Medicare Teen Dental Plan
With Medicare not providing much help with dental care for most people, many families struggle to afford dental cover. This can be worrying for parents, as it may mean that youngsters struggle to maintain good oral health later on as they have not got into the habit. The Australian government has recognised this concern, and introduced the Medicare ...
Commonwealth Seniors Health Card
As you get older, you may worry about how you will be able to carry on funding your health care. For many seniors, your health needs may be changing at a time when your income is decreasing. If you already have private health insurance, you may worry about how to afford to maintain enough cover for your needs. If you don’t already have health insur ...
Health Cover for a Disability
Health insurance provides security for times when one is unable to work and support one’s basic needs. Health insurance packages vary, though. This is why it is very important to always perform a health insurance comparison prior to obtaining a policy. Disability Benefits under Private Health Insurance No disability coverage is as varied as the one ...
Private Health Fund Problems? Contact the Ombudsman!
If you’re experiencing problems with your private health fund, you may feel you have exhausted all your options. You’ve talked to representatives of the private health fund, gathered and produced necessary documents to state your case, and still feel that your questions are unanswered or that your problem is unresolved. The good news is, there’s a ...
Feeling Tired All the Time? What Your Health Insurance Covers
Are you feeling tired a lot or struggling with other worrying health issues? You’ll want to get it looked into. Many people are reluctant to consult their doctor out of fear for what it may cost. You may be aware that Medicare will cover GP consultations, but what happens beyond that? If your tiredness symptoms need further investigation, you’ll wa ...
What Medications Does Health Insurance Cover?
Australians can get cheaper medications through Medicare, courtesy of the Pharmaceutical Benefits Scheme (PBS). The PBS covers a lot of medicines, but not all. Fortunately, health insurance extras may cover non-PBS medicines. Here are some things to consider if you are not sure how medicines are covered by your health insurance. What is the Pharmac ...
Hospital Cover: Health Insurance for Inpatients vs Outpatients
If you’re not familiar with the ins and outs of hospital cover, you might assume that it doesn’t matter whether you’re in hospital as an in-patient or as an out-patient. Private hospital insurance normally covers you as an inpatient only, so anything beyond that may not be covered. Read your private health insurance policy for the full details. Wit ...
Compare Health Insurance for the Whole Family
When you’re looking to compare private health insurance for the whole family, it may often be the case that a Family policy may provide the best value for money. Within this, there will be things to think about when you’re looking to compare private health cover that will benefit everyone. How long can children remain on a family policy? For most, ...
Will Private Health Insurance Cover Everything?
When you do a simple health insurance comparison between public (Medicare) and private health insurance, it’s easy to see how the latter can supplement the former in terms of coverage. Private health insurance encompasses the benefits provided by the Medicare system, but can offer more as well. Of course, there’s no such thing as an insurance that ...
Private Health Insurance Comparison for Beginners
Through policies like the Private Health Insurance Rebate and Lifetime Health Cover, the Australian government has made private health insurance both an advantageous and appealing option. Doing a comparison of the various products offered by private health funds is the typical way to find a suitable policy for your needs. There are of course a coup ...
Sports Injuries and your Health Insurance
Millions of people take part in sports related activities on a daily basis. Unfortunately, some of these people get hurt from time to time. No matter what type of sport you are playing, there is always a chance of injury. However, this alone is no reason to stay away. After all, sports can be a lot of fun.
If you have strong private health insurance coverage, you may not have as much to worry about in the event of an injury, as some costs may be paid by your health fund. That being said, there are still a few details here and there that you should keep in mind. You may think that all sports related injuries are covered by Medicare or by your private health fund, but this is not always the case.
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Know what is covered
As with any type of insurance, you need to know what is and is not covered by your policy. If you don’t know the answer to this question, contact your insurer for a detailed explanation. Although many types of injury and treatment will be covered, it is better to be safe than sorry. When it comes to your health insurance policy, knowledge is power.
Don’t Lie or Leave Anything Out
If you were injured playing sports, you need to be open and honest about it with any doctor or medical facility that you visit. If you stretch the truth, your diagnosis and treatment may be less effective based on incorrect or incomplete information about how your injury occurred. Tell your doctor what happened and deal with the insurance ramifications at a later date. Remember, the most important thing is that you get the help necessary to ensure your long term health.
Pre-existing Sports Injuries
When you apply for health insurance, you need to make your insurer aware of any preexisting conditions. And yes, this includes those that could be related to sporting injuries. Again, this is an area in which you have to be 100 percent honest. If you have a preexisting condition it is important that this is noted in your policy. Neglecting to do so could lead to your health insurance claim being denied should you need treatment for the same (or related) conditions in the future.
Medicare provides some essential treatments for accidental injury. However, there may be other insurance features and points of coverage available through private health funds. If you play sports, there is a good chance that you may need to receive medical attention for a sports related injury at some point in time. If you have health insurance that covers the types of sports injuries you’re most likely to experience, this offers some peace of mind, not to mention the fact that it will be more affordable then paying the costs yourself at short notice.
There is no denying your responsibility to yourself – how much do you know about your health insurance cover for sporting injuries?. Of course, this is something you may want to check on with your insurer to learn more about the finer details. Playing sports is fun and exciting, but getting injured can put a damper on your good time. As long as you have adequate health insurance cover for sports injury care, you may find this financial help with the costs of treatment very useful.
5 Simple Things that May Lower Your Health Insurance Costs
The federal government manages the country’s health insurance system, but you still have to accept that there will tend to be annual rate increases. Making a private health insurance comparison is a good approach to see if you can find a cost-effective policy that suits your needs. To make a fair comparison, however, you need to be familiar with certain aspects that have a direct effect on premiums and other costs. Presented here are five things that may lower your health insurance costs:
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1. Excess and co-payment
These two are common mechanisms that may help you to lower your private health insurance premiums. An excess is a particular amount you agree to pay out of your own pocket for hospital expenses before the actual insurance benefit kicks in. This is why this is also sometimes called a front-end deductible. A co-payment is similar in that it is also an amount you agree to pay on your own. But this is usually a partial cost of a particular hospital service, like accommodation for example. Excesses and co-pays feature in hospital insurance policies and the usual pattern is that premiums become lower as excess or co-payment amounts become higher.
2. Method of payment and rate protection
As you compare private health insurance products from various service providers, you might come across some lower prices offered based on how you pay your premium. Some insurers for example may offer lower premiums if you decide to pay through a salary deduction scheme, an automatic debit from a bank account, or even just a simple advance payment of several months’ premium.
If you can manage it, paying for a whole year in advance may make you eligible for health insurance rate protection. If health insurance rates increase within a year, those who still aren’t fully paid may be burdened with the resulting balance or have their coverage periods reduced. With rate protection you don’t have to worry about such events, at least within the year of coverage you’ve already paid for in advance.
3. Private Health Insurance Rebate
Even as you compare health cover from various health funds, the federal government has already instituted a way for you to reclaim part of your insurance costs. Started in January 1999, the Private Health Insurance Rebate means that you can get back 30 cents of every dollar you spend on private health insurance. 30% is the set percentage for those under 65 years of age. Those who are 65 to 69 years old can get back 35%, and those who are 70 and above are entitled to 40%. There are several ways you can receive this rebate. You can claim direct payment from a Medicare office, request your insurer to subtract it from your premium, or get it when you accomplish your tax return.
4. Lifetime Health Cover
This is another relevant federal regulation, that prompts rather than rewards. According to the Lifetime Health Cover rule, you will have to pay an additional 2% on your premium for every year that you didn’t have hospital cover above the age of 30. So someone who just got private health insurance at 34, for example, is going to pay 8% more than someone who bought the same type of policy at age 30. The message here is clear – get hospital cover early if you want to reduce health insurance costs in the long run. Take note that the date it kicks in is the 1st of July after you turn 31.
5. Exclusions and restrictions
These refer to particular treatments or conditions that are either completely outside your policy’s coverage (excluded) or can only receive limited benefits (restricted). Policies may come with default exclusions and/or restrictions, but it’s also possible to actually negotiate or agree to such provisions in order to reduce your premium. Take note that this can be a risky approach compared to simply opting for more excess or co-payments, as you’ll actually be removing coverage and not just simply reducing the payable benefits.
Health Insurance and Lifetime Health Cover
If the only thing that you dread more than the prospect of being hospitalised is the idea of private health insurance comparison, you’re not alone. While we can all agree that health insurance cover may be a valuable investment should we ever be in need of extensive medical treatment, it’s nevertheless an expensive investment to make.
However, putting off purchasing hospital insurance can make securing private health insurance even more expensive. The government’s Lifetime Health Cover initiative rewards you for taking out hospital insurance earlier in life, and adds a financial loading charge should you procrastinate.
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The Lifetime Health Cover Initiative
Lifetime Health Cover (LHC) is an Australian Federal Government initiative that began in 2000 as a way to reward citizens for taking out hospital insurance at a younger age, and for maintaining their hospital cover throughout their lifetime.
Australians who purchase hospital cover before they turn 31 pay the lowest premiums, while those who wait until after age 31 will pay a higher premium, one that grows the longer you delay coverage.
Avoid the LHC Loading
The only way to avoid paying some amount of LHC loading is to purchase hospital cover by the 1st July following your 31st birthday. Those who wait until after this date to purchase hospital insurance may be required to pay the LHC loading fee.
LHC loading fees can add up the longer you delay purchasing hospital cover. The loading starts at 2% for each year you are over 30. A citizen who waits until age 40 to purchase cover could end up paying an extra 20% for his hospital cover. Wait until age 50, and you could be stuck paying 40% more for your cover. The maximum loading is 70%. Those born before 1934 are exempt from LHC loading.
If unforeseen circumstances such as unemployment or an overseas move make it impossible or illogical for you to pay for your hospital cover, you need not fear being bumped up to LHC loading when you resume payment for your cover. The government allows you to suspend hospital cover for a total of three years (or 1,094 days) during your lifetime without affecting your Lifetime Health Cover loading status. However, If you drop your hospital cover for longer than the three years or 1,094 days, you will most likely incur an LHC loading when you purchase hospital cover again.
In certain circumstances, the 1,094 day period can be extended. For instance, if you’ve lived out of the country continuously for more than 12 months and have made visits back home of less than 90 consecutive days at a time, or if your health fund has agreed to a period of suspension, such as during a time of unemployment or inability to work, you may not be assessed an LHC loading when you pick up hospital cover again.
New to Australia?
Those over age 31 who are migrating to Australia need to obtain hospital cover within 12 months of registering for Medicare benefits, or risk incurring loading charges. Delay purchasing cover more than 12 months, and you will pay 2% more for each year you are over age 30 when you do purchase your hospital cover.
Reap the Rewards of Continuous Cover
Even if you do put off purchasing your hospital cover so long that you are forced to pay LHC loading, there is good news. Any LHC loading assessed to your hospital cover premium will be removed after you have continuously had cover for 10 years. If you have breaks in your hospital cover after the loading has been removed, you may become liable to pay a LHC loading again in the future.
Private Health Insurance Rebate Basics
Choosing a private health insurance plan can be complex and there are many things to consider. For most people, the major consideration may be cost, which means that understanding exactly how much you’ll pay for coverage is extremely important. When looking at premiums and deciding on a policy, you need to know what money saving ideas you can put into action so you truly understand what you’ll be paying.
Luckily, there are many ways to lower private health insurance costs, and one of the simplest is the Private Health Insurance Rebate.
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Private Health Insurance Rebate Basics
In 1999, the government introduced the Private Health Insurance Rebate (also known as the Federal Government 30% Rebate). With this rebate, for every dollar you pay for your private health insurance premium, the government will give you back at least 30% as a rebate. The rebate increases as you get older. People age 65 to 69 may receive a 35% rebate and people age 70 and over may receive a 40% rebate.
The rebate is not based on income, so anyone who pays private health fund premiums for a complying health insurance policy to a registered health fund can receive the rebate. If you pay the cost of the premiums and are the policyholder, you are eligible, even if the policy doesn’t cover you. For example, if you have a policy for your children, you can receive the rebate. If your employer pays your premium on your behalf, you are still eligible for the rebate.
How to Claim the Rebate
Claiming the Federal Government 30% Rebate is simple and straightforward. No matter how you pay your premiums —monthly or yearly, in instalments or in advance— there are 3 ways to claim this rebate.
1. Premium Reduction
You can reduce the upfront cost of your premium by asking your fund to provide the rebate as a premium reduction. This is helpful for those on a tight budget who need to keep costs low and level. To claim the rebate in this way, you’ll need to register with your health fund to do so.
2. Cash Payment
You can also claim the Federal Government 30% Rebate as a cash payment from the government when you have paid the full, upfront cost. You can do this at your local Medicare office or by lodging the claim form by post. The claim form is available at Medicare offices and on the Medicare website. You will also need to attach a special receipt from your registered health fund.
3. Tax Return
You can also choose to claim your 30% Rebate on your annual income tax return if you have paid the full, upfront cost. You will receive a statement from your health fund at the end of the financial year to assist you in completing your tax return.
What It All Means
Obviously, a rebate of any kind is helpful, and a rebate of 30% or more can be a great benefit when it comes to paying for your health insurance policy. The Private Health Insurance Rebate is definitely something to bear in mind as you compare health insurance and consider how much you can spend. For example, let’s say you are looking at a policy with a premium of $300 a month. If you claim the rebate as a premium reduction, you will only pay $210 a month. That’s a substantial saving.
The Private Health Insurance Rebate is a help to Australians who want private health insurance but don’t want to spend an outrageous amount to get it. Whether you are just beginning your search for a policy or have had one for a while, make sure you understand and take advantage of this helpful and important rebate.
Are You Making the Most of Government Private Health Insurance Initiatives?
It’s no secret that private health insurance may be expensive. Regardless of whether you are purchasing a comprehensive policy in addition to your Medicare coverage, or just want hospital cover or ancillary cover, the bottom line is that purchasing private health insurance is going to cost you money.
However, there are government programs that may help you reduce the overall cost of your private health insurance. The Private Health Insurance Rebate is available to all Australian citizens, regardless of your age, income level, or whether your employer has paid your health insurance premiums for you. Additionally, other schemes to encourage taking out private health insurance cover may save you money over time.
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How To Get The Private Health Insurance Rebate
The easiest way to save money on your private health insurance is by taking advantage of the government-sponsored Private Health Insurance Rebate. You can get your Rebate in one of three ways:
- By asking your registered health fund to give you your Rebate as a premium reduction
- By contacting your local Medicare office to receive your Rebate as a direct payment from the Government.
- By using a statement provided by your health fund at the end of the year to claim your Rebate on your tax return.
Again, even if your employer has paid for your health cover as part of a benefits package, you are still entitled to the Private Health Insurance Rebate, and can claim it in either of the three ways listed above.
How Much Private Health Insurance Rebate Will You Get?
The amount of the Rebate you are eligible for will depend upon your age. The government Private Health Insurance Rebate schedule in 2011 entitles you to:
- a 30% Rebate if you are under 65,
- a 35% Rebate if you are aged 65-69,
- a 40% Rebate if you are 70 or over.
Other Ways to Save on Private Health Insurance
You can save even more on hospital cover by taking out a policy prior to your 31st birthday. Lifetime Health Cover (LHC), a Government initiative intended to reward people for taking out and maintaining hospital cover earlier in life, can save you money as long as you take out cover before your 31st birthday. After your 31st birthday, you’ll pay the 2% loading the Government assesses on top of your premium for every year you are over age 30.
Keeping the premiums paid for your private health insurance is encouraged, as well; even if you wait until after your 31st birthday to obtain cover, after you have paid the LHC loading on your cover for 10 years continuously, you are no longer responsible for the loading as long as you retain the hospital cover.
Although private health insurance cover may be expensive, taking advantage of Government programs that encourage purchasing cover may reduce the cost of your private health insurance, both initially and over time.