Key takeaways
- Combined cover starts from around $90/month after government rebate for eligible singles
- You can avoid the Medicare Levy Surcharge (1% to 1.5%) by holding complying hospital cover
- Most funds offer 2-month waiting periods for accidents — pre-existing conditions are 12 months
Best health insurance providers in Australia
| Provider | Best for | Starting from (monthly) | Waiting period | |
|---|---|---|---|---|
| Medibank | Broad hospital network | From $130/mo | 2-12 months | See Results |
| Bupa | No-gap hospitals | From $125/mo | 2-12 months | See Results |
| HCF | Everyday value | From $108/mo | 2-12 months | See Results |
| NIB | Young adults | From $102/mo | 2-12 months | See Results |
| Australian Unity | Silver tier flexibility | From $118/mo | 2-12 months | See Results |
Top health insurance providers
Best for: Broad hospital network — Medibank
Medibank
From $130/month
Cover from
$130/month
Waiting periods
2-12 months
Cover type
Combined
Min. age
18 years
Best for: No-gap hospitals — Bupa
Bupa
From $125/month
Cover from
$125/month
Waiting periods
2-12 months
Cover type
Combined
Min. age
18 years
Best for: Everyday value — HCF
HCF
From $108/month
Cover from
$108/month
Waiting periods
2-12 months
Cover type
Combined
Min. age
18 years
Best for: Young adults — NIB
NIB
From $102/month
Cover from
$102/month
Waiting periods
2-12 months
Cover type
Combined
Min. age
16 years
Best for: Silver tier flexibility — Australian Unity
Australian Unity
From $118/month
Cover from
$118/month
Waiting periods
2-12 months
Cover type
Combined
Min. age
18 years
How to compare health insurance
Health insurance comparison involves more than finding the lowest headline premium. Use these criteria to identify the policy that genuinely matches your needs.
- Cover type: Decide whether you need hospital cover, extras or both. Hospital cover is required to avoid the MLS; extras provides rebates on out-of-hospital services. Combined policies bundle both.
- Hospital tier: Compare what clinical categories are included at each tier. Gold covers everything; Basic covers very little. Think about what procedures you might need in the next five years.
- Fund network: Check whether your preferred hospital and specialists are included in the fund's preferred provider network. Out-of-network treatment often results in higher gaps.
- Excess and co-payment: A higher excess lowers your monthly premium but increases your out-of-pocket cost on admission. Choose an excess you can afford to pay if you are hospitalised.
Hospital cover tiers explained
Basic
The minimum tier. Covers emergency ambulance and very limited accident procedures. Qualifies to remove the MLS liability. Excludes most elective procedures.
Bronze
Covers dental surgery, ear/nose/throat, gastrointestinal procedures and more. Excludes joint replacements and cardiac procedures. A step up from Basic at a modest premium increase.
Silver
Includes everything in Bronze plus joint replacements, back/neck/spine treatment and cataracts. A popular choice for Australians in their 40s and 50s.
Gold
The most comprehensive tier with no exclusions. Covers pregnancy, rehabilitation, weight loss surgery and all other clinical categories. Best for families and those planning ahead.
Extras cover: what's included
Extras cover reimburses a percentage of out-of-hospital healthcare costs up to an annual benefit limit. Services typically covered include:
General dental
Check-ups, cleans, X-rays, fillings and extractions. Usually has a 2-month waiting period.
Major dental
Crowns, bridges, root canals. Usually has a 12-month waiting period and higher annual limits.
Optical
Prescription glasses and contact lenses. Some funds offer zero waiting at entry level.
Physiotherapy
Treatment for musculoskeletal injuries and rehabilitation. Covered at most mid and top extras tiers.
Chiropractic / osteopathy
Manual therapy for back, neck and joint conditions. Available at mid-tier and above.
Psychology
Mental health consultations. Typically included only at top extras tier. Check annual limits carefully.
How the government rebate works
The Australian Government Rebate on private health insurance reduces the cost of your premium based on your income. The rebate is means-tested and applied to both hospital and extras cover.
| Income tier | Rebate rate |
|---|---|
| Under $93,000 | 24.608% |
| $93,001 to $108,000 | 16.405% |
| $108,001 to $144,000 | 8.202% |
| Over $144,000 | 0% |
Claim the rebate as a reduction on your ongoing premium (your fund applies it automatically after you nominate your income tier) or as a tax offset at tax time. Most members prefer the upfront reduction for better cashflow.
Switching health funds: what you need to know
You can switch health funds at any time without losing your waiting period history, provided you transfer to a comparable or lower level of cover.
- Waiting period continuity: Services already covered at your previous fund at the same or higher level do not require new waiting periods. Any waiting periods not yet completed at your old fund must be finished at the new fund.
- Requesting a transfer certificate: Ask your current fund for a transfer certificate before or after leaving. Your new fund will request this to confirm your existing waiting period status.
- No coverage gap: There is no maximum gap allowed between leaving one fund and joining another for waiting period continuity purposes, though it's best to switch without a break to avoid any potential gap coverage issues.
- Promotional offers: New member promotions such as waived waiting periods or the first two months free are worth comparing. These offers are subject to change and may have conditions.