1. You’ll get your choice of doctor or specialist

You can choose your doctor or specialist. Choosing your doctor can be reassuring if continuity of care is important to you; for example, if you have an ongoing condition and are admitted to hospital for it, your regular specialist can continue to treat you throughout this journey.

If you’re planning on having a baby, you can choose an obstetrician to look after you throughout your pregnancy and delivery. You can do this with private health insurance, but not in the public system.

Just keep in mind that if you want to make the most of your private hospital insurance, you’ll need to make sure your chosen doctor has an agreement with your health fund. Otherwise, you might have high out-of-pocket expenses to cover your doctor’s fees (and anyone else involved in your surgery, like the anaesthetist).

2. You get to choose your own hospital

You can choose which hospital you’re treated in – you can even choose to be a private patient in a public hospital. Your choice might depend on the doctors who work there, how easy it is for you to get to hospital, when you’ll likely be treated, the number of private rooms available, the quality of facilities (and food), and even the hospital’s visiting hours for friends and family.

Public patients don’t get to choose where they’re treated.

Check whether your health fund has an agreement with your preferred hospital – this will help reduce your out-of-pocket hospital stay costs, like hospital accommodation and operating theatre fees.

3. Waiting times for elective surgeries might be shorter

For the most common elective procedures in public hospitals, private patients only had to wait a median of 28 days in 2024–25, compared to public patients, who had to wait 53 days, according to the Australian Institute of Health and Welfare (AIHW).

Elective procedures are the kind that are medically necessary but aren’t treated as an emergency needing urgent treatment – think things like grommets, cataract surgery and joint replacements. However, this doesn’t make the wait for them any less challenging, frustrating or painful. And public hospital waiting lists can be very long: in 2024–25, 10% of patients waited for 329 days or more for their elective surgeries, according to the AIHW.

By using the private system and avoiding the public waiting list, you’ll likely have shorter waiting time, which means you can get on with your recovery (and your life) more quickly. Just don’t forget to check your policy documents for any relevant waiting periods before you can start claiming on your health insurance.

4. It might save you some extra tax costs

 Holding appropriate private health cover may help you avoid paying up to an extra 1.5% in tax for the Medicare Levy Surcharge (MLS), and your hospital and extras cover can be claimed as a tax offset through the ATO, thanks to the private health insurance rebate. What you’re eligible to claim back and save depends on your taxable income and age.

From 1 July 2026, to avoid the MLS, singles earning over the $105,000 income threshold need private hospital cover with an excess of $750 or less, while couples and families earning over $210,000 need a hospital policy with an excess of $1,500 or less. Otherwise, they’ll need to pay at least 1% of their annual taxable income in additional tax (your percentage depends on your income tier). For instance, a single person who earns $165,000 would pay an MLS of $2,475. You can use our MLS calculator to see if you need to pay the MLS and how much you need to pay.

On the flipside, the private health insurance rebate is a chance to claim some money back on your health insurance as a tax offset, courtesy of the Australian Government. As of 1 July 2026, you can get up to 32.158% back. This can be for hospital insurance, extras cover or both. This government incentive is income tested, so your taxable income and age determine your rebate percentage. For instance, a family with one child, no one aged over 65 and a combined income of $220,000 would be eligible for a 16.079% rebate. On a policy that costs $3,500 annually, that would be a rebate of $562.77.

You don’t have to claim your Australian Government rebate on your annual tax return, though. Instead, you can get the rebate as a reduction on your private health insurance premiums from your insurance provider.

5. You’re more likely to get a single room

You can ask for a private room while public patients usually can’t. A private room can make getting some much-needed rest a little easier, as well as make you feel more comfortable having visitors pop by.

While there’s no guarantee a private room will be available, some private hospitals have more private rooms on hand than others. And if you do miss out, some health funds offer a little money back on your hospital visit.

6. You might get cover for your ambulance costs

Cover for emergency ambulance transport costs is included in many hospital and extras policies. As many states in Australia don’t offer free ambulance transport for all residents (some people are eligible for subsidised or discounted fees), this can be a convenient option.

What’s included in your policy’s ambulance cover can vary. For example, some policies might only cover you in the state or territory of your residence, while others might not cover call-out fees (when an ambulance comes and treats you but doesn’t end up taking you to a hospital).

7. It’s good for the community

Taking out private health insurance helps free up the public health system for those who can’t afford to go private. This eases the pressure on the public system (and public health care workers), helping support both sides of Australia’s health care system.