Private health insurance is becoming very complex with the higher costs of premiums and
surplus and the broad range of options and benefits, plus regulations on levies and discounts.
But we’re tackling uncertainty to show you the benefits and drawbacks of signing up to an
Australian scheme.

Pros

Personal space for the patient

Private health insurance benefits include the provision of a private space (but are typically
subject to availability). In a public hospital you also have to share the space with six other
persons with varying conditions if you are treated as a public patient. You will be provided your
own space where the child’s father or partner can stay with you if you expect a baby and are
born at a private hospital.

Choose your physician or specialist

You may choose your own physician or surgeon (usually subject to availability) in most private
health insurance plans. In most cases, you are told whoever the doctor is on the turn, as if you
were going through the public system. You will have the same physician during the pre- and
postoperative procedures in private.

Discount on private insurers

Couples and others qualifying for Medicare can also receive a government-funded discount on
their health insurance costs. You earn a discount of 20-25% of the price of your coverage in
most cases. The discount is the tested income, so the discount is subject to your annual
revenues.

Cons

The price

There are several reasons why people believe that private health insurance is not the cheapest.
The monthly cost of basic health insurance (sometimes referred to as Bronze) for one woman
aged 25 is about $89. You will also pay $750 per admission out of your pocket. The more
people and people you rely on, the more expensively the strategy is. There are also various
types of cover with typically more costly silver and gold types.

Waiting Period

This does not mean you are necessarily protected when you sign on a dotted line in your
contract. Many health insurers extend waiting times before the health insurance benefits are
accepted. Depending on practice, form of cover and health plan, the regular waiting period for
the health benefits.

Emergency of life or death

You won’t always have a choice as to who performs the operation if you have been admitted in
a life or death emergency while the ambulance is under cover. When you are rushing into
surgery, the doctor who operates on you may most of the time be who you call or who operates.

annual review process. It can be especially effective to shop for your auto insurance policy once
a year, when growing numbers of insurers use competitive pricing and analyze their customer
behavior when setting rates.