medibank private, page-46

this business has significant structural risks. all the articles mention they are trying to squeeze primary PRY before float. But primary is threatening they can even do health insurance too. so any man and his dog can do this business. the barriers to entry are low. even online competitors are growing quickly - see http://health.com.au/ risk of new or existing players or online players disrupting medibank is there, plus also private hospital companies are squeezing medibank(i.e. medibank forced to up their payments due to higher health care costs).

the sector has been deregulated, and its a cutthroat now. I am personally not on medibank insurance, way too expensive! when people find out how much cheaper the competition is, they will move as you can change provider at any time - there is no contracts in private health insurance.

tread with caution. coalition government is greedy and want to maximise to pay off debts.