Rebate changes from 1 April 2014

From 1 April 2014, your rebate contribution from the Australian Government will increase based on a weighted average ratio. The weighted average ratio is determined using a formula which takes into account growth in the Consumer Price Index and the industry weighted average premium increase.

 

Under the current legislation, an industry level approach applies through the use of the weighted average ratio. The weighted average ratio will result in 96.8% of the premium paid (excluding Lifetime Health Cover loadings) attracting a rebate.

 

The change will come into effect on 1 April 2014 and will apply to any premium payments that are made on or after that date.  The rebate will continue to be paid as a percentage of premiums paid, excluding any Lifetime Health Cover loading that may be applicable.

 

For more information about these changes, contact your health fund or check www.privatehealth.gov.au for further updates.