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What are private health insurance incentives?

Reviewed and updated 3 April 2024

Australian Government private health insurance incentives 

The Australian Government offers 2 incentives to encourage Australians to take out private health insurance:

  1. Private Health Insurance Rebate
  2. Age-based Discount.

Private Health Insurance Rebate 

The Private Health Insurance Rebate is a rebate from the Australian Government to help you pay for private health insurance.

The rebate applies to Hospital Cover, Extras Cover and Ambulance Cover.

The Private Health Insurance Rebate is means tested.

Age-based Discount 

On 1 April 2019, the Australian Government introduced the Age-based Discount, which is designed to encourage young people to take out private health insurance.

The rebate applies to people 18-29 and offers discounts of up to 10% on Hospital Cover.

Insurers do not have to offer the Age-based Discount.

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