Choosing private health insurance starts with understanding the types of cover available. Most policies fall into one of three categories: hospital cover, extras cover, or a combination of both. The right policy for you will depend on your life stage, health needs and budget.
Hospital cover
Hospital cover helps pay for treatment in a hospital setting. It can cover accommodation, theatre fees, intensive care, and doctors’ fees when you’re admitted as a private patient. This kind of cover also lets you choose your doctor and often means shorter waiting times to see specialists and for non-urgent care.
Policies are tiered into four standard levels: Gold, Silver, Bronze and Basic. Each tier covers a set list of treatments, which helps you compare products and find the one that suits your needs more easily. (Link to: Deciphering health insurance tiers)
Extras cover
Extras, or general treatment cover, helps with the cost of services you receive outside hospital. This includes things like dental, optical, physio and chiro. Medicare doesn’t usually cover these services, so extras can help you manage day-to-day health expenses.
Benefits and limits vary between funds and policies. Some offer a fixed amount per service, while others let you claim a percentage of the cost. It’s important to compare what’s included and think about which services you’re most likely to use.
Combined cover
Combined policies include both hospital and extras cover, in one package. They’re useful if you want peace of mind for major health events as well as support for routine care.
Choosing what’s right for you
Think about what matters most to you. Are you planning a hospital stay? Do you regularly see a physio or dentist? Are you just after basic peace of mind, or more comprehensive protection? Do you need to avoid Lifetime Health Cover Loading by signing up to Private Health Cover before you turn 31?
A Members Health Fund can help you understand your options and choose a policy that suits your health, your budget and your life.
(Link to: Ambulance cover)
(Link to: Deciphering health insurance tiers)
(Link to: The impact of age on health insurance.)