Health funds under ACCC scrutiny
The Australian Competition and Consumer Commission is placing pressure on private health funds after a report by the regulator found that information was lacking for consumers to properly compare products. The ACCC said the lack of information was most evident in the lead up to the June 30 deadline of the Lifetime Health Cover Scheme where many consumers were given inadequate or misleading information. Medibank Private is currently involved in court proceedings with the ACCC, after being accused of deceptive advertising in two of its campaigns. The ACCC has also warned the Australian Medical Association that it will investigate any boycotting of funds who do not follow the AMA's preferred no-gap model. The ACCC has accused the AMA of being preoccupied with the interests of practitioners rather than those of the consumers.
‘ACCC targets health funds’, The Australian Financial Review, 09/11/00, p 5.