What is the Australian Government Rebate?

Find out how the Australian Government is making private health insurance more affordable.

Private health insurance rebate explained

The private health insurance rebate is an Australian Government initiative that helps make health insurance more affordable. It’s a sum of money you can get back at tax time or apply to your premium to make it cheaper. The rebate applies to hospital, extras and urgent ambulance insurance.

How can I get the rebate?

If you meet the Government’s eligibility criteria, you can access the rebate in two ways:

Neither way is better or will give you back a larger amount – it’s just a matter of preference.

How much will I get?

Your rebate amount depends on your age and taxable income. The less you earn, the greater your refund.

The rebate is adjusted on 1 April every year.

Tax Tiers:
Base Tier
Tier 1
Tier 2
Tier 3
Singles
≤$90,000
$90,001-105,000
$105,001-140,000
≥$140,001
Families
≤$180,000
$180,001-210,000
$210,001-280,000
≥280,001
Rebate
<Age 65
24.608%
16.405%
8.202%
0%
Age 65 - 69
28.710%
20.507%
12.303%
0%
Age 70+
32.812%
24.608%
16.405%
0%
Medicare Levy Surcharge
All ages
0.0%
1.0%
1.25%
1.5%

Find out more about how the rebate works on the ATO’s website.