The $250 billion healthcare system will be overwhelmed by a four-fold increase in the number of people turning 80 and put extraordinary financial pressures on younger taxpayers, patients and the industry, the chief executive of health insurance and wellbeing company Australian Unity has warned.

Rohan Mead said unless there was an urgent redesign of the healthcare system to better manage ageing diseases through technology and a broader range of allied health professionals, throwing more money at the demographic time bomb would not fix the problem.