Thomas Reid Posted July 27, 2014 Share Posted July 27, 2014 Hello, my partner and I moved to Sydney February and are having a few problems working our way around the health system! We are from the UK so have reciprocal Medicare agreement, what I don’t understand is what additional private cover we need. We are both on a 457 visa and currently we pay $202 for essential plus visitors cover with Bupa. I’m not a 100% sure if we actually need this and if it covers anything more then the Medicare will? Also, the joint income pre superannuation is $275k so I need to ensure we have cover that stops us paying the Medicare levy. Is anyone able to shed any light on the best way forward? Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted July 27, 2014 Share Posted July 27, 2014 I have been puzzling whether to take out private health insurance. At the moment, I use, as far as possible, 'bulk billing' doctors, so I just have to present my Medicare card and not pay anything. I pay cash for dentists as I did for a recent operation in a private hospital. You do get some kind of 'credit' for having medical insurance, on your tax? Medicare Levy? Or is the Medicare Levy what you have to pay above a certain salary point. I think it is, because I'm on such a low income I am below the point at which the levy kicks in. I'm sure I can claim some of my medical expenses, above a certain point, on my annual tax return. Really, the Aussie system is not that different to the NHS in the UK. I mean you get access to free care in both countries, perhaps at a greater level in the UK, but if you need an operation, you still have the two options - wait for it to be done free in the public health system, or pay for it to be done privately, as I did for my recent hernia. I guess with private health insurance, you are taking that 'gamble' that you might need an expensive operation or you just want to be in a private hospital. My podiatrist said to me 'we insure our cars, so why not our bodies?' but on the other hand, what if you were to set up a special bank account and make regular payments and use the money to pay for any medical care you might need? Quote Link to comment Share on other sites More sharing options...
Petals Posted July 27, 2014 Share Posted July 27, 2014 We did not have medical insurance for a long time, and we paid the levy, we did not mind as we see it as for the better good of the health system as a whole. However once I retired and body started to fall apart I have taken out health insurance. As a surgeon pointed out to me even paying the surcharge I will break even in 10 years because I can get my bits replaced quickly if need be. I have used my health insurance quite a bit since I took it out which I would never have done when I was younger. We did have an account which money went into every week for those small procedures needed. When my husband was ill with cancer the health insurance worked well for us because he was able to be an private hospital for the last weeks of his life and it was very nice and he was well looked after. However private health does not end with paying the premiums, there is all the gap fees to be paid as well and these can be very hefty so one year I pay 3 grand for insurance and 4 grand in gap so as long as you have the funds you get the service. However anything complicated like neuro or anything is most likely to be carried out in public hospitals. Quote Link to comment Share on other sites More sharing options...
Austrial Posted July 27, 2014 Share Posted July 27, 2014 Also, the joint income pre superannuation is $275k so I need to ensure we have cover that stops us paying the Medicare levy. Is anyone able to shed any light on the best way forward? Hi Thomas, I've got BUPA Australia Visitor Essential Plus and I pay a little extra for reciprocal cover which waives the Medicare Levi Surcharge. You could perhaps explore that option? Quote Link to comment Share on other sites More sharing options...
blossom Posted July 27, 2014 Share Posted July 27, 2014 You don't actually NEED health insurance if you are on a 457 and are from a country with recipricol Medicare cover. I had just that for five years and never found anything at the drs I wasn't covered for. Mind you, I was on no money at all compared to you. Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted July 27, 2014 Share Posted July 27, 2014 We did not have medical insurance for a long time, and we paid the levy, we did not mind as we see it as for the better good of the health system as a whole. However once I retired and body started to fall apart I have taken out health insurance. As a surgeon pointed out to me even paying the surcharge I will break even in 10 years because I can get my bits replaced quickly if need be. I have used my health insurance quite a bit since I took it out which I would never have done when I was younger. We did have an account which money went into every week for those small procedures needed. When my husband was ill with cancer the health insurance worked well for us because he was able to be an private hospital for the last weeks of his life and it was very nice and he was well looked after. However private health does not end with paying the premiums, there is all the gap fees to be paid as well and these can be very hefty so one year I pay 3 grand for insurance and 4 grand in gap so as long as you have the funds you get the service. However anything complicated like neuro or anything is most likely to be carried out in public hospitals. I keep thinking about taking out the insurance, but I'm just not sure. Certainly, it is SO nice in the private hospitals! (At the price, it SHOULD be! I had to have an extra night in. Well, did I REALLY need that holiday in Fiji!?) On the other hand, I have the money, so why not spend it? I guess I am making that gamble if I don't take out insurance, that I will save enough money on the premiums to cancel out the cost of the operation? Quote Link to comment Share on other sites More sharing options...
Pumpkin Posted July 27, 2014 Share Posted July 27, 2014 Hello, my partner and I moved to Sydney February and are having a few problems working our way around the health system! We are from the UK so have reciprocal Medicare agreement, what I don’t understand is what additional private cover we need. We are both on a 457 visa and currently we pay $202 for essential plus visitors cover with Bupa. I’m not a 100% sure if we actually need this and if it covers anything more then the Medicare will? Also, the joint income pre superannuation is $275k so I need to ensure we have cover that stops us paying the Medicare levy. Is anyone able to shed any light on the best way forward? Everyone has to pay the basic Medicare levy. Quote Link to comment Share on other sites More sharing options...
Austrial Posted July 27, 2014 Share Posted July 27, 2014 You don't actually NEED health insurance if you are on a 457 and are from a country with recipricol Medicare cover. I had just that for five years and never found anything at the drs I wasn't covered for. Mind you, I was on no money at all compared to you. Hi Blossom Thanks. I was advised by the immi advisor that I would not get my 457 visa without the appropriate insurance cover as only citizens and people with PR have access to full Medicare and that reciprocal cover is fairly limited. Btw, the income figure above is not mine (I was unsuccessful at copying and pasting a partial quote from TR above!) Quote Link to comment Share on other sites More sharing options...
blossom Posted July 28, 2014 Share Posted July 28, 2014 Hi BlossomThanks. I was advised by the immi advisor that I would not get my 457 visa without the appropriate insurance cover as only citizens and people with PR have access to full Medicare and that reciprocal cover is fairly limited. Btw, the income figure above is not mine (I was unsuccessful at copying and pasting a partial quote from TR above!) They are notorious for giving out incorrect info. You just need some form of insurance when you first arrive if you are from a place with reciprocal health care. It really isn't that limited. It even covers you for an eye test every two years. Quote Link to comment Share on other sites More sharing options...
scotsaway Posted July 28, 2014 Share Posted July 28, 2014 Hey I have just been stung on this one! I had private health insurance to come out on a 457 then got rid of it as I had reciprocal health cover being from the UK. Then I got hit with the medicare levy surcharge so I took out private health insurance but didn't take out the reciprocal cover (didn't realise I needed that additional cover to be made exempt from the surcharge) so I have paid out for private health insurance AND I will get hit with the surcharge again this year! So if you are going to take out private health insurance and you want to avoid the surcharge make sure you get the additional reciprocal cover! If you are under 30 your premiums will be cheaper so that is a reason to get it. if you still have doubts about being under the threshold then perhaps see an accountant so you can perhaps salary sacrifice some income too, the cost of seeing an accountant is tax deductible too.....every little helps I reckon Quote Link to comment Share on other sites More sharing options...
Melstra Posted August 5, 2014 Share Posted August 5, 2014 (edited) Hello 457 insurance is not the best value it gets better once you are a PR. Medicare levy is standard & everyone pays it the Medicare levy surcharge however is additional to this and is applicable depending on your income so without insurance you can often be worse off financially if it's over 90k as a single & $180k couple or family your usually already saving money whether you use the insurance or not. Go to private health.gov.au it explains it easily & you can work out the cost v savings. It's tiered the more you earn the more MLS you pay. had to wait until I was PR though as they don't deal with 457 cover but very impressed hope this helps Edited August 5, 2014 by The Pom Queen Unauthorised advert Quote Link to comment Share on other sites More sharing options...
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