Health Insurance in Australia
There is a universal healthcare system in existence providing some basic healthcare to all by the Government of Australia. This public health system in Australia is known as Medicare. It ensures that all citizens have access to low cost as well as free medical, hospital and optometrical care while being free to select private health services and in some special cases allied health services. The private health insurance is limited to only those services which are not covered by Medicare or to various services provided in private hospitals. Medicare Australia administers Medicare enrolment as well as medical benefit payments through its information claiming services and network of its offices.
There are a large number of private companies in Australia into the business of health insurance, of which some of them work for profit while others operate on non profit basis out of the health insurance fund created from its participating members. Majority of the companies have open membership, but some of them also have restricted membership. The private health system operates on the basis of “community rating” in which premium is not based solely upon individual’s previous medical history, age and current state of health. Balancing this is waiting period especially for pre existing medical conditions. Private health insurance cover is usually divided into general treatment cover, hospital cover, ambulance cover and extra cover. Many insurance companies provide combined covers such as ambulance cover and hospital cover, or hospital cover and extra cover or a comprehensive cover for all kinds of medical conditions.
The Australian government has introduced a number of incentives to encourage adults to take up private hospital insurance. These include lifetime health cover, medical levy surcharge and private health insurance rebate. Before choosing a particular company, you must compare the premium and the range of health care being offered by various insurance companies.