If you have waited until your thirties, it is definitely time to get a health insurance policy. The Australian government has set into motion, starting in 2000, a policy that will encourage all citizens to get private health insurance. It saves on the amount of money that the government has to put into the Medicare funds, which has risen to just under 28 billion for last year. That is a huge chunk of change that the government must budget in.
The push to get people on their own private health insurance policies is a way for the government to reduce the amounts paid out under Medicare to people who actually need it. Plus, it will allow people the ability to get coverage over the areas that the governmental program does not cover, such as eyeglasses and dental procedures.
We will cover this in a little more detail below, along with a few other reasons that you should get coverage in your thirties, if you do not have a policy already. If you do it may be time to go through the contract and make some adjustments that fit the changes that you will be going through as you get older.
- LHC loading-This is the government sanctioned program that was mentioned above. If you do not have private health insurance before you reach thirty-one you will be charged extra amounts on your premium. The current amount is 2% per year that you do not have it, with the maximum amount being 70%. This can add up to a sizeable amount which can easily be avoided. Get a policy before you turn thirty-one.
- Lifestyle changes-Society today is on the go. Constantly. We seldom take time to get the proper amounts of sleep, let along take care our health. When you get into your thirties your health will start to decline. The more on-the-go that you are, the quicker you can expect to have health issues. You are probably shaking your head in disagreement, but it is time to face the truth. You are getting older. Health issues will start appearing. No matter what your level of health is, things happen.
- Life Changes-By the time you are in your thirties you have settled down a bit. You no longer feel the need to bar hop to have a fun time. You may even have a spouse, and kids perhaps. As your life changes your health care policy needs to adjust to fit it. People need added or deleted. Exclusions need to be checked over and changed. Excess amounts may be able to go up, or down. Everything depends upon your life now, and what your financial status is.
- Pre-Existing Conditions-The older that you get the more likely you are to have medical conditions. It may seem like I am repeating myself, but the facts speak for themselves. If you come down with a medical disease, such as diabetes, it may be excluded from the policy because you had it before you got the policy. The earlier that you purchase a private health policy the better off that you will be.
The bottom line is that by the time you hit your thirties you should financially be in a position to pay for the premiums without causing you to go bankrupt. You should also have settled down and understand that you need to plan for your later years before it is too late.
And do not forget that if you do not purchase a policy before you hit thirty-one you will be charged 2% per year that will be added on top of the premium. A premium that will already be higher because you waited until you were in your thirties. If you do not have a policy yet, do so as soon as you can. If you have one already, excellent job, but it is time to adjust it to match your new needs.