Turning 31 and considering hospital cover?
If you take out hospital cover after turning 31, you may need to pay a higher amount for your hospital insurance.
Why should I take out hospital cover before turning 31?
You have until 1 July following your 31st birthday to take out hospital cover to avoid Lifetime Health Cover (LHC) loading, an aged-based cost introduced by the Australian Government.
If you decide to take out hospital cover after turning 31, you'll get an additional 2% loading on your premiums for every year you didn't have cover.
How much extra will I have to pay?
If you take out hospital cover before July 1, following your 31st birthday, you won't have to pay any LHC loading.
If you take out hospital cover after this time, you will need to pay an 2% loading for every year you didn't have cover (capped at 70% for age 65).
This age based loading will be removed after 10 years of continuous cover. To determine your individual loading, use the Lifetime Health Cover Calculator.
Benefits of private hospital cover
With private hospital cover, you have the option of being treated as a private patient, often within a private hospital.
Hospital cover gives you the option to choose your own doctor or specialist. You might also reduce hospital wait times by having the choice to receive your treatment as a private patient.
Earn over $90k as a single or $180k as a couple? Did you know that getting hospital cover may save you money at tax time? Learn more
New to health insurance?
We understand that looking to get health insurance for the first time can be a overwhelming. That’s why we’ve put together our four step guide to help you get started.
Your questions answered
When you’re admitted to hospital, your private health insurance will pay benefits towards your in-hospital treatment and admission costs. There are different levels of cover, so it’s important to know your budget and what services you are looking to claim on. The level of the cover you choose will determine what you are covered for.
For extras insurance, the benefit amount paid towards a treatment will often depend on your level of cover, so will how many different treatments you can claim. Your level of cover will also usually determine the benefit amount available each year. This benefit amount will determine your out-of-pocket expenses, and this can vary between insurers. It’s a requirement that the health provider you choose to see is registered in their field for benefits to be paid.
There are varying annual limits and waiting periods applied to each service, so always read the product disclosure statement to understand what you’re entitled to claim and when.
GMHBA is an Australian not for profit health insurance and care company. We have served the community since 1934, and with over 85 years’ experience, we have become one of Australia’s leading regionally based private health insurers.
Through our personalised approach and exceptional customer service, we put the health and wellbeing of our members and communities first. Our approach is guided by our philosophy, Healthier Together our decisions are made with our members first and foremost in mind.
The cost of your private health insurance is dependent on the type of cover you decide to go with and whether you are eligible for any rebates or loadings. Health insurance is an ongoing cost, and you can decide the frequency you pay your premiums (weekly, monthly, or annually).
Introduced by the Australian Government, Lifetime Health Cover (LHC) loading is a 2% loading on your private hospital cover premiums for every year you do not have hospital cover since turning 30. Find out more