What is single parent health insurance?
Single parent health insurance is a type of policy provided by health funds for single parents and their child(ren). Unlike family health insurance, which usually covers two parents and children, this policy covers you and your little one(s) under one plan.
Though it differs in who it covers, single parent health insurance essentially works the same as other forms of private health insurance. You and your children typically have access to a variety of health benefits, such as receiving treatment as private patients and covering gap payments for dental care.
The only real difference is that single parent health insurance is generally a little cheaper than a standard family policy, as it covers only you and your dependents.
In Australia, millions of people are covered by some form of health insurance, but only about 5% of policyholders have single-parent Hospital cover. The majority are on family policies, with the rest split between couple and single policies, according to the most recent health insurance statistics.
Types of health insurance policies for single parents
Single parent health insurance comes in three types: Hospital-only, Extras-only or combined Hospital and Extras cover. All members included on the policy will have the same type of coverage, and you have the flexibility to choose the level of cover that best suits your family’s needs and circumstances.
A recent Money.com.au survey found that 18% of parents had Hospital cover, 13% had Extras, and 69% had both.
Hospital cover for single parent families
A Hospital policy gives you the option to have you and your kids treated as private patients in a public or private hospital. For example, it can help cover expenses for surgeries, including medical costs, as well as related costs like accommodation, transport and meals during a hospital stay.
You can choose the level of cover that suits your family’s needs (Basic, Bronze, Silver or Gold), with varying inclusions and coverage levels depending on the plan you select. With a single parent Hospital policy, you and your children will all be covered under the same level of cover.
If you want coverage for common childhood procedures, such as tonsillectomies, adenoid removal and grommets, you’ll typically need to choose a Bronze level of cover or higher. Most Hospital policies include emergency ambulance transport, and higher tiers may cover additional treatments like dental care for wisdom teeth removal if your kids are teenagers.
Extras cover for single parent families
An Extras policy provides coverage for a range of out-of-hospital treatments and expenses, such as dental, optical, physiotherapy and more. Similar to Hospital cover, the inclusions and limits depend on the level of Extras cover you choose.
Coverage under Extras policies isn’t as clearly defined as Hospital cover, so it’s important to carefully review what is specifically covered and the limits for each service when comparing policies for your loved ones.
With Extras cover, you generally can’t choose different inclusions for each of your children, and there will be limits for each treatment, either per person or as a total family limit. For example, you might have an annual limit of $500 for general dental or a $1,200 lifetime limit for orthodontics, depending on the policy.
What can single parent health insurance cover?
Health insurance can cover a wide range of medical benefits, depending on the policy. Here are some key services and treatments that are particularly important for single parents to have coverage for:
1
Ambulance services
Ambulance services are covered when you and your kid(s) need immediate medical attention and can’t be transported by any other means. Ambulance cover is typically included in any health insurance policy (Hospital or Extras cover), regardless of the level of coverage. If you’re in Queensland or Tasmania, you’re already covered by state-based ambulance schemes.
2
General dental
General dental coverage is essential for maintaining oral health, including regular check-ups, cleanings, and preventative care. For single parents, having an Extras policy that covers dental care for both you and your kids can help manage the cost of routine visits and avoid unexpected expenses, otherwise known as ‘gap payments’. General dental usually has a two-month waiting period, with coverage limits that apply either annually or per person listed on your policy.
3
Optical
If you or your children need prescription glasses or contact lenses, most Extras policies cover optical services prescribed by an optometrist, including frames, prescription lenses, contact lenses, and certain lens coatings. There is usually a two-month waiting period, and your policy will likely have an annual limit per person, with Basic and Bronze plans offering lower limits and Silver and Gold plans providing higher limits.
4
Orthodontics
Most Extras policies, Bronze or above, cover orthodontic treatment, such as braces, for both children and adults. This coverage typically includes consultations, x-rays, and the cost of braces or aligners. However, there is usually a 12-month waiting period before you can claim, and policies often have annual or lifetime limits depending on the plan. Basic and Bronze plans usually offer lower limits, while Silver and Gold plans provide higher coverage.
5
Tonsils, adenoids and grommets
Can help cover costs related to treatment of tonsils, adenoids and grommets as a private patient in either a public or private hospital. These conditions are typically associated with young children, though they can also affect teenagers and adults in some cases. Most Hospital policies impose a two-month waiting period before making any claims.
6
Speech therapy
Some Extras policies, typically Silver or Gold, cover speech therapy for infants, children, and adolescents with communication, feeding or swallowing difficulties. This coverage usually includes assessments and treatment sessions with a qualified speech pathologist. A two-month waiting period normally applies before you can claim, and policies often have annual limits per person.
If you or your child has an accident, some health funds, like Bupa and Medibank, offer an ‘Accident Benefit’ to help cover out-of-pocket treatment costs, even if your policy doesn’t typically cover it (up to a limit). This benefit may provide immediate coverage for hospital treatments by waiving the waiting period, so long as you meet the health fund’s criteria. Be sure to check the policy’s Product Disclosure Statement (PDS) and read the fine print to check if accident coverage is included.
Pros and cons of single parent health cover
Pros
- Covers your loved ones for a range of medical services and treatments, giving you peace of mind
- Flexibility to mix and match Hospital and/or Extras based on your family needs
- Cheaper than a standard family policy as it only covers you (one adult) and your dependents
Cons
- While cheaper than standard family cover, the price of premiums may still be out of reach for some single parents
- You get what you pay for - most Basic-tier policies offer limited coverage and fewer inclusions
- Depending on the level of Extras cover, you may only get back a portion of your treatment cost each time you claim, with an annual limit per person/policy generally applying for particular treatments too
How much does health insurance cost for single parents?
The cost of single parent health insurance depends on factors like the level of cover you choose, your income, age, and the state or territory you live in. Your income and age will also impact the private health insurance rebate you’re eligible for. The provider you select can affect the price, so it’s worth shopping around, especially for Extras cover, where policies can vary widely between providers.
Another factor is the Lifetime Health Cover (LHC) loading, which adds a 2% increase on your Hospital cover premium for each year you go without after age 31. If you don't have private Hospital cover from the year you turn 31 and later decide to get it, you'll pay the 2% loading for up to 10 years.
Premiums for single parent health insurance can be expensive, but one of the benefits of private health insurance is that there are various government incentives available to help reduce the cost, if you're eligible.
Here are some examples to give an idea of the potential cost of single parent health insurance based on quotes from some of Australia's largest health funds.
The table below shows the cost of health insurance for a single parent (aged 35), living in NSW, with a household income under $194,000. The cover is for each provider’s most basic level of Hospital cover and a medium level of Extras, covering at least emergency ambulance, general and major dental, optical, and physio.
Single parent health insurance cost comparison
Provider | HCF |
|---|---|
Basic Hospital (per month) | $126.05 (HCF Hospital Basic Plus) |
Extras (per month) | $56.09 (HCF Mid Extras) |
Combined Hospital and Extras (per month) | $182.14 (HCF Hospital Basic Plus & HCF Mid Extras) |
Provider | HBF |
Basic Hospital (per month) | $128.09 (Basic Hospital Plus) |
Extras (per month) | $59.55 (Flex 50) |
Combined Hospital and Extras (per month) | $187.64 (Basic Hospital Plus & Flex 50) |
Provider | Bupa |
Basic Hospital (per month) | $129.82 (Basic Accident Only Hospital) |
Extras (per month) | $67.40 (Freedom 60 Extras) |
Combined Hospital and Extras (per month) | $197.22 (Basic Accident Only Hospital with Freedom 60 Extras) |
Provider | nib |
Basic Hospital (per month) | $141.36 (Basic Accident Hospital) |
Extras (per month) | $58.70 (Core Extras) |
Combined Hospital and Extras (per month) | $200.06 (Basic Accident Hospital & Core Extras) |
Provider | Medibank |
Basic Hospital (per month) | $125.19 (Medibank Bronze Plus Value) |
Extras (per month) | $95.10 (Growing Family Extras Only) |
Combined Hospital and Extras (per month) | $211.02 (Medibank Bronze Plus & Growing Family Extras) |
Provider | Australian Unity |
Basic Hospital (per month) | $155.23 (Core Hospital Bronze Plus) |
Extras (per month) | $67.92 (Focus Extras) |
Combined Hospital and Extras (per month) | $223.15 (Core Hospital Bronze Plus & Focus Extras) |
Provider | GMHBA |
Basic Hospital (per month) | $139.80 (Accident Only Hospital Basic) |
Extras (per month) | $91.35 (Mid Extras Set Benefits) |
Combined Hospital and Extras (per month) | $231.20 (Accident Only Hospital Basic & Mid Extras Set Benefits) |
| Provider | Basic Hospital (per month) | Extras (per month) | Combined Hospital and Extras (per month) |
|---|---|---|---|
HCF | $126.05 (HCF Hospital Basic Plus) | $56.09 (HCF Mid Extras) | $182.14 (HCF Hospital Basic Plus & HCF Mid Extras) |
HBF | $128.09 (Basic Hospital Plus) | $59.55 (Flex 50) | $187.64 (Basic Hospital Plus & Flex 50) |
Bupa | $129.82 (Basic Accident Only Hospital) | $67.40 (Freedom 60 Extras) | $197.22 (Basic Accident Only Hospital with Freedom 60 Extras) |
nib | $141.36 (Basic Accident Hospital) | $58.70 (Core Extras) | $200.06 (Basic Accident Hospital & Core Extras) |
Medibank | $125.19 (Medibank Bronze Plus Value) | $95.10 (Growing Family Extras Only) | $211.02 (Medibank Bronze Plus & Growing Family Extras) |
Australian Unity | $155.23 (Core Hospital Bronze Plus) | $67.92 (Focus Extras) | $223.15 (Core Hospital Bronze Plus & Focus Extras) |
GMHBA | $139.80 (Accident Only Hospital Basic) | $91.35 (Mid Extras Set Benefits) | $231.20 (Accident Only Hospital Basic & Mid Extras Set Benefits) |
Chris Whitelaw, General Manager - Health Insurance at Money.com.au
“Most insurers have preferred healthcare providers with special contracts and agreed prices. Using these providers helps reduce your out-of-pocket costs for services like dental, physio, and chiro. For example, if a dentist charges $190 for a clean, you might only get $140 back if you don’t use a preferred provider. However, using a preferred provider could mean you pay nothing out-of-pocket. Overall, using the insurer’s network gives you better prices and helps you maximise your annual service limits.”
Chris Whitelaw, General Manager - Health Insurance at Money.com.au
The actual cost of health insurance for seniors depends on the type of coverage you select - Hospital only, Extras only, or both Hospital and Extras. It’s also influenced by the coverage level (Basic, Bronze, Silver, or Gold). Other factors that affect the price include who the cover is for, your age, the state you live in, your income (since rebates are based on income levels), and your excess amount.
Choosing the best single parent health insurance
Different tiers, different levels of coverage
Health insurance coverage typically comes in four tiers: Basic, Bronze, Silver, and Gold. Insurers may use different names for their products, which can be confusing, but you should be able to see what’s covered and the limits for each benefit. For example, if you plan to claim dental check-ups and cleans for your child(ren), check that the coverage is adequate.
Out-of-pocket costs
While Basic premiums are appealing, it’s essential to also consider potential out-of-pocket costs. Choose a policy with low excess fees and co-payments for services your children are likely to need, like doctor visits or specialist consultations, so you're not hit with unexpected expenses. Keep in mind that a lower excess will usually mean you’ll pay more for premiums.
Annual limits and waiting periods
Most policies have annual limits and waiting periods for treatments. As a single parent, it’s important to ensure your policy provides enough coverage for your child’s health needs for key services like dental care or specialist appointments. Some insurers even waive waiting periods on certain Extras benefits to encourage people to switch.
Discounts and other incentives
Some health funds offer discounts for signing up, such as free weeks of cover, account credits, gift cards, no-gap offers and more. Additional perks may include discounts or exclusive deals for bundling your health insurance with other products like car insurance, travel insurance or home insurance.
Note: Children can be covered under a single parent health insurance policy by being added as dependents on the parent’s plan. Most insurers allow children to remain covered until they turn 31, as long as they meet the criteria for dependents, such as being full-time students and not married or in a de facto relationship.
