What is the Government Rebate and how can I claim it?

The Federal Government Rebate on Private Health Insurance was first introduced in 1999 to help Australians meet their health cover costs; so if you currently hold a green or blue Medicare card, you're entitled to claim the rebate on both Hospital and/or Extras cover when applying for private health cover. Alternatively, you can choose to pay full contributions through the year and then claim the rebate back at the end of the financial year through your tax return. 

Since 1 July 2012 however, the rebate became means-tested based on four incremental income brackets ("tiers") and since 1 April 2014, the Government introduced a further change whereby they now index the rebate to a maximum of the current Consumer Price Index (CPI). This means if you're currently entitled to a rebate and your private health insurance premiums continue to increase above CPI each year, the Government’s contribution to you through the rebate (as a percentage of the cost of your private health cover) will get smaller and smaller each year.

Furthermore, the calculations are done at an industry level, meaning that even if your HIF premiums don't increase above CPI, your rebate percentage will still be reduced. Regretfully, these Government changes were beyond our control and have affected members of all private health funds across Australia. 

To apply for the Federal Government Rebate on your HIF policy, please download the Rebate Application Form, complete this and return to us at hello@hif.com.au.

To work out the rebate you are eligible to claim from 1 April 2017 - 31 March 2018, please refer to the table below:

POLICY TYPE  BASE TIERTIER 1TIER 2TIER 3
SINGLE$90,000 or less$90,001 - $105,000$105,001 - $140,000$140,001 or more
COUPLE / FAMILY$180,000 or less$180,001 - $210,000$210,001 - $280,000$280,001 or more
AGEAPPLICABLE PRIVATE HEALTH INSURANCE REBATE
UNDER 6525.934%17.289%8.644%0%
65 - 6930.256%21.612%12.966%0%
OVER 7034.579%25.934%17.286%0%

 


Private Health Insurance salary thresholds & rebate tiers (1 April 2016 - 31 March 2017)

POLICY TYPE  BASE TIERTIER 1TIER 2TIER 3
SINGLE$90,000 or less$90,001 - $105,000$105,001 - $140,000$140,001 or more
COUPLE / FAMILY$180,000 or less$180,001 - $210,000$210,001 - $280,000$280,001 or more
AGEAPPLICABLE PRIVATE HEALTH INSURANCE REBATE
UNDER 6526.791%17.861%8.930%0%
65 - 6931.256%22.326%13.395%0%
OVER 7035.722%26.791%17.861%0%

 

 

 

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