Overseas Student Health Cover
If youre in Australia on a temporary visa, you should consider buying insurance to cover the costs of medical treatment. Find out more about health cover for overseas visitors and overseas students.
International students who havent been able to return to Australia due to COVID-19 should contact their private health insurer to find out about options for extending, or suspending, their cover.;Some may offer a period of suspension, but they are not required to do so.
Read our collection of resources for international students.
A collection of resources about overseas student health cover for the general public and private health insurers.
Who Can Get It
If you or your family pay private health insurance premiums, you may be eligible for the Australian Government Rebate.
Most people with private health insurance can claim the rebate as an upfront reduction on their private health insurance premium. We pay the rebate to your insurer and the insurer reduces your premium.
If you dont claim the rebate as a reduction to your premium you can claim it through your tax return. You may be able to claim it as a tax offset in your annual income tax return.
You may get a reduced premium if your health insurance policy covers either or both:
- general treatment – also known as ancillary or extras.
You must be eligible for Medicare and the policy must cover you to get the rebate. You must also meet the income thresholds.
Reduces The Amount You Have To Pay For Health Insurance
To encourage more people to take out private health insurance, the Australian Government provides a rebate to make health insurance more affordable. ;The rebate amount is based on the age of the oldest person covered by the policy and by your annual earnings .
The table shows the current level of rebate available for different age and income levels.
|Rebate – 1 April 2021 to 31 March 2022|
|< age 65|
Families include single parents and couples, whether married or de facto. For families with children, the thresholds increase by $1,500 for each child after the first. The Rebate is adjusted annually on 1 April, but the government has fixed the income thresholds until 30 June 2023. Age relates to the oldest person covered by the policy.
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Private Health Insurance Rebate
The Australian Government;private health insurance rebate reduces your insurance premiums, making private health insurance more affordable. It is income tested and your rebate percentage entitlement is reduced as your income increases, as shown in the following table:
|Tier||Income for Medicare levy surcharge purposes||Age less than 65|
|Singles up to $90,000; Couples/Families up to $180,000||24.608%|
|Singles $90,001 – 105,000; Couples/Families $180,001 – 210,000||16.405%|
|Singles $105,001 – 140,000; Couples/Families $210,001 – 280,000||8.202%|
|Singles more than $140,000; Couples/Families more than $280,000||0%||0%|
Note:Single parents are subject to family tiers. For families with dependent children, the income thresholds increase by $1,500 for each child after the first child.
What Is The Australian Government Rebate On Private Health Insurance
The Australian Government Rebate on private health insurance is a way to help offset the cost of private health insurance premiums for policyholders. The rebate is income tested and applies to hospital, extras and ambulance policies.
Its recognition by the government that consumers who invest in private health insurance are taking responsibility for their own healthcare needs, while also contributing significantly to the Australian healthcare system.
It also recognises the fact that private healthcare users take pressure off the public system, especially with respect to public hospitals.
The rebate is income tested. Depending on income thresholds, you may be entitled to a reduced rebate. Different thresholds apply depending on whether you have a single income or a family income. Your entitlement is also based on the age of the oldest person covered by the policy.
The rebate thresholds applicable from 1 April 2021 to 31 March 2022* are:
Australian government rebate on private health insurance Income Thresholds and rates
Single parents and couples are subject to family tiers. For families with children, the thresholds are increased by $1,500 for each child after the first.;
*The income thresholds above are indexed and will remain the same to 30 June 2023.;
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Government Rebate On Private Health Insurance
The Australian Government rebate helps to make private health insurance more affordable by reducing the amount you need to pay for your health insurance premiums. The rebate is income-tested and applies to both hospital and extras cover, so even if youve got an extras only policy, you can still save money.
How does the rebate work?
If youre single and earning $140,000 or less, or a couple or family earning $280,000 or less, you may be eligible to receive a rebate on your private health insurance.
The Australian Government sets the rebate levels.
The following table shows the levels as they apply from 1 April 2021.
Singles: Rebate by Age
Couples & Families: Rebate by Age
Single parents and couples are subject to family tiers. If you have dependent children, your income threshold for the rebate increases by $1500 for each child after the first. To determine whether your child is a dependent for tax purposes or if you want more information about the rebate, please contact your registered tax agent or visit the ATO website.
How do you receive your rebate?
If you qualify for the rebate, you can choose to claim it either
- through a reduced health insurance premium
- through your tax return with the ATO
To use the rebate to reduce your health cover premiums, you need to let your health fund know your income tier . Australian Unity members can nominate their tier by completing a Rebate Application Form Online.
Are you covered?
What Happens If You Nominate The Wrong Tier
When you claim your rebate, youll be asked to nominate your estimated income tier for the financial year. If you earn less at the end of the financial year than the tier you nominated, youll get a tax offset with your tax return.
If you make more at the end of the year than your chosen tier, youll have to refund the amount that you incorrectly received through the rebate with your tax return. There are no other consequences for incorrect estimates.
Which Private Health Insurances Are Eligible For Rebate
To claim the private health insurance rebate, regardless of your residency status in Australia, you must:
- have a complying health insurance policy with an Australian-registered health insurer
- be eligible for Medicare
- be a private health insurance incentive beneficiary
- have an income for surcharge purposes of $140,000 or less as a single, or $280,000 or less as a family.
Whats Next With Your Health Insurance Rebate
If you want to take advantage of the Australian Government health insurance rebate, establishing your income tier and finding the best cover for your health needs is the first step.
With our online comparison tool you can compare a range of hospital, extras, ambulance or combined cover from health insurance providers.
During the process of selecting your chosen health cover, decide on how you want to claim your rebate. Would you prefer to pay reduce premiums or include it as a tax office in your end of financial year return?
Claiming your health insurance rebate couldnât be any easier!
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Lifetime Health Cover Loading
The premiums shown in this table are based on rates applying to those having existing hospital cover with a certified age of entry of 30 or, who join hospital insurance by June 30 following their 31st birthday. If neither of these apply, contact us for the LHC premiums that apply to you.
What Rebate am I eligible for if I pay a LHC Loading?
If you are subject to a LHC Loading, the rebate only applies to the base premium and not to the LHC loading component of your premium.
For more information on on the rebate, including how to claim at tax time, please visit ato.gov.au
Public Hospital Outpatient Clinics
If you are treated in a hospital outpatient clinic, this does not mean you have been admitted to hospital.
If you are treated as a public patient in a public hospital outpatient clinic you wont pay anything.
If you have a private referral to see a doctor in a public hospital outpatient clinic and the treatment is on the MBS, you can claim a Medicare benefit.
Medicare pays 75% of the MBS fee for;services on the MBS that you receive as a private patient in a public or private hospital.
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Are You Eligible For The Private Health Insurance Rebate
To qualify for the private health insurance rebate, you need to meet a number of conditions. This includes having a taxable income of less than $140,000 as a single, or $280,000 as a family .
Additionally, you must be an Australian citizen or permanent resident and have a Medicare card. Finally, you must have a complying health insurance policy with an Australian-registered health insurer.
Who Is Eligible To Take Out Oshc
As an overseas student on a temporary student visa, it is a condition of your visa to maintain an OSHC insurance for the duration of your visa. This includes the student and their family members such as, spouses and children under 18 years old.For the purposes of OSHC, overseas student means:
- a person who is the holder of a student visa; or
- a person who:
- is an applicant for a student visa; and
- is the holder of a bridging visa; and
- was immediately before being granted the bridging visa, the holder of a student visa.
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What Rebate Are You Eligible For
Whether you can claim the Private Health Insurance Rebate depends on how much your taxable income is each financial year. If youre single with a taxable income under $90,000 a year, or a family under $180,000 a year, you fall under the base tier category and qualify for the full rebate.
If you have a taxable income over $90,000, but up to $140,000 a year as a single, or over $190,000 but under $280,000 as a family – you will fall under tier 1 or 2 and qualify for a reduced rebate rate. Your rebate, whether full or reduced, will also depend on your age. For example, the older you are the more rebate you receive.The rebate levels applicable from 1 April 2019 to 31 March 2021.
Single parents;and couples are subject to family tiers. For families with children, the thresholds are increased by $1,500 for each child after the first. If youre a single parent family or a couple , youll be treated as a family for Private Health Insurance Rebate purposes.
What Is Private Health Insurance Rebate
In order to encourage Australians to take out private health insurance, most people receive a rebate on their premiums from the government. This rebate is income tested, which means your eligibility to receive it depends on your income. If you have a higher income, your rebate entitlement may be reduced, or you may not be entitled to any rebate at all. Broadly, the more you earn, the lower the rebate.
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Q: If I Get A Rebate How Should I View My Health Insurance Plan
A: There is no right or easy answer to this question.What we know for a fact is that plans that issue rebates spent less than they expected to spend on health care in 2012, which is why theyre issuing refunds.You could look at that as poor management, but you could just as easily view it as good luck, or better than expected health outcomes. The reality is that so many factors go into the pricing of health insurance plans and the payment for health care services, that its very difficult to place a ton of weight on the value of a rebate as it relates to the value of your insurance plan.What we would encourage you to do, whether you receive a rebate or not, is consider whether or not your health insurance plan still meets your needs and budget. If the answer is no, shop around.
Q: Why Are Health Insurers Starting To Send These Rebates To Some Of Their Customers
A: Health care reform required health insurers to limit what they spend from the monthly premiums they collect from policyholders on overhead.The law requires 80-85 cents of every dollar an insurer brings in through member premiums, be paid to cover medical expenses for the plans members.The difference between the insurer payments for medical expenses and the total incoming premiums are known as the insurance companys medical loss ratio. And, the insurers that spend less than 80-85% of premiums on medical care have to pay customers back in the form of a refund.
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Q: Am I Definitely Getting A Rebate
A: No.Rebates are not guaranteed.Rebates will vary from plan to plan, not insurer to insurer. So, if the insurance plan you bought didnt meet the 80-85% medical loss ratio requirement, you, and everyone else who bought the same plan, is likely to get a refund.By law, your insurer has to make you and other policyholders aware of how your plan performed under the new rule, and whether or not youre going to get a rebate in 2013.If you dont get a notification from your insurer, good or bad, by the end of June, contact your insurance company.
Australian Government Rebateshow Content
What is the Australian Government Rebate on Private Health Insurance?Show content
The Australian Government offers a rebate to help cover the cost of your private health insurance premium and can be claimed on both Extras and Hospital cover. The amount of rebate you might receive is calculated based on your income. CUA Health can apply your rebate directly to your health cover policy to reduce the amount of your premium or you can claim your rebate at tax time.
Do I qualify for the Private Health Insurance Rebate? Show content
If youre eligible to Medicare benefits then you qualify to receive the rebate, it varies depending on your income.
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Q: How Large Were The Rebates Last In 2012
A: In 2012, the government estimated that rebates could average as much as $164 for people who bought their own health insurance .The actual amount of the refunds varied substantially from state to state by state, insurance company to insurance company, and plan to plan. And, other factors could impact rebates as well.
Q: Do I Get A Rebate If Im Covered Under An Employer
A: Again, the answer is maybe.Health care reform required the refunds to be issued to the policyholder. For employer-based health insurance plans, the employer is the policyholder.But, if you contributed money toward your monthly health insurance premiums in 2012, you may be entitled to a portion of that refund. The law provides a little flexibility in terms of how an employer can manage the rebates they receive.In most instances, the employer can pass the refund on to employees or use the portion of the refund due to employees to improve your health insurance benefits in some way.
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Get A Private Health Insurance Rebate
Youre entitled to a private health insurance rebate from the Australian Government if:
- you have private health insurance that provides hospital cover, general treatment cover, or both
- your income is below a certain limit.
You get the rebate as:
- lower insurance premiums through your health insurer, or
- an offset in your annual tax return this reduces the tax you have to pay.
Why Might I Get A Rebate
One major, yet little known, requirement of the Affordable Care Act was that a major medical health insurance plan be required to spend at least 80-85% of collected premium dollars on member medical care, beginning in 2011. This is the laws so-called medical loss ratio rule.Now, every year, insurers who dont meet this medical loss ratio requirement have to refund the difference to policyholders. Rebates are due no later than August 1.
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Q: What Types Of Health Insurance Does The Medical Loss Ratio Rule Apply To
A: The law requires both employer-sponsored, major medical health insurance plans and individually-purchased major medical plans to adhere to the MLR rules.Privately-purchased individual or family plans, any rebate due will go to the primary member on the policy. For employer-based group health insurance plans, the rebate will be made to the employer.
Claiming The Health Insurance Rebate
As previously mentioned, the;health insurance rebate can be claimed;in one of two;ways.
The easiest way to claim your rebate is for it to be deducted directly from your health insurance premium, which most Australians do. This is an option you can select on your health insurance policy application. Simply fill in your predicted income tier, and you should receive your rebate automatically.
You also have the option to claim the rebate when youre filing your annual tax return. If youre unsure of which tier you fall into, this might be the most suitable method.
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