Affordability is a concern that we often hear when it comes to choosing to take out and maintain private health insurance. Here’s a few ways that you can save on your private hospital cover now and possibly reduce your costs in the future.

1. Take advantage of government incentives

In addition to the LHC loading, the Australian Government have implemented the following initiatives to help make private health insurance more affordable.

  • Private Health Insurance Rebate – depending on your age and income, the Australian Government will pay up to 33% of your premiums.
  • Medicare Levy Surcharge (MLS) – if you earn over $90,000 as a single or $180,000 as a couple of family annually and don’t have private hospital cover, you will be required to pay the MLS. It doesn’t cost much more to invest that money in your wellbeing with Phoenix Health Bronze Hospital cover.
  • Age-based Discount – members aged 25-30 can now access up to a 10% discount when they take out hospital cover. For example, if you join at 25 you can save 10% on your hospital cover, join at 26, 8% and so forth.

2. Get hospital cover before turning 31

The Lifetime Health Cover (LHC) loading was introduced by the Australian Government to encourage people to take out and keep their hospital cover. For each year after you turn 31 that you wait to get hospital cover, you’ll need to pay a 2% loading on your premium when you do, for 10 years.

3. Consider increasing your hospital excess

An excess is the amount you pay towards your admission, should you go to hospital and is payable once per person, per calendar year. To reduce the cost of your premium without compromising your level of cover, select a higher excess option.

For example, choosing a $750 excess over a $250 excess could save your family over $400 a year.*

4. Review your cover as your needs change

As our lives change, so do our health needs and you may be paying for things you no longer need and not covered for things you do. For example, as your family gets grows up, perhaps you no longer need pregnancy but might want cover for orthodontics?

Let us do the work for you!

Want to know if your level of cover is still the best fit for you and your family? Or would you like to know what excess options are available on your level of cover, or check your rebate tier? Like any insurance, it’s good to check-in from time-to-time to ensure your cover is still working as hard for you as it can be. Call the Phoenix Health Team on 1800 028 817 or email us, we’re here to help.


*Based on Family Silver Everyday Hospital cover in NSW without rebate or loadings. Effective 1 November 2020.