Hard times hit private health cover

STRUGGLING people are canceling their health insurance policies in increasing numbers and this is piling pressure on an already congested public hospital system.

The second quarter of 2011 witnessed the largest three-month drop-off in private health insurance patients (29,000) since the recession began.

After the initial rush to cancel policies steadied in 2010, the trend accelerated in 2011. In the first six months of this year, 43,000 people stopped paying for private health insurance. This was more than double the six-month average in both 2009 and 2010.