The Australian Competition and Consumer Commission (ACCC) has sued health insurer Medibank Private, alleging around 800 holders of policies under the firm's low-cost ahm brand were wrongly denied claims for cover for which they were paying. The ACCC told the Federal Court that some customers were forced to delay operations or seek alternative treatments. Medibank said ahm contacted 130,000 customers after an internal investigation in 2017, and around 175 were paid a total of AUD745,691 ($thousands of dollars) in compensation.
The Australian Competition and Consumer Commission (ACCC) has sued health insurer Medibank Private, alleging around 800 holders of policies under the firm's low-cost ahm brand were wrongly denied claims for cover for which they were paying. The ACCC told the Federal Court that some customers were forced to delay operations or seek alternative treatments. Medibank said ahm contacted 130,000 customers after an internal investigation in 2017, and around 175 were paid a total of AUD745,691 ($503,639.70) in compensation.