Younger people are dropping private health insurance at a record rate, with almost 10,000 Australians having axed their cover in the last three months of last year.

Australian Prudential Regulation Authority figures show 44 per cent of people have some form of private hospital treatment insurance while about 9400 younger members, aged between 20 and 34, left their policies.

The share of members with hospital cover is now at its lowest level in 12 and a half years.

Private Healthcare Australia CEO Dr Rachel David tells Deborah Knight cover should still be worth it for young people.

“There is a perception that they’re paying more and getting less because there is this big bubble of an older population going through the system.

“Younger people do feel invincible… however it is a myth that younger people don’t suffer from unexpected health issues that take them to hospital.”

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Image: Getty/JohnnyGreig