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Fund profiles · Fund review

Bupa health insurance: what it costs, and what the Federal Court found in 2025

The short answer

The Federal Court ordered Bupa HI Pty Ltd to pay $35 million in December 2025 for misleading and unconscionable conduct about members' benefit entitlements. Bupa premiums rose 4.8% on 1 April 2026, above the 4.41% industry average. It returns 82.4% of contributions as benefits, below the 84.5% industry figure.

Key facts

Bupa HI Pty Ltd is the second largest private health insurer in Australia. PrivateHealth.gov.au states it operates on a for profit basis and is owned by Bupa Group International, a group that operates on a not for profit basis, and that it covers all states and territories. This page sets out what it charges in 2026-27, what the government’s published figures show, and what the Federal Court found it had done wrong.

Plain Cover does not score or rank funds. The Plain Cover methodology does not yet set scoring weights, so no rating appears here.

What the Federal Court found Bupa had done wrong

This is the part most pages about Bupa leave out, so it goes first.

On 11 December 2025 the Australian Competition and Consumer Commission announced that the Federal Court had ordered Bupa HI Pty Ltd to pay $35 million in penalties. The Court found Bupa engaged in misleading or deceptive conduct and made false representations about members’ entitlements to benefits between May 2018 and August 2023, and that it acted unconscionably in how it assessed mixed coverage claims between June 2020 and February 2021.

A mixed coverage claim is a hospital claim where part of the treatment is covered by the policy and part is not. The covered part should still be paid. Bupa’s remediation programme has addressed more than 4,100 affected claims and distributed more than $14.3 million.

The practical lesson is not about Bupa alone. A rejected claim is an insurer’s assessment, not a settled fact, and it can be disputed with the fund and then with the Commonwealth Ombudsman at no cost.

What Bupa cover costs in 2026-27

Bupa announced an average premium change of 4.8% effective 1 April 2026, on 17 February 2026, after approval by the Federal Health Minister. The Department of Health, Disability and Ageing approved an industry average change of 4.41% for the same date. Bupa notes the change varies by cover type and by state, so an individual premium can move by more or less than 4.8%.

The table converts each fund’s announced 2026 change into dollars a year on the same A$2,400 a year policy. The policy is a stated example, not a Bupa quote.

Fund2026 average changeCost of the change on an A$2,400 policy
HBF2.15%A$51.60 a year
Industry average4.41%A$105.84 a year
Bupa4.8%A$115.20 a year
HCF4.96%A$119.04 a year
Medibank and ahm5.10%A$122.40 a year
nib5.47%A$131.28 a year

Each percentage is the fund’s own announced figure, published between 16 and 18 February 2026. Dollar figures are Plain Cover arithmetic on the stated A$2,400 example. Last verified 19 September 2026.

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How Bupa performs on the government’s own figures

PrivateHealth.gov.au publishes four performance figures for every insurer. Bupa’s are below, each against the industry figure the same site gives.

MeasureBupaIndustry
Member retention, hospital cover86.1%85.0%
Benefits paid as a share of contributions82.4%84.5%
Ombudsman complaints, against a 25.5% market share25.2%not applicable
Hospital related charges covered, nationally89.0%89.0%

Bupa keeps more members than the industry figure and draws complaints roughly in line with its size. It returns 2.1 percentage points less of every contribution dollar as benefits than the industry figure, which on the A$2,400 example is about A$50 a year less paid out per policy. PrivateHealth.gov.au does not state the period these figures cover. Read 19 September 2026.

The complaints figure that matters more than the headline

The Commonwealth Ombudsman’s State of the Health Funds Report 2023-24, published March 2025, reports two different complaint measures, and the gap between them is the useful part.

In 2023-24 Bupa drew 18.0% of all private health insurance complaints on a 25.4% market share, which looks good. But it drew 23.6% of the complaints the Ombudsman actually investigated, against 14.0% for Medibank on a larger market share. A complaint is investigated when it is not resolved at the first contact.

Across the whole industry the Ombudsman received 4,241 complaints in 2023-24, up 23.7% on 2022-23. Raising a complaint with the Ombudsman is free.

What you actually pay after the rebate

The Australian Government Rebate is set by income, not by fund, so it is identical whichever of these seven you hold. From 1 April 2026 a single under 65 earning A$105,000 or less gets 24.118% back. On the A$2,400 example that is A$578.83, leaving A$1,821.17. It does not apply to any Lifetime Health Cover loading.

The Medicare Levy Surcharge works the same way: 1% above A$105,000 for a single in 2026-27, rising to 1.25% and 1.5%. In 2025-26 those thresholds were A$101,000, A$118,000 and A$158,000. The Medicare Levy Surcharge in 2026-27 has the full table, and the rebate guide has every age band.

Does Bupa cover ambulance, and is it capped?

Bupa’s own website answers this two different ways, and the difference matters.

Its ambulance cover page states: “Uncapped cover for emergency ambulance services is included with most hospital and extras covers.”

Its understanding-your-cover page states: “All Bupa Hospital and most Extras covers include emergency ambulance services, usually capped at one (for singles) or two (for couples/families) trips or attendances per year.”

Both pages were read on 20 September 2026. The second is the only one that gives a number, so that is the one to plan around: one trip a year for a single, two for a couple or family. Anyone relying on the uncapped wording should confirm the cap for their specific policy before they need it. In NSW, where every trip is billed, our NSW page sets out how hospital cover and ambulance fit together.

What both pages agree on: there is a 1 day waiting period, and non-emergency transport is excluded, including hospital to home, hospital to nursing home, transfers between hospitals, and transport for ongoing treatment such as chemotherapy or dialysis. Bupa states it paid members an average of A$1,035 per ambulance claim in 2024.

Queensland and Tasmania residents already have state cover. Bupa states Queensland’s scheme covers residents nation-wide, and Tasmania’s covers residents within Tasmania.

For contrast, Medibank states “unlimited emergency ambulance Australia-wide” on every hospital and extras policy, with no trip cap at all. For what an ambulance costs without cover in each state, see our state-by-state guide.

What Bupa extras pay, and the figure Bupa does not publish

Bupa’s extras products include Freedom 50, Freedom 60, Core Extras, Top Extras and Top Extras Boost, and the number in a name is the percentage back: 50%, 60%, 70% and 80% respectively.

Bupa does not publish annual dollar limits on its extras product pages. The Core Extras and Extras Saver pages give a percentage and the phrase “up to yearly limits” without a figure. The dollar limits exist in the Private Health Information Statement for each product and in Bupa’s own printed brochure, neither of which a reader finds from the product page.

That is worth knowing before comparing. HCF publishes its extras limits on the product page itself, and so does ahm. A percentage back is meaningless without the annual cap it stops at. Extras matter here because, for most adults, Medicare pays nothing toward dental check-ups, fillings or crowns.

Bupa’s headline extras benefit is 100% back on up to two 6-monthly check-up and cleans every year, and it is tied to Members First Ultimate providers, a tier above the standard Members First network. Waiting periods on extras run 2 months for general services and 12 months for major dental, endodontic and orthodontic work.

What Members First changes about what you pay

Members First is Bupa’s own provider network, described on its site as “a network of thousands of registered healthcare providers across Australia brought together by Bupa”.

The money difference is the point. Bupa states members “could get 50% or more back on most dental, physio, chiro, and podiatry consultations at Members First providers, up to yearly limits”, and that Bupa “may pay more back to our members when they visit a Members First provider”. A second tier, Members First Ultimate, carries the 100% back check-up and general fillings benefit.

The practical consequence: the same treatment can cost a Bupa member two different amounts depending only on which provider performs it. Check whether a dentist or physio is in the network before booking, not after the invoice arrives.

Every large fund runs an equivalent. Medibank has Members’ Choice, HCF has More for You, and nib has First Choice.

How to claim with Bupa, and how long it takes

Bupa members claim through myBupa, the online member account, or the myBupa app. Bupa states that on an approved extras claim “you generally receive payment in your bank account within five business days”.

That five day figure is worth holding on to, because the funds differ and not all of them publish one. HCF states claims are “usually processed and paid within 7 working days”. HBF states seven business days for extras and ten business days for hospital claims, with payment landing within two more. Medibank and nib publish no processing time at all.

One gap on Bupa’s side: its main claiming page covers myBupa and the app, and does not mention on-the-spot claiming at a provider terminal, which HCF, HBF and Medibank all document. Read 20 September 2026.

Who tends to weigh up Bupa, and against what

People in this situation typically weigh up reach against what comes back. Bupa is the second largest insurer, covers every state and territory, paid $6.65 billion in benefits in 2025, and reports more than 277,000 customers with no-gap hospital admissions that year. It also keeps members better than the industry figure.

Against that sit two published facts: it returns less of each contribution dollar as benefits than the industry figure, and it is the only one of these seven funds to have been penalised by the Federal Court in the past year.

The comparison most often made is with Medibank, which returns 85.6% of contributions as benefits against Bupa’s 82.4%, and with HCF at 87.8%. None of those figures decides the question for a given person. They are the part of it that can be checked.

Still wondering?

Common questions

The details worth clearing up before you decide.

Why was Bupa fined $35 million?
The Federal Court found Bupa HI Pty Ltd made misleading representations about members' benefit entitlements between May 2018 and August 2023, and acted unconscionably in how it assessed mixed coverage claims between June 2020 and February 2021. The ACCC announced the penalty on 11 December 2025.
What is a mixed coverage claim?
A hospital claim where some of the treatment is covered by the policy and some is not. The ACCC's case concerned how Bupa assessed those claims. Where a claim is mixed, the covered part should still be paid rather than the whole claim being rejected.
Has Bupa paid members back?
The ACCC stated on 11 December 2025 that Bupa's remediation program had addressed more than 4,100 affected claims and distributed more than $14.3 million. That programme was running before the penalty was ordered.
Is Bupa Australian owned?
No. PrivateHealth.gov.au states Bupa HI Pty Ltd operates on a for profit basis and is owned by Bupa Group International, a group that operates on a not for profit basis. The Australian entity is registered here and regulated by APRA.
How much did Bupa premiums go up in 2026?
By 4.8% on average from 1 April 2026, announced on 17 February 2026 after approval by the Federal Health Minister. The industry average approved for the same date was 4.41%. Bupa notes the change varies by cover type and state.
Does Bupa get many complaints?
Fewer than its size predicts on the headline count, more once complaints are investigated. In 2023-24 it drew 18.0% of all complaints on a 25.4% market share, but 23.6% of complaints the Ombudsman investigated.
What does Members First mean?
It is Bupa's own provider network. Benefits are typically higher at a provider inside the network than outside it, so the same treatment can cost a member more depending on who performs it. Check the provider before booking, not after.
Does Bupa cover ambulance?
Yes, on all hospital and most extras covers, after a 1 day waiting period. Bupa's own pages disagree on the cap: one says uncapped, another says usually one trip a year for a single and two for a couple or family. Non-emergency transport is excluded.

Sources

  1. Bupa ordered to pay $35 million for unconscionable conduct and making misleading representations about members' health insurance entitlements, Australian Competition and Consumer Commission. Checked 19 September 2026.
  2. Bupa HI Pty Ltd insurer details, PrivateHealth.gov.au (Australian Government). Checked 19 September 2026.
  3. Bupa announces approved 2026 average premium change, Bupa HI Pty Ltd. Checked 19 September 2026.
  4. State of the Health Funds Report 2023-24, Commonwealth Ombudsman. Checked 19 September 2026.
  5. PHI 11/26 Private Health Insurance Premium Round Announcement, Department of Health, Disability and Ageing. Checked 19 September 2026.
  6. Quarterly private health insurance membership and benefits summary, June 2026, Australian Prudential Regulation Authority. Checked 19 September 2026.
Written and fact-checked by the Plain Cover editorial team

See our editorial policy, methodology and corrections.

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