Do You Need Private Health Insurance
Australians earning over $93,000 singles or $186,000 couples pay the Medicare Levy Surcharge of 1-1.5% of income without hospital cover, meaning private insurance can actually be cheaper than the tax penalty.
Hospital vs Extras Cover
Hospital cover lets you choose your specialist and avoid public hospital waiting lists. Extras cover covers dental, optical, physiotherapy and natural therapies and only delivers value if you regularly use these services.
Lifetime Health Cover Loading
Australians who do not take out hospital cover before age 31 pay a 2% loading on premiums for each year over 30. Taking out basic hospital cover before 31 avoids this penalty permanently regardless of future income changes.