Health Insurance: Australian Medicare

Medicare

All Australian residents get health care benefits thru Medicare. Medicare is partially funded by a tax on income and for qualified people it provides access to free treatment as a public (Medicare) patient in a public hospital, and free or subsidised medical treatment by doctors, medical specialists and participating optometrists.

Pharmaceutical Benefits Scheme (PBS)

Australia also has a national system for subsidising listed prescription medicines. The PBS pays for the cost of over 1,350 essential items, covering all Australian residents and providing them the necessary and lifesaving medicines at an affordable price. Only people who are eligible for Medicare qualify for the PBS.

Private Health Insurance

Private health insurance is available for any Australian who wants to avail of health care provided by a private sector hospital. Private patients have more control in choosing the doctor who treats them at private sector hospitals; and can even shorten the delay if wait-listed for elective surgery by having treatment in a private hospital.

Private health insurance also offers cover for any of the other services not covered by Medicare, such as ambulance transport, dental, optical appliances, physiotherapy, pharmaceutical (non PBS) and a wide range of other services. Unlike other health care insurance cover, your premium is not affected by your age, health status or other risk factors. This is called community rating and it protects us from having to pay higher premiums if we make a claim, when we get older and get sick.