Data on ownership of private medical insurance were collected from a fully national sample of over 1000 adults. Findings were compared with those of a study undertaken in 1981. Private medical insurance was owned by 40% of the sample, an increase from the 35% ownership in the earlier study. The increase has been predominantly amongst nonMaori New Zealanders and women have increased ownership more than men. Insurance ownership was most common amongst the middle age group (36-50 years) but it has increased significantly amongst the older groups. Greatest areas of growth in ownership were in Auckland and Wellington where proportionate ownership was 52% and 50% respectively. Medical insurance was employer provided amongst 15% of those with insurance, the same proportion as found in the earlier study. Employer subsidy to insurance was evident also. Major reasons to take out insurance were for primary care purposes, so as to overcome the cost barrier to general practitioner services. Other reasons mentioned included avoidance of waiting for treatment and increase in choice of specialist or hospital. Reasons for giving up insurance were cost of premium, disillusionment with benefits and disqualification through age or illness.
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