Why should I keep private health insurance?

If you’re fighting fit, have no family history of serious illness and are unlikely to be heading to hospital anytime soon, you might be asking yourself, “Do I need private health insurance?”
The truth is it’s impossible to know what’s around the corner, which is why one of the biggest benefits of your cover is knowing you and your family will be protected against the unexpected. And peace of mind is just one of the many benefits of private health insurance you’d lose if you decided not to continue your policy.
To help you make an informed decision, we’ve outlined eight reasons why your nib private health insurance is worth it. and how to help you make the most of your cover.
1. Chances are you’ll use it
Private health insurance isn’t just for emergencies – it can help with everyday health needs, too. Last financial year, nib members with private health insurance made over 360,000 hospital admissions and almost 4.1 million Extras visits. For nib members, this resulted in 1.9 billion worth of claims paid.1
When you’re looking at the potential costs, private health insurance gives you peace of mind knowing you're covered. nib paid on average $3,586 per admission1, so having insurance can save you from these unexpected expenses.
2. Avoid long wait times and out of pocket costs for hospital treatments
Without private health insurance, you could be waiting a long time to receive treatment. Elective surgery waiting times in public hospitals were at their highest level in 20 years during 2022-2023, and if you opt for a private hospital without coverage, you could face huge out of pocket expenses. With private hospital cover, you can avoid these long delays and choose when and where you receive treatment.
Having private health insurance, especially a quality private health insurance hospital cover, allows you to get the care you need when you need it, with fewer delays.
3. Receive the private hospital treatment you want
Private health insurance offers you more control over your treatment. With nib hospital cover, you can choose your preferred specialist, attend a hospital or day facility that suits you and even select your own doctor and time for treatment. Plus, you’ll stay in a private room for greater comfort during your hospital stay.
With nib private health cover, you can take advantage of at-home services, helping you spend less time in the hospital and more time in the comfort of your own space. A 2019 Australian study found that patients recovering from knee reconstruction surgery at home had just as successful outcomes as those staying in the hospital. Plus, recovering at home means you’ve got access to your own fridge, bathroom, and, of course, Wi-Fi (because priorities!). If you’re eligible, Health Care at Home services could be a great option, bringing your hospital treatment to your doorstep so you can rest and recover without the added stress.
This flexibility and added convenience are just a few of the benefits of private health cover, giving you better options and ensuring your health journey is as smooth as possible.
4. Emergency protection
Are you one of the 30% of Australians who think Medicare will cover the cost of your ambulance in an emergency? Unless you live in Queensland or Tasmania, the costs associated with ambulance services – whether it’s an emergency situation or not, and regardless of who made the triple zero call – will be incurred by the patient.
The average ambulance claim for nib members in financial year 2023 was $10002, and we paid over $12 million in total ambulance claims in financial year 2024.1 If you’re with nib, there’s no need to be caught out by the cost of an expensive ride; all our covers include unlimited emergency ambulance pending you don't live in Queensland or Tasmania.
Find out how much you can expect to pay for an emergency ambulance ride without the right cover.
5. Are you protected if accidents happen?
It’s not just ambulance fees you have to keep in mind. While public hospital healthcare (including emergency treatment) is free to all Australian citizens and most permanent residents, if you need further treatment after your initial admission, that’s when the costs (and waiting times) can quickly add up.
On the majority of our hospital covers, nib offers extra protection against the unexpected with the Accidental Injury Benefit.
If you’re an nib member on an eligible hospital cover and you present for treatment within 72 hours of an accident at a hospital emergency department or with your GP, you’ll receive benefits in-line with our top hospital cover for the following 90 days.3
6. Save at tax time and avoid government surcharges
Medicare Levy Surcharge
Having private hospital cover can help you avoid the Medicare Levy Surcharge. Without it, you could be paying extra at tax time if you earn over $97,000 as a single or over $194,000 as a couple, family or single-parent family.
Find out more about the Medicare Levy Surcharge on our dedicated page or use our MLS calculator to see the extra tax you might pay if you don't have private hospital cover.
Lifetime Health Cover loading
Wondering "do I need a private health insurance?" If you don’t have private hospital cover by 1 July following your 31st birthday, you might have to pay Lifetime Health Cover loading (LHC) in addition to your standard premium. The LHC is a Government initiative put in place to encourage people to take out private hospital cover earlier on in life.
One of the benefits of getting private health cover earlier in life is avoiding the 2% loading on top of your premium when you take out a policy after your 31st birthday. The LHC loading is applied to your health cover when you join, and you’ll need to pay this loading for 10 consecutive years before it ceases to apply.
The Australian Government Rebate
To make private health insurance more affordable, the Federal Government provides many Australians with a private health insurance rebate, known as the Australian Government Rebate (AGR). If you earn an income of $151,000 or less as a single, or $302,000 or less as a family, you are eligible for the rebate. Learn more about the Australian Government Rebate on private health insurance.
7. Make it easier to stay healthy
Medicare covers some essential services, but it doesn’t cover Extras like dental, optical or physiotherapy. For these services, you’ll be out of pocket unless you have private health insurance. Whether it's getting a check-up, a new pair of glasses or attending a physiotherapy session, private health insurance helps you avoid paying full price and makes it easier to stay on top of your health for less.
On top of that, nib members can enjoy exclusive pricing on GP telehealth through our partnership with hub.health.4 Whether it’s booking a telehealth appointment or refilling prescriptions online, you’ll save time and skip the hassle. Prescriptions can even be delivered straight to your door, making it easier and more convenient to take care of yourself and get more value from your private health cover.
8. Save on everyday expenses
Private health insurance isn’t just about having access to health services when you need them, it’s also about the benefits that make life easier and more rewarding. One great benefit of having private health cover is access to the nib Rewards programs, where you can enjoy discounts and special offers from over 100 retailers.
From savings on everyday essentials like groceries and petrol to treating yourself with gifts or splurging on something special, these rewards go beyond healthcare to support your lifestyle. Plus, you’ll find offers tailored to health and wellbeing, helping you feel your best while getting more value from your membership.
Is my health cover right for me?
Wondering if your health cover still suits your needs? We can help you you can get the most out of your health insurance. Whether it’s reviewing your cover to ensure you’re not paying for services you don’t need, maximising benefits or adjusting your excess to help reduce premiums, we’re here to help. Contact us today.
1Figures are general claims statistics taken for the full financial year July 1 2023 – June 30 2024 for nib Health Insurance.
2Average ambulance charge incurred by nib members between July 2022 and June 2023 (excluding TAS and QLD residents).
3Accidental injury benefit is available on selected Hospital covers. Members must present for treatment with a medical practitioner or at a hospital emergency department within 72 hours of an accident. Benefit may apply after the member has been admitted as an inpatient (but within 90 days of the Accident). Excludes consultations and treatments performed at an Emergency Department. Additional T&Cs apply.
4Offer valid until 30 June 2025 for hub.health telehealth and medical consultations only. The offer does not apply to medical certificate purchases, medication costs or shipping costs. The discount cannot be used in conjunction with hubPass membership or with any other promotional offer or discount. nib and hub.health reserve the right to withdraw this offer at any time. hub.health Terms and Conditions will apply. hub.health is owned and operated by Midnight Health Pty Ltd, of which nib Group is a majority shareholder. hub.health Terms and Conditions will apply.