NIB Holdings, the country's only listed health fund, hopes to significantly increase its number of policy holders by forming a strategic alliance with National Australia Bank by offering the bank's 3 million customers discounted private health insurance.
NIB, the fifth biggest health fund with a 7 per cent share of the $10 billion private health fund market, beat larger rivals to win NAB's business. NIB hopes to grow its 375,000 members by at least 5000 over the initial 15-month campaign. The NAB alliance marks a strategic move by NIB to enter the financial services sector.
While NAB has selected NIB as partner for its customers, the country's biggest health fund, the government-owned Medibank Private, has a corporate alliance with the bank to offer its 24,500 employees with private health insurance -- also at a discount. BUPA Australia, the second biggest health fund, has an alliance with ANZ and St George.
