Effects of Recent Carrot-and-Stick Policy Initiatives on Private Health Insurance Coverage in Australia
The Australian government implemented a sequence of new policies during 1997-2000 and raised the take-up rate of private health insurance (PHI) by 35 per cent. Because they were implemented sequentially, their individual effectiveness is not quite clear. We isolate the effects of Lifetime Health Cover (LHC) introduced at the last stage of the sequence using a counterfactual analysis of PHI demand with and without the new policies. Unlike earlier studies which attributed the bulk of the increase in PHI coverage to LHC, we find LHC may only account for as low as 42 per cent and no more than 75 per cent of the increase. Copyright 2005 The Economic Society Of Australia.
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Volume (Year): 81 (2005)
Issue (Month): 254 (09)
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"How Effective is Lifetime Health Cover in Raising Private Health Insurance Coverage in Australia? An Assessment Using Regression Discontinuity,"
Melbourne Institute Working Paper Series
wp2004n33, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
- Alfons Palangkaraya & Jongsay Yong, 2007. "How effective is “lifetime health cover” in raising private health insurance coverage in Australia? An assessment using regression discontinuity," Applied Economics, Taylor & Francis Journals, vol. 39(11), pages 1361-1374.
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