Bupa HI Pty Ltd has been ordered by the Federal Court to pay $35 million in penalties for engaging in unconscionable conduct and making false representations about health insurance benefits. The court found that between May 2018 and August 2023, Bupa misled members, hospitals, and medical providers regarding their entitlements to private health insurance benefits.

The court declared that Bupa incorrectly advised members that they were not entitled to benefits for certain claims, despite being eligible for coverage under their policies. This misleading conduct led to significant financial harm and emotional distress for many consumers, some of whom delayed or canceled necessary medical treatments.

In addition to the financial penalties, the court imposed a five-year injunction preventing Bupa from engaging in similar conduct in the future. Bupa has cooperated with the Australian Competition and Consumer Commission (ACCC) during the investigation and has initiated a remediation program to compensate affected members and medical providers.

As part of this program, Bupa has already paid over $14.3 million to more than 4,100 affected claims. The ACCC emphasized the seriousness of Bupa's conduct and the importance of compliance with Australian Consumer Law, urging all health insurers to ensure accurate claims assessments.