The health system in Australia

This article provides a brief overview of the Australian health system and the options you have to secure great health cover for you and your family.

The public health system (Medicare)

The health system in Australia consists of both public and private health care to ensure that the needs of all Australians are protected. The basis for our public health system is Medicare, which ensures that all Australians have access to basic care, including:

• free treatment as a public patient in a public hospital
• free or subsidised treatment by practitioners (including doctors and specialists) and participating optometrists or dentists for specified services only
• tests and examinations including X-rays and pathology tests
• eye tests performed by optometrists

However, it is important to understand that Medicare does not cover all aspects of health cover, and that private health funds play a key role in the Australian health care system.

The private health system and health insurance

The private health system plays a significant role in delivering health services in Australia, funding around a third of all health care in Australia, as well as providing a third of all hospital beds and over half of all surgical episodes requiring the use of an operating room. The private health system in Australia goes one step further than the Medicare system, offering:

• treatment in private hospitals as well as public hospitals; and
• ancillary services that Medicare doesn’t cover, including physio, chiro and more.

Why choose private health insurance?

Private health funds offer Australians access to the private health system through the means of insurance. By paying a health insurance premium, you can cover yourself for a range of services offered by your health fund. With private health cover, you have the assurance of being covered for a wide range of medical issues that may arise for you and your family if you need to be admitted to hospital. The benefits of health insurance include:

• treatment in private or public hospitals as a private patient;
• your choice of hospital and doctor;
• cover for doctors’ fees;
• cover for hospital fees (accommodation and/or theatre costs); and
• shorter wait times and greater flexibility in the scheduling of elective surgery.

Private health insurance also offers benefits on Ancillary (or ‘Extras’) services such as:

• dental care, including general dental, major dental, endodontics and orthodontics;
• optical;
• physiotherapy;
• chiropractic;
• appliances like glucose monitors and hearing aids
• acupuncture, naturopathy, remedial massage and more.

The Australian Government supports private health cover by offering a health insurance rebate on premiums for both hospital and extras cover. All Australians with private health cover receive a rebate of at least 30%, with older Australian receiving higher rebates (35% from age 65 and 40% from age 70).

To find a private health insurance policy that suits your lifestyle and budget, use the moneytime health insurance comparison engine. By helping you compare different health insurance policies from a number of leading health funds, moneytime helps you get the private health cover you need.

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