It’s no longer debatable that health insurance is a necessity and not something you opt-in for. What’s evolved now is the “free market” working to ensure these health insurance companies don’t overcharge for their premiums, and no other market place ensures this more than iSelect. They provide top-notch online energy comparison tools and services, revolutionalizing the way Aussies shop for their health coverage, and all they needed was a user-friendly site – www.iselect.com.au This comprehensive I select Australia review tells you everything you need to know about them.
How iSelect makes Money
Like most marketplaces, iSelect makes its money from commissions when you sign up for your healthcare through their site. You can switch providers if you find a cheaper alternative. But most importantly, know that using their services won’t cost you anything extra. They may get extra kickbacks if you retain the policy for up to a year.
If they make money via commissions, what’s to say these companies aren’t influenced to push insurers with better commissions and not necessarily better health packages? That’s a legitimate question, see the next section.
How they Push Sales
iSelect argues that they have a standard pricing model and that the companies they recommend are based entirely on what the customer needs. So the insurance consultants – those advising you on what to pick don’t know what the commissions are. They aren’t incentivized to promote one insurer over another, just understand the different packages insurers offer and recommend what suits the customer.
This changes if you deal with phone consultants though. They’re motivated by performance, so the higher their total premiums sold are, the better paid they will be.
Do the commissions these insurers pay to iSelect affect the price of your insurance package? Probably. Marketing ain’t cheap, but at least you get customer service for a wide variety of packages before committing to any one insurer. Plus, insurance packages have fixed prices, regardless of where you buy them from.