health risks,” Mr Styles said.
ENDS