Chairman Greg Gent and chief executive Nick Astwick highlighted the organisation’s solid financial performance in the year ended June 30, along with its continued focus on reducing premium increases and providing value to members.

For every dollar received in premiums in the last financial year, 89 cents was paid out directly in claims. “I’m proud to say we continue to deliver outstanding value for our members,” Gent said.

Membership had grown for the third consecutive year to reach more than 871,000.

“In our unique position as both a not-for-profit Friendly Society and New Zealand’s largest health insurer, we are profit-conscious, not profit-driven. We take seriously our responsibility to address rising costs on behalf of our members, because the costs incurred from claims have a direct effect on the premiums they pay," Gent said.

The average pay-out ratio among the other health insurers in New Zealand was 67 cents in the dollar, he said. 

Astwick noted that one for-profit health insurer paid out just 60 cents in the dollar.

“If we applied that ratio to our premium income, we would have paid $315.5 million less in claims,” Astwick said.

While the society’s market share remained at 62%, it paid 73% of all health insurance claims in New Zealand.

Members elected Dr Martin Misur and Murray Jordan, and re-elected Julia Raue as directors.