It’s only natural to want to take care of your family, and insurance can be a big part of that.
When it comes to health insurance, there are reasons why it might make sense to have cover as a family group.
Here’s what you might need to know.
Why take out health insurance as a family?
Having health insurance as a family unit can sometimes help from a “life admin” perspective.
It can make it easier to keep track of what cover you have, and where you have it. Having only one direct debit can make your payments easier to manage.
Often, the additional premium that is charged when you add a child to an insurance plan is relatively small.
You may sometimes also be able to access a discount, particularly if you have a larger family. Some insurers, such as Southern Cross for example, have a limit on the number of children that families are charged premiums for. Beyond that, cover is then free.
Adding a newborn on to your policy may also give you streamlined access to health insurance for them. Sometimes there’s a period of time in which you can take out cover for your baby and have any pre-existing health conditions covered.
You can usually add people such as your partner, children, parent or grandchildren to your policy as long as they are eligible for cover.
Some insurers charge a policy fee, so having joint cover can mean you only have to pay one of these.
Key factors to look for
You’ll need to decide on the type of cover that you might need.
The main options are usually either comprehensive cover, which can help with anything from a routine check-up to a surgery; cover that focuses on surgery and specialists; and everyday policies that are designed to help share the costs of more minor healthcare appointments.
In an ideal world, kids are fit and healthy. But childhood illnesses do occur, and there can be waiting lists for treatment in the public system. Data from Southern Cross shows that something such as tonsil removal can cost more than $7000 if you decide to pay for it yourself, rather than have your child on a lengthy waitlist.
You may also need to think about things like the level of excess that might be appropriate and what benefit limits apply.
If your employer offers a group scheme for insurance, you may find that it allows your children to be covered too.
What’s the difference?
All members usually need to be on the same type of plan as the policyholder, although they may be able to have individual add-ons.
There could be a limit on how old your children can be and remain on your plan – this is something to keep an eye on.
If you’re listed on a family plan, you will need to be the policyholder, or be given authority, if you want to make changes to it.
Time to get sorted?
If you’d like to put some health insurance in place for your family, or check on the cover you already have, get in touch with us. We can help you to understand what is on offer and what might be a good fit for you.
Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current developments or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.
