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Medibank health insurance review

Medibank is Australia's largest private health insurer by hospital policies. Medibank Private Limited, a shareholder-owned company operating on a for-profit basis, sells cover under the Medibank name and through its ahm brand. Together they held 1,532,670 hospital policies covering 3,032,305 people at 30 June 2025, according to APRA.

Here's what the official figures show about Medibank's complaints, benefits and gaps, and what its policies open to new members include. Because ahm is part of the same registered insurer, the performance numbers on this page are for Medibank and ahm combined.

By Better Rate Mate Editorial Team · Last reviewed against PrivateHealth.gov.au and APRA data · No ratings of our own

Medibank at a glance
Medibank
Registered insurerMedibank Private Limited
Who can joinOpen to anyone
Business structureShareholder-owned company, for-profit
Hospital policies (30 June 2025)1,532,670 (25.0% of all hospital policies), covering 3,032,305 people. Figure is for Medibank Private Limited, which includes ahm
Hospital tiers on sale (1 September 2026)Gold, Silver Plus, Silver, Bronze Plus, Basic Plus, Basic
Excess options on open hospital policies$250, $500, $750
Age-based discount (18–29)Offered on some of its open hospital policies
AmbulanceEmergency ambulance on most of its open hospital policies
Sources: PrivateHealth.gov.au insurer profile and open product data (1 September 2026 extract); APRA Annual private health insurance membership and benefits statistics 2024–25 (hospital policies summed by Better Rate Mate).

Medibank and ahm: one insurer, two brands

Medibank and ahm are listed separately on PrivateHealth.gov.au, but ahm is owned by Medibank and reported within Medibank Private Limited. The two brands sell different products at different price points; the Ombudsman and APRA figures cover both. If you're comparing them, compare the policies, not the fund-level data. Our separate ahm review covers what ahm sells.

Medibank is an open fund with no membership restrictions and operates in every state and territory. Its PrivateHealth.gov.au record lists overseas visitors, overseas student and corporate products as well as its retail range.

Complaints: fewer than its size suggests

Medibank and ahm together accounted for 23.9% of Ombudsman complaints about insurers in 2024–25, below their 26.5% market share. Their share of investigated complaints was 17.3%, again below their market share. Member retention was 85.4%, just above the industry's 85.0%.

Benefits and costs: the lowest expense ratio of the large funds

Medibank returned 85.6% of premium income as benefits in 2024–25, above the industry's 84.5%, and its management expenses were 7.6% of contribution income, well under the industry's 10.9%. Scale helps here: running costs spread over 1.5 million hospital policies weigh less on each one.

The weaker number is gaps. 81.8% of in-hospital medical services had no gap for Medibank members, against 87.1% across the industry, and 96.2% had no gap or a known gap (industry 97.1%). In other words, Medibank members were more likely than average to face an out-of-pocket medical bill after a hospital stay. Hospital charges covered were 89.6%, slightly above the industry result.

What Medibank sells

Medibank's open hospital policies at 1 September 2026 span Gold, Silver Plus, Silver, Bronze Plus, Basic Plus and Basic, with excess options of $250, $500 and $750. Some, but not all, of its open hospital policies were listed with the age-based discount. Emergency ambulance is included on almost all of them.

Medibank also markets its Members' Choice provider network for extras; that is the fund's own description, and network rules differ by service.

Medibank against the industry: 2024–25 data

Every year the Private Health Insurance Ombudsman compares all insurers on the same measures, and PrivateHealth.gov.au republishes the results on each insurer's profile. The table below is Medibank's (reported at the level of the registered insurer), with the industry result beside each figure. Its complaints-to-market-share ratio was 0.90: a figure of 1.00 means complaints exactly in proportion to size.

Medibank: official performance data, 2024–25
MeasureMedibankIndustryReading
Share of all Ombudsman complaints23.9%Market share 26.5%In proportion to its size
Share of investigated complaints17.3%Market share 26.5%
Member retention (hospital cover)85.4%85.0%In line with industry
Benefits paid as % of premiums85.6%84.5%Better than industry
Management expenses % of premium income7.6%10.9%Better than industry
Hospital charges covered89.6%89.0%Better than industry
Medical services with no gap81.8%87.1%Weaker than industry
Medical services with no gap or a known gap96.2%97.1%Weaker than industry
Extras (general treatment) charges covered51.3%50.7%Better than industry
Source: Medibank Private Limited profile on PrivateHealth.gov.au (checked 28 September 2026), which republishes the Private Health Insurance Ombudsman's State of the Health Funds figures for 2024–25. These figures cover Medibank Private Limited, which includes ahm. "Reading" is our comparison with the industry result; differences under half a percentage point are treated as in line.

How to read it: complaint share is the fairest single comparison of service across funds of different sizes, because it's measured against market share. Benefits as a % of premiums shows how much of the premium pool went back to members as claims; a mutual that returns more is not necessarily cheaper, and a fund can move this figure by changing prices. The gap measures show how often members avoided an out-of-pocket medical bill after a hospital stay, which is what most people mean by "good cover".

Hospital agreements

Hospital agreements by state
ACTNSWVICQLDSAWATASNT
Private hospitals5886452172061
Most held by any insurer7977458172372
Day hospitals6804442212081
Most held by any insurer99864503028112
An agreement hospital has a contract with the fund, which usually means lower or no out-of-pocket hospital costs. Source: PrivateHealth.gov.au insurer profile, 2024–25.

What to check before you join Medibank

  • The no-gap rate (81.8%) was below the industry's 87.1% in 2024–25. Ask your surgeon and anaesthetist whether they use Medibank's gap scheme before you're admitted.
  • Medibank and ahm policies are different products even though the fund-level data is shared.
  • Corporate policies can differ from retail ones. If your employer offers Medibank cover, compare its clinical categories with a retail policy.
  • Over 31 and joining for the first time? Work out your Lifetime Health Cover loading first, and if you earn over the threshold, check the Medicare Levy Surcharge you'd avoid.

Common questions about Medibank

Is Medibank the biggest health insurer in Australia?

By hospital policies, yes. APRA's figures show Medibank Private Limited (including ahm) held 1,532,670 hospital policies at 30 June 2025, slightly more than Bupa's 1,498,193. Bupa covered slightly more people.

Is Medibank for-profit?

Yes. PrivateHealth.gov.au describes Medibank Private Limited as a shareholder-owned company that operates on a for-profit basis.

Are Medibank and ahm the same company?

ahm is owned by Medibank and reported as part of Medibank Private Limited, so they share one set of Ombudsman and APRA figures. They sell different policies.

Other fund reviews

See every registered health insurer compared on complaints and benefits, or read how the private health insurance rebate and hospital cover tiers work.

This review is general information based on published government and regulator data. We don't rate or rank funds, and it doesn't consider your circumstances. Check a policy's Private Health Information Statement before you buy.