Asking for Incorrect LHC Loading Charge Refund

kcome on 03/05/2025 - 16:07

Short Version:

I ask my Private Health Insurance to refund incorrect charge of LHC (Lifetime Health Cover) loading, they give me a reply sounds dodgy. They told me the previous Private Health Insurance company I was having did incorrect LHC charges to me (showing in clearance certificate). They need previous company to correct that THEN they can give issue me a refund.

It doesn't sound right to me. If I am exempted from LHC loading and my current Private Health Insurance is charging me loading, they should stop doing this immediately and give me a refund. I don't know what's the reason they need my previous Private Health company to correct that before they can do so. Surely I wanted to correct previous one, but this shouldn't matter to the current one. The amount is not huge, but the experience is really bad. If you need details I could reply more in comment.

By the way, if I want to find a government agency to file a complaint, could you suggest which one could handle situation like mine?

Thanks a lot for read and reply.

Financial Lifetime Health Cover

Comments

  • Ynk on 03/05/2025 - 16:23
    +3

    I don't know if they are correct in that they need to be issued with the updated certificate/documentation but it wouldn't surprise me. Have you contacted your previous company that sent the certificate, it should be a simple process. If they are not assisting then you can google "private health insurance ombudsman" who deal with these complaints.

    • kcome on 03/05/2025 - 16:36

      Will try to do that. Thanks for your reply :)

  • YesPleaseThankYou on 03/05/2025 - 16:26
    +1

    Lodge a complaint with the health insurer first.

    If not resolved to your satisfaction, this is where you go: https://www.ombudsman.gov.au/complaints/private-health-insur…

    • kcome on 03/05/2025 - 16:36

      I will give the previous (actually 2) companies refund request too. and see how it goes. Thanks for your info :)

  • ozbs25 on 03/05/2025 - 19:34
    +2

    I used to calculate LHC for a major PHI, albeit over 10 years ago. I would have just gone by the information I was given i.e. the clearance certificate from your old health funds. What is your proof that your LHC loading is incorrect? You'll need to submit that to the first PHI you were with so it can all be sorted out. They should issue the next insurer down the line who should then repeat the whole process. LHC can get pretty complicated especially if you need to calculate Days of Absence.

    It's all bound by legislation so you can't really just "stop doing this immediately and give you a refund", although, if I was processing your case, I probably would have contacted the previous funds to sort it all out in one hit (dependent on the previous funds, some I could just call and get the correct info pretty quickly). Processes have probably changed though and I was the sort of CSO that went above and beyond, but got into trouble from my superiors.

  • iDroid on 04/05/2025 - 19:38

    Well given what's going on at the LHC You may be correct, incorrect or both correct and incorrect at the same time.

    It's a wild time to be alive.

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