What is LHC?

Lifetime Health Cover

If you are aged over 30 and you are taking out private hospital cover for the first time, you may have to pay an additional loading on top of your pre

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 (LHC) is a Government initiative designed to encourage people to take out hospital insurance earlier in life and to maintain their cover.   

How it affects you?

The loading generally applies if you don’t have Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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 on the 1st of July following your 31st birthday. This will mean that for every year you don’t have Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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 you will pay a 2% loading on top of the base rate on your premium up to a maximum of 70%. The loading applies only to the hospital component of your premium and does not affect your extras premium.

Any loading that applies to your cover will be removed after you have held Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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 continuously for 10 years. The loading may be reapplied if you cease to hold Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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 and subsequently take it up again.

LHC loading does not apply to people born on or before 1 July 1934.  There are also special rules to people who fall under the LHC exemption category.  Further information can be obtained from the website: http://www.privatehealth.gov.au/ 

What happens if I cease my cover?

You are able to be without Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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 for periods totalling 1094 days (i.e. three years less one day) during your lifetime, without affecting your loading status. This is known as 'Days of Absence'. 

If you use up your Days of Absence - that is, you have a total gap period of 1095 days - you will pay a 2% loading on rejoining private Hospital cover

Hospital cover is a type of health insurance which covers a member for the cost of treatment in hospital, should they require it.The price of hospital

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. The loading will increase by 2% for every year after that without cover.