What is Lifetime Health Cover (LHC) Loading?

What is Lifetime Health Cover (LHC) loading and how does LHC loading work?

This premium loading was introduced by the Australian Government in July 2000 to encourage people to take out private hospital insurance at a younger age and maintain it over time.

Once you turn 31, you’ve got until the following 1 July to buy private hospital cover and avoid paying the loading.

For every year you delay, you may have to pay an additional 2% (up to a maximum of 70%) on top of the cost of your private hospital cover. The good news is that the loading doesn’t last a lifetime. Once you have held private hospital cover for 10 continuous years, the loading will be removed.