Am I Too Young to Buy Health Insurance?
The question of Am I too young to buy health insurance is a great question for young people to consider and one we will cover in this article.
All permanent Australian residents already have health insurance through Medicare. If your parents have your name on their Medicare card, then you are already enrolled.
Through Medicare, you’ll be enjoying hospital, medical, and pharmaceutical services for free or at a discounted price. However, Medicare does not cover other health insurance that you may need throughout your lifetime, such as dental, therapy, chiropractic, and ambulance services, among others. Instead, you can get this health insurance from several private health insurance providers.
More and more young adult Australians begin to take more notice of their health. Access to affordable healthcare is more than just a lifestyle choice; rather, it has become a necessity. Seeking for the most appropriate health insurance for you is essential, no matter how old you are. To guide you in comparing for health insurance policies out there, you may ask the following questions first:
- What if you do not have private health insurance yet?
- When should you apply for private health insurance?
- How much would it cost if you didn’t buy health insurance as soon as possible?
What You Need to Know about Private Health Insurance
With one of the best public health systems in the world, why would an Australian get private health insurance? The answer is simple: the existence of private health coverage is what actually makes our healthcare system one of the best.
For one, they are designed to give you more freedom to choose based on your health needs. For those with a family history of certain diseases, for example, you may select coverage with specific healthcare services.
Private health insurance in Australia comes in three major types of coverage. It includes hospitals, general treatment, and ambulance covers.
Hospital coverage includes the cost of medical services you get as a private patient in the hospital. General treatment cover includes extra healthcare coverage, such as dental, physiotherapy, occupational, speech, eye therapy, and chiropractic services. Ambulance covers include expenses you incur when getting treatment from emergency paramedics and transportation.
When Should You Apply for Health Insurance?
Single and full-time students aged 25 and younger are still covered by their parents’ health insurance. That means that if you are below 25, you are still too young to have health insurance. That is, until you stop or graduated from school, got a fulltime job, or got married.
On the other hand, you shouldn’t wait for too long until you buy your own health insurance. In particular, you will want to have health insurance as soon as you turn 31. Otherwise, you will have to pay an extra 2% of Lifetime Health Cover (LHC) loading on top of your insurance premium.
What’s worse is you will incur an extra 2% for each year you haven’t had a hospital or health insurance cover. This LHC loading can add up to 70% by the time you reach the retirement age. To remove LHC loading, you will have to pay the hospital and extra coverage continuously for ten (10) years.
Compare the Best Health Insurance Plans Today
If you are over the age of 25, then you should start looking for your own health insurance now. There are a lot of health insurance premium out there intended for different individuals. It’s up to you to search for your own. Make use of various tools to help you visualise which premium best suits your health and lifestyle.
Keep reading articles here on Makes Cents and get updates on the latest health insurance packages in the market.