According to data presented by the Office of Capital, Insurance and Pension Market Supervision to the Knesset Finance Committee, the average cost of health insurance policies will increase from June 1.
Due to the entry into force of the reform of the health insurance market, policies covering expenses from the first shekel will rise in price by an average of 39%, and for insured persons under 20 years of age and over 66 years of age – by 45%.
Policies that complement extended health insurance (SHABAN – additional medical services) will increase in price by an average of 2.3%, and for clients over 66 years old – by 5.6%.
The reform coming into force calls for reducing the number of people who have multiple insurance policies that duplicate each other. Unlike life insurance policies, which can all be taken into account when an insured event occurs and the insured will receive benefits for each of them, duplicating health insurance policies does not make financial sense. As a rule, only one of them can be used (and insurance companies try to shift the burden to sickness funds), and in cases where two policies are involved, the insurance structures distribute the costs among themselves.
Currently, 1.8 million people are insured “from the first shekel”, and about half a million people are insured as part of the supplement to the extended insurance of sickness funds. The ministries of finance and health want to change this ratio to increase revenue for the public health system.
As of June 1, individuals with both private shekel first insurance and extended health insurance (SHABAN) will be automatically transferred from the first shekel policy to the extended health insurance supplement policy. To remain on the policy “from the first shekel”, you will need to notify the insurance company about this.