Increase in allowable excess on private health insurance passes parliament.
A pair of bills that make amendments to private health insurance laws have passed both houses of parliament. The major change for advisers from these bills is an increase to the allowable excess on private health insurance hospital coverage before Medicare levy surcharge is payable. The allowable excesses will increase from $500 to $750 for individuals and $1000 to $1500 for couples and families from July 1, 2019.
Other changes in the bills include:
- An age-based discount for hospital cover,
- Strengthening the power of the Private Health Insurance Ombudsman,
- Allowing insurers to cover travel and accommodation costs, and
- A new “Private Health Information Statement”.
The information contained in this publication is based on the understanding KeyInvest (ABN 74 087 649 474 AFSL No. 240667) has of the relevant Australian legislation as at the date shown in this publication.
The information contained in this publication is of a general nature only and is intended for use by financial advisers and other licensed professionals only. It must not be handed to clients for their keeping nor can any copies of sections of this publication be given to clients. KeyInvest is not a registered tax agent under the Tax Agent Services Act 2009. We recommend that your client be referred to their registered tax agent or legal adviser prior to implementing any recommendations that you may make based on the information contained in this publication.