Dec 11 (Reuters) – Australia’s Federal Court has ordered Bupa to pay A$35 million ($23.34 million) in penalties for misleading clients about benefits covered by their health insurance, the competition regulator said on Thursday.
The court ruled that from May 2018 to August 2023, Bupa HI Pty misled members by stating they were not entitled to benefits even though their policies covered those treatments.
The court also found that between June 2020 and February 2021, the country’s second-largest private health insurer wrongly rejected entire claims in cases where only part of the treatment was excluded under the policy.
“Some of Bupa’s members decided to cancel, delay or forego necessary treatment, resulting in potential medical risks or complications, because they were incorrectly told they were not entitled to health insurance benefits,” Australian Competition and Consumer Commission’s deputy chair, Catriona Lowe, said.
In a separate statement, Bupa said it acknowledges the court’s orders in response to breaches of the Australian Consumer Law.
Bupa Australia has already compensated almost all impacted customers and, as of November 5, 2025, has paid back a total of A$14.3 million, it said.
The court also issued an injunction barring Bupa from engaging in the unlawful conduct for five years.
($1 = 1.4997 Australian dollars)
(Reporting by Sneha Kumar in Bengaluru; Editing by Rashmi Aich)
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