Help your clients make smarter health insurance decisions this EOFY

ARTICLE

26 May 2026

3 min read

As the end of the financial year approaches, many clients will be reviewing their financial position and looking at opportunities to reduce tax, improve cash flow, and plan ahead.

As the end of the financial year approaches, many clients will be reviewing their financial position and looking at opportunities to reduce tax, improve cash flow, and plan ahead. Private health insurance is often overlooked in these discussions, yet it can play an important role in both tax outcomes and long-term savings.

Below are a few key focus areas to support EOFY conversations with clients and ensure their cover is still working for them.

Check whether Lifetime Health Cover loading still applies

For clients who took out hospital cover later in life, Lifetime Health Cover loading may still be affecting their premiums. However, once hospital cover has been held continuously for 10 years, the loading can be removed entirely.

EOFY is a useful prompt to review how long cover has been held and whether premiums could be adjusted as a result – potentially reducing costs without changing cover.

Help clients avoid the Medicare Levy Surcharge

Clients earning above the relevant income thresholds who don't hold appropriate hospital cover may be subject to the Medicare Levy Surcharge of up to 1.5% of their income.

Putting compliant cover in place before 30 June can help reduce their tax exposure for the year ahead, while also providing access to private healthcare when needed.

Make sure the private health insurance rebate is set correctly

The private health insurance rebate is income-tested, and changes in salary or household income can push clients into a different rebate tier without them realising.

Now is a good time to confirm they're in the correct income tier and understand their rebate options - whether that's claiming it as a reduced premium throughout the year or as a lump sum at tax time. It’s also worth reminding clients that the rebate doesn't apply to any Lifetime Health Cover loading.

By raising these considerations, you're helping clients approach EOFY with clarity - supporting better tax outcomes, fewer surprises, and more confidence in their health insurance decisions.

AIA Health June offer

Help your clients make the most of EOFY with this month's offer.

For the month of June, we're offering new AIA Health clients up to 10 weeks cashback when they take out an eligible combined hospital & extras policy. If they take out an eligible hospital policy, they will receive 4 weeks cashback. View T&Cs.

Make a successful health insurance referral and you'll receive a referral fee of 20% on the first year's premium (plus GST), paid to your licensee once your client's policy becomes financial.

Refer your client today via the 'Health Portal' which is located on the Adviser Portal.