In an article published recently, the CEO of the Private Health Insurance Administration Council has been quoted saying, that the purchase of extras cover as part of your health insurance does not make financial sense. The reasons are mentioned in the Operations of the Private Health Insurers Annual Report 2013–14:
1. Insurers usually specify a maximum benefit limit for each service covered as either a dollar amount or a percentage of the total charge.
2. A total annual benefit limit can also apply to payments for specific treatments, goods or services.
The Australian Dental Association on its internet site has published more information about health insurance cover and the considerations for taking it.
Last but not least, many times I find that patient’s choice of treatment are made by the coverage of their private health insurance. For example they may choose to have an extraction instead of restoring a tooth with a root canal treatment because their cover does not include the root canal treatment. But having the tooth removed may have more implications which eventually may cost more than the benefits paid for the extraction.
In conclusion before you buy a health insurance, because you feel that it will benefit you for dental treatment, consider that advice given by the CEO of the Private Health Insurance Administration Council and the Australian Dental Association to make an informed decision.