最初于1976年，Medibank成立为非私人健康保险公司，也是一家法定的权力机构，成为全国第二大基金。 2014年3月，澳大利亚政府宣布计划将Medibank按照市场条件进行私有化，解决方案活动也将融入健康保险业务（Aulich and Wettenhall，2008）。澳大利亚政府将Medibank私有化的原因是为了降低管理费用，并考虑扩大新的业务领域，同时降低整个业务的平均成本（Aulich and Wettenhall，2008）。
Initially in the year 1976, Medibank was established as a not-for-private health insurance company which was also a statutory authority company as it had become the second largest fund in the country as well. In March 2014, the Australian Government announced plans to privatize Medibank subject to market conditions and the solution activities also getting integrated into the health insurance business (Aulich and Wettenhall, 2008). The reason why Medibank was privatized by the Australian government was to deliver lower management expenses and also to look into expansion into the new business areas along with lowering its average costs across the business (Aulich and Wettenhall, 2008).
There was a lot of opposition regarding the sale of shares of Medibank Private as it could raise premiums as well in the market and also the legal advice had to be worked out as per the financial theory. Public finance also had to be guided as per the immediate budget impact and projections so that calculation can be done for coordinating with budget impact and projections. National competition policy and its intervention in this case has also been a strong regulatory mechanism so that the benefit of health insurance premium can be increased accordingly (Aulich and Wettenhall, 2008). Even before the law could accept the same that is regarding the privatization but Medibank saw that it was more of a significant public disagreement as the disinvestment could not be managed properly.
The Prime Minister, Treasurer, Health Minister and Finance Minister supported the cause of starting a privatized version of Medibank yet there were some members in the government’s wing who could argue and were determined to sell the brand in a trade sale. Creating a float could have been a very good option for the government yet the ongoing membership of the people along with international investors made things quite different and hence provided a guard against the unleashing of Medibank Private (McAuley, 2013).