The health industry is under huge cost pressures in both the public and private sectors. The public sector manages demandand restricts supply though waiting lists. As an uncapped funder of health services, the Private Health Insurance (PHI)sector has difficulty in managing demand and increasing provider capacity, leading to cost pressures and increasingpremiums. This is the financial consequence of meeting uncapped demand. As a result, health insurers are questionedbecause their premiums are rising at rates greater than inflation.
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