In the face of rising living costs, healthcare costs will also rise. And that is why health insurance has become the need of the hour.
In countries like Australia, there are different public and private health insurance concepts.
According to the Australian Government’s Department of Health and Aged Care, private health insurance allows an individual to be treated in the hospital as a private patient, which can also help pay for costs not covered by Medicare.
So why should you get private health insurance? Here are 5 reasons.
1. Choice and Control
The biggest benefit of private health insurance is that you can choose where to be treated and who treats you – subject to availability. Also, depending on the policy you choose, the waiting time for you to seek a consultation is far less than the others who don’t have insurance.
You can also request a private room or home visits depending on the conditions of the policy or the intensity of the disease. All in all, you have more choices and control with private health insurance.
2. Deduction of Tax
The Australian Government levies a Medicare charge of 2% on your taxable income, which allows you to claim health insurance. But you can save this money if you choose to take a private one.
Again, according to the various schemes, if you opt for a health cover before you are 31, you will be freed from paying the Lifetime Health Cover (LHC) – a form of tax that the Australian government charges for a continuous period of 10 years.
3. Cover beyond Medicare
Private health insurances in Australia also cover dental, optical, and physio expenses. If you visit any of these as a family or even as an individual, it adds to your expenses as this is not covered in public Medicare.
Private health insurances have the option to cover these expenses depending on the policy. Australian Unity Health Insurance provides up to 100% claim on prescription glasses and selective dental treatments, so you don’t have to pay from your pocket.
4. Specialized treatments
Although you might get better treatment for terminal illnesses from the public healthcare system, it cannot provide you with updated treatment plans in the market due to obvious budgetary restrictions.
It is impossible for the government to include it under Medicare for every citizen.
The private sector, in any country, is agile enough to adopt the latest innovation and technology that caters to the demands of the people. Hence, private insurance gives you access to specialized drugs and treatments that might reduce your total health costs while approaching it through private insurance.
5. Mental health coverage
The uproar around better mental health has only been louder during the pandemic. More and more people needed to see a psychologist or even a counselor – whether it was the trauma of losing a loved one or the loneliness that came from living alone.
Even though mental health is covered in the Medicare plans, it gives one subsidized 10-session care with a counselor or psychologist. In this situation, it is better and easier to access mental health care through private insurance, which will provide better resources and also help escape the queue.
6. No more queues on planned surgery
Bad times don’t come by knocking, so you should always be prepared. In cases of planned surgeries like the removal of tonsils, you may have to keep waiting for your turn – sometimes over a year. Or pay a hefty fee in a private hospital.
To escape them both, you must get private insurance. They not only help you skip the queue but also help you claim all the extra costs incurred.
Still confused?
Apart from the ones mentioned above, private health insurance has many more benefits. However, you cannot let go of the benefits provided by the public system for terminal illnesses like cancer. So, it’s wise to have a hybrid mix of both public and private insurance to ensure a secure, healthy future.
