Private Health Insurance Insurance for Couples

Is it better to get two singles policies or switch to shared couples health cover? That’s a question many couples are asking, but the answer depends on your health needs, income, and lifestyle.

A couples policy won’t necessarily save you money, but it can offer tax benefits, government rebates, and a more streamlined way to manage your cover.

Key points

• A couples private health insurance policy offers the simplicity of one premium, but both people on the policy must typically have the same level of cover.

• You might get a higher government rebate as a couple, especially if one partner is over 65.

• If your healthcare needs are different, two singles policies may be the better option for you. 

What should couples know before choosing joint couples private health cover?

A couples health insurance policy can offer convenience and potential tax benefits. But it’s not a one-size-fits-all solution. 

While you only pay one premium and manage one account, both people must be on the same cover — which can be costly if your health care needs differ.

🎯PRO TIP! If one partner has complex or expensive health needs, it can be a good idea to compare the total cost of two tailored singles health insurance policies before deciding to take out couples health cover. 

Source: Fair Healthcare Alliance

What is couples health insurance and how does it work? 

Couples private health cover is essentially one policy that covers two adults, and  usually applies to married or de facto couples. 

Like other health insurance policies, you can choose hospital cover, extras cover, or a combined policy.

• Hospital cover typically covers in-hospital treatments as a private patient. This often includes costs associated with theatre fees and hospital accommodation.

• Extras cover typically helps pay for out-of-hospital treatments like dental, optical, physio and more.

Is couples heath insurance cheaper than two single policies?

That depends. While couples private health insurance usually costs around the same as two comparable singles policies, the value really comes down to your personal healthcare needs. For example, if one partner needs services like joint replacement or IVF (which typically require top-tier hospital cover), and the other doesn’t, a joint policy may mean that you’re both paying for that higher tier.

Mark and Elise’s Story Mark and Elise were reviewing their health insurance. Elise needed IVF treatment, which meant they’d need a Gold-tier hospital policy. Mark, on the other hand, was fit and healthy, with no plans for major treatment.

At first, they assumed a couples policy would be cheaper and easier. But when they crunched the numbers, they realised the Gold-tier couples policy would cost more than two singles policies — one tailored to Elise’s needs, and one with a more basic tier for Mark.

By splitting their cover, Elise got the IVF support she needed, and Mark avoided paying for services he’d never use.

❗Find out how to switch your health cover.

Can married couples have separate private health insurance?

Absolutely! Whether you’re legally married, in a de facto relationship, or just moved in together, you can choose to hold individual singles policies. 

What should couples know about pregnancy and family planning? 

Pregnancy and birth services are usually only included in Gold-tier hospital cover. So, if you hold a couples policy, both partners must be on Gold cover, even if only one is planning to give birth.

However, you may save money by splitting your cover into two singles policies with  one partner on Gold for pregnancy, and the other on a lower tier.

🚨ALERT! There’s usually a 12-month waiting period for pregnancy and obstetrics, so plan early.

Source: Commonwealth Ombudsman

❗Learn more about health insurance for pregnancy.

How does the private health insurance rebate work for couples? 

The private health insurance rebate is designed to lower the cost of your premiums. For couples health cover, the rebate is based on:

• Your combined household income

• The age of the oldest partner on the policy

• If your partner is over 65, both of you may benefit from a higher rebate on your couples policy.

Government rebate tiers for couples

How is lifetime health cover (LHC) loading calculated for couples? 

If you didn’t take out hospital cover by 1 July after your 31st birthday, you may have to pay a 2% loading for every year you waited.

For couples, the LHC loading is averaged between both partners. 

For example, if one partner has a 0% loading and the other has 10%, the couples policy carries a 5% loading.

❗Learn more about lifetime health cover loading.

Are couples charged the Medicare Levy Surcharge (MLS)?

If your combined household income is over $194,000 and neither of you holds eligible hospital cover, you’ll pay the MLS, which is between 1% and 1.5% of your income. 

However, holding even a Basic hospital policy is enough to avoid the surcharge.

Medicare Levy Surcharge Rates (2024–25)

James and Anna’s Story 

James and Anna both had good jobs, and their combined income topped $200,000. They didn’t think much about private health, until tax time rolled around.

They were hit with a surprise Medicare Levy Surcharge of more than $2,000, simply because they didn’t have hospital cover.

The next year, they took out a Basic hospital policy for a few hundred dollars each — just enough to meet the government’s requirement. It didn’t cover much, but it meant they avoided the MLS and saved money overall.

Want to find the best health insurance for couples? Compare Club’s experts have saved over 239,000 Australians an average of $295* by helping them compare health cover in the last 10 years.

[SOURCES]

Fair Healthcare Alliance

Commonwealth Ombudsman

Australian Taxation Office PrivateHealth.gov.auPrivate Healthcare Australia

*$295 based on 239,107 sold over the past 10 years (From 2015 to 2024).

Disclaimer: 

Compare Club Australia Pty Ltd ABN 29 634 600 007 of 222 Pitt Street Sydney (Ph: 1300 904 624) owns and operates compareclub.com.au and its associated websites. The information contained in this email is of general nature only and has been prepared without taking into consideration your objectives, needs and financial situation. We compare selected products from a panel of trusted insurers. We do not compare all products in the market.

Chris Stanley is the sales & operations manager of health insurance at Compare Club. With extensive experience and expertise, Chris is a trusted leader known for his deep understanding of health insurance markets, policies, and coverage options. As the sales & operations manager of health insurance, Chris leads a team of dedicated professionals committed to helping individuals and families make informed decisions about their health insurance needs.

Meet our health insurance expert,  Chris Stanley

Chris's top health insurance tips:

• 1

  Australia’s public health system is world-class, but wait times for public hospitals can be long, inconvenient - and leave you living in constant pain while you wait.

• 2

  An appropriate private health insurance policy can speed up your surgery, relieving your pain sooner.

• 3

  Family health cover means your children are covered under the same policy as you.

• 4

  Many health insurance policies come with a 12-month waiting period for pregnancy-related cover, so it’s a good idea to get a family policy organized well before starting your family. This means your child will be covered from birth until at least their early twenties (depending on which health fund you select).