Health Insurance

[rikyuu]

Hope this is the section for this;

 

with the minefield that is health insurance, I was hoping there would be lots of threads about it, but information is a bit limited.

 

I'm here on a permanent visa and have medicare cover. I'm married with 2 kids and earn under the $160k surcharge threshold. I am 38, so if I'm getting health insurance, it needs to be within 12 months of getting here (so by October) to avoid the 16% lifetime loading.

 

I know lots of people with health insurance, but most for specific reasons, like health, or earning over the single person threshold.

 

I've tried searching the internet to find out if I need health insurance. Of course all health insurance companies and the government say yes, but the main reason is so you can choose your doctor (how many people know which is the best doctor) and reduce waiting times for non-elective surgery. However most feedback from the public is that they feel it's a scam and they are coerced into having it, due to the penalties. Most who have used it for private hospitals or dental have still come away with significant costs as it doesn't cover everything and these services seem to see $$$ when you mention private insurance and charge for everything under the sun.

 

Trying to find out whether it's worth having is also a nightmare. You need to know in advance, what's going to happen to you and how much it's going to cost, compared to the cost of the health insurance or what you could have used medicare for.

 

An example is for $1800 per year, we get $1000 of family dental cover, $1000 major dental, $240 for optical, plus a couple of hospital items and ambulance. This only covers 50% of the extras costs though. So am I really going to spend double this on dental each year for instance. Would I be better just saving the $1800 and using it when needed or just getting dental cover for $90 per year.

 

Are children covered at all for dental work, or do you have to pay the whole lot yourself?

 

What do you do before going into a private hospital with a condition? You have to look at your insurance policy for what conditions you are covered for and how much cover. Then predict what treatment you'll need and if you are covered.

 

Also finding out what it covered by medicare is equally as wooly. I guess the government doesn't really want you to know so you think you better have private insurance as well.

 

I read about the medicare safety net for out of hospital stuff here http://www.medicareaustralia.gov.au/public/services/msn/index.jsp#N1003C

 

it's so complicated with the terminology, and every is always ''may" or "might". How do I know if I may be eligible or not?

 

Anyway, I'm rambling and I get the feeling that a lot of people just get private insurance because it's too difficult to find out whether it's worth it or not and because they are pressured to do so. Then get a shock at how much extra they pay after being treated privately.

 

In the UK, we went through the whole waiting game for public hospital treatment and never thought of paying for private insurance, so really need a compelling reason to pay out $1800 per year for minimal cover.

 

I'd welcome any comments from people with/without medical insurance, especially those in my age group with young kids.

 

Thanks

[newjez]

I had private health insurance through my company with Bupa in the UK. When I got sick, I paid the first £100, Bupa paid for everything else.

 

When I had private cover in Oz, I had an operation, I got to pick a surgeon I'd never heard of before and didn't know from a bar of soap. I got to stay in a hospital with nice food that I wasn't allowed to eat, and I couldn't have a private room cos they were doing renovations, so I had to share it with someone having theri piles treated - not pleasant. And it still cost me a bleeding fortune. I wouldn't bother again.

 

Saying that, I wear glasses and have bad teeth so I'd get the basic level of cover.

[Zman]

Our insurance costs us nealry $3K a year and for that, we get to claim a bit back on dental and optical but not much. I did get to claim back a fair bit one year when I had to have two crowns fitted but that was an exception.

 

We're both relatively healthy, so we've mainly persisted with the cover as insurance for our old age - we've been members of our fund since our late 20s (when we first arrived). Hopefully that'll mean we'll get the care we need if we need it as we age. Although it doesn't cover all private treatment costs, it does give you the option of private if you need it. That's about the only reason.

[Petals]

Think how much you will pay till you are old and need it, then work out the premiums with the extra added on and you will find that you do not pay much more for waiting till you need it to take it out. I was told this by a doc and its true. Most people use it the most when they are in their last 10 years of life.

 

We gave it up yonks ago and opened a savings account and put the money in it and took the view if we needed it we would use it if not it was ours. :laugh:

[Guest shusselmann]

Hi,

We’ve got private health insurance but you’ve made me think about what we’re actually getting for the money we’re paying! I just signed up when we arrived in Aus because we were told by friends that we needed it. We’ve got full cover that includes dental and optical. This is what we use most but I still think we’ll be out of pocket at the end of most years.

I guess if we need hospital treatment we’d get to jump the queue and pick a Doctor but I wonder whether that really makes it worth the annual expense. We’re a family of four and haven’t had any hospital visits since the birth of our kids!

The one thing I think families do need is Ambulance Cover, the way you organise this depends on the state you’re living in. I think it would be terrible to need an ambulance in an emergency and be worrying about the cost. I think you can get Ambulance Cover as a single item so might be worth investigating this.

All the best, Sarah

[fleabo]

I think it is a waste of money, my OH thinks otherwise, so every two weeks we cough up $85 to NIB. At least you know who wears the trousers in the Fleabo household.:embarrassed:

 

Like all insurance, its a waste of money until you need it. But with health insurance, even when you need to use it, you have to work out if you can afford to use it because of the 'gap'.

[rikyuu]

thanks for all the replies so far.

 

We've got ambulance cover which was $70 for family for the year through Vic ambulance. We're considering Noble dentist discount, which gives a pretty good discount on most things for $70 per year for the family.

 

I also found out that children under 12 get free public dental care, both general and emergency, with no waiting list.

http://www.dhsv.org.au/public-dental-services/who-is-eligible/

 

Then just save $150-200pm in a separate account for health issues. If we don't use it then it's ours at Petals suggested.

[warren&liz]

If you have kids of school age there should be a dentist with the school. Ask at the school reception. Our school dentist seems to do all the schools in the local area.

 

They do the kids teeth for free right up until they leave high school.

 

Liz x

[Guest Bath2Brisbane]

Thanks to all the above posts. I too am wading through the private medical insurance dilema, but my most pressing problem is how do I enrole with Medicare?

 

Many thanks, Nikki

[warren&liz]

There are Medicare offices in most largish towns. Take your passport and visa grant, no appointment necessary. Staff will sort you out in no time.

 

Liz x

[Mike@Bonbeach]

Thanks to all the above posts. I too am wading through the private medical insurance dilema, but my most pressing problem is how do I enrole with Medicare?

 

Many thanks, Nikki

 

 

Just go along to your local medicare centre with your visa and proof of identity and you get registered straight away and your cards will normally arrive in 1 to 2 weeks.

Mike

[Fashionably Late]

I don't know where you are in Brisbane but there is a Medicare office on the ground floor of Indooroopilly Shopping Centre. They were highly efficient.

[paulswin]

Silly question but when we first get to Oz and apply for medicare do we start paying a monthly sum or do you not pay for medicare??? We're a family of 4!

[warren&liz]

You don't pay for Medicare.

 

Liz x

[paulswin]

Thanks Liz I was starting to panick as someone said $150-$200 a month health insurance but that must be for private!!!

[Zman]

Paul

Medicare is funded through a levy on your taxable salary (1.5%). There's a flood levy surcharge in effect at the moment (effective through to end June next year) which takes another small chunk out of your salary. If your salary exceeds $77K (single) or $155K (combined) and you fail to take out health insurance, you'll be slugged an additional 1% of your taxable income called the Medicare Levy Surcharge.

Hope this helps

[paulswin]

So say we make under $77 and my hubby is self employed do we still fund 1.5% of his salary? Is it different for being self-employed?

[Zman]

Yes, the 1.5% is levied on your taxable income, unless your earnings are very low (under $21K, I believe). Having said that, if you're self-employed (depending on your actual profession), you should be able to claim expenses incurred in earning your income against tax which, in turn, will reduce your Medicare liability. That is you may earn $77K but if your expenses are, say $5K, then your taxable income is $72K and the Medicare Levy is 1.5% of that, i.e. $1080

[ali]

If you have kids of school age there should be a dentist with the school. Ask at the school reception. Our school dentist seems to do all the schools in the local area.

 

They do the kids teeth for free right up until they leave high school.

 

Liz x

 

 

My daughter stopped getting free dental care from the school dentist at 16 - with 2 years left at high school. We now have to pay private.

 

We have health cover - we did get stung for the tax levy which was almost a $1,000

[rikyuu]

yeah, I think you still have to pay the 1% medicare levi even when you take out private cover.

[Fashionably Late]

yeah, I think you still have to pay the 1% medicare levi even when you take out private cover.

 

No, you don't. Most people take out private medical insurance in order to avoid the medicare levy surcharge.

[rikyuu]

No, you don't. Most people take out private medical insurance in order to avoid the medicare levy surcharge.

 

There's 2 levies, the medicare levy (1.5%) if you earn over $22,163 and you still have to pay it even if you have private health insurance, then there's the medicare levy surcharge (extra 1%) if you earn over $77,000 for a single person with no dependants

$154,000 for a couple with no children or one dependent child, plus $1,500 for each additional dependent child

 

which you don't have to pay when you get qualifying private health insurance.