We are no strangers to the ever-tightening squeeze of the cost-of-living crisis.

Yet, just when we have adjusted our budgets to accommodate the latest financial challenge, another one could rear its head soon.

This change could deliver a hefty blow to our wallets, as experts warned about the 'biggest rise' Australians have seen in years.


Health insurance premiums are set to increase by 1 April.

A forecast by Compare Club predicted an annual increase of around six per cent on the said date.

This increase could lead to an average jump of $234, impacting many Australians, including those in retirement.


Compare Club's Head of Research, Kate Browne, stated that while the said hike could be a 'worst-case scenario', it's a possibility Aussies should be prepared for.

'Even if the health minister negotiates down the funds, we're still expecting a significantly bigger premium hike than last year,' Ms Browne explained.

This premium increase could mean reevaluating budgets and cutting costs elsewhere.


A separate research from Finder indicated that health insurance costs have escalated too high, some Australians have decided to abandon their coverage altogether.

One in seven Australians have struggled to afford their policy in the past year, and three per cent of Australians cancelled their cover due to financial pressures.

For retired families, the projected rise could mean shelling out an additional $369 for health insurance in 2025, totalling close to $6,000 annually.

Senior couples over 65 might face an extra $358, while young families could see their premiums increase by up to $248 per year.

Single Australians and single-parent households are not exempt from the pinch, with expected additional costs of $153 and $224, respectively.

Last year, health insurance premiums increased by 3.03 per cent—a stark contrast compared to the predicted six per cent increase.


However, it's not all doom and gloom, especially for savvy shoppers.

Ms Browne urged Australians to shop around for their health insurance to get the best possible deal.

By comparing providers and reviewing policies, families could save an average of $462 a year.

For Aussies with health insurance premiums, shopping around could see them saving between $137 to $361, depending on their family situation.

It's a proactive step that could make a world of difference in these challenging times.

With the looming increase happening in two months, it's time to review your health insurance policies.

It's time to compare prices and keep more money in your pocket, all while meeting your healthcare needs.
What do you think of this looming health insurance increase? How do you prepare for these price increases? Share your opinions about this issue and money-saving tips in the comments below.