private health insurance

Question 1

definition

Answer 1

benefit the individuals who regularly require services NOT covered by Medicare + members must pay a premium

Question 2

funding

Answer 2

funded by the government, and the premium that policyholders pay

Question 3

incentives for private health insurance

Answer 3

medicare levy surcharge
private health insurance rebate
lifetime health cover
aged based discount

Question 4

medicare levy surcharge

Answer 4

Surcharger is an incentive for high income earners to take out PHI. Those who earn above a certain threshold are required to pay 1-1.5. % surcharge for Medicare.

Question 5

private health insurance rebate

Answer 5

The government pays a portion of private health insurance premiums to reduce costs.

Question 6

lifetime health cover

Answer 6

ustralian government initiative designed to encourage people to take out and maintain private hospital insurance early in life.

Question 7

advantages of lifetime health cover

Answer 7

enables access to private hospital care

choice of doctor whilst in public or private hospitals

Question 8

promotion of health in relation to funding, SUSTAINABILITY , access and equity

Answer 8

shorter waiting periods mean that companies are able to stay in business to service people in the future

Question 9

promotion of health in relation to funding, sustainability , ACCESS and equity

Answer 9

the government provides individuals with a partial PHI refund, which assist in making PHI more affordable therefore increases access

Question 10

promotion of health in relation to funding, sustainability , access and EQUITY

Answer 10

income tested –> those who earn less can get a larger refund –> PHI more affordable

Question 11

aged based discount

Answer 11

young people aged 18-29 are able to get hospital cover up to a 10% discount.

Question 12

disadvantages

Answer 12

costly premiums that have to be paid

still out of pocket expenses