This seems like a good place to ask the question since its about how far to go to save money.
If I get basic hospital cover to avoid tax (Private patient in public hospital), and my partner or I need to go to the hospital
A) Is it possible to present as a public patient and avoid $500 excess?
B) Is it wrong/immoral to do this?
Last tax year I had to pay the MLS (Medicare levy surcharge) as our combined income was over the threshold (Some capital gains pushed us into the 1.25% bracket but I expect to be in the 1% bracket for the foreseeable future).
That means I paid tax surcharges of around $2600 for not having private health insurance last year, I will probably have to pay a similar amount this year. I'm happy to pay that towards the government because I'm fortunate and believe in socialized medicine (I wish Australia went full NHS like the UK, dislike private health).
However, I can get a basic health policy that would make me a private patient in public hospitals and avoid the tax for $1760 a year with a $500 excess. That saves me $840 a year if we don't use it. Even though I think the system is crazy and all high earners should pay the tax, I also like to save money!
Don't care about choosing my doctor
Don't care about private rooms
Not interested in private hospitals
Do have a new infant, born in the public system (Great experience) (I believe children are excess free anyway)