- The average Aussie will pay $154 per fortnight, or $4,003 per year, for gold hospital cover, according to an analysis of quotes from eight leading insurance companies
- This is significantly higher than the average quotes available for silver ($58 and $1,504) and silver plus ($87 and $2,267)
- Recent CHOICE data found that gold-level policies were subject to much higher increases on average (13.3%) compared to lower tiers of cover (2.6% to 3.3%) in April 2026
Calls for gold hospital cover to be scrapped are growing louder by the day, as Aussies on the highest level of private hospital insurance are stuck paying up to $2,500 or more extra each year for the privilege.
The growing gap between gold cover and the three cheaper forms of hospital insurance (silver, bronze and basic), changes to rebates for Aussies over 65 and general cost-of-living pressures are all factors in industry modelling that shows up to 200,000 people could downgrade their cover.
However, for households that need to keep paying for it due to its specific coverage, it’ll only further squeeze budgets already at breaking point.
Firstly, what does gold offer that silver can’t?
The clinical categories that all gold cover policies must have, which are optional but typically not included under silver cover, are:
- Cataracts
- Joint replacements
- Dialysis for chronic kidney failure
- Pregnancy and birth
- Assisted reproductive services
- Weight loss surgery
- Insulin pumps
- Pain management with device
- Sleep studies
A quick glance at these categories shows that those trying for a baby and senior Aussies looking for cover will have no choice but to cop it.
There are some silver policies that include one or more of the above, which is known as silver plus cover.
Insurers typically offer multiple levels of silver plus cover, ranging from those with only sleep studies covered (which we classed as silver in calculating average costs) to others with up to four or five of these categories.
Not all that glitters is gold: average premiums paint an expensive picture
When you put the cost of silver, silver plus and gold policies side by side, it’s clear to see why so many Aussies will be looking to jump ship.
Below are the average fortnightly and annual costs of hospital-only policies for a single person from eight leading insurance companies:
The difference between the average fortnightly silver and gold premiums sits at $97, with the annual gap ballooning to an average of $2,499.
In the case of the middle-ground silver plus policies, you’re still paying $67 more per fortnight and $1,736 more per year to take out gold cover.
Although the average annual gold premium sat at an already staggering $4,003, the most expensive policy available through one of the eight insurers we analysed added up to an eye-watering $4,991 for a year’s worth of coverage.
All of this falls in line with recent CHOICE data, which found that gold cover premiums rose by an average of 13.3% in April of this year among the big five insurers (and as much as 25% with one of them), while basic, bronze and silver only went up by 2.6% to 3.3% on average.
Seniors hit hard by gold cover price hikes, slashed rebates
Not only have plenty of over-65s been hit by the massive premium increases to gold cover, but they must also contend with the impending reduction to the age-based rebate.
As it stands, those under 65 can receive a rebate of up to 24.118%, 65 to 69-year-olds can receive up to 28.139% and those aged 70 or older can get as much as 32.158% off their private health insurance premium.
However, the Australian Government has announced that the rebates for those 65 and over will be lowered in line with the rate for under-65s from April 2027.
The move is set to cost older Aussies between $226 and $255 more per year on average, before any (likely) future gold cover premium increases are factored into the equation.
Existing cost-of-living pressures sending gold cover towards extinction
Of course, there’s plenty that seniors and expectant parents have to worry about beyond their health insurance, with mortgage stress continuing to rise and steep fuel price hikes having impacted drivers across the country since the onset of the war in the Middle East.
All of this is creating a perfect storm, forcing households into an unwinnable position that could eventually spell the end of gold hospital insurance as we know it, according to Savvy Managing Director Bill Tsouvalas.
“Health insurance companies are pricing Aussies out of gold cover as they look to force the Government into reforming the current four-tiered system,” he said.
“If you have the choice, making the switch to a lower-level policy is a no-brainer to help you save thousands of dollars each year while still receiving adequate coverage.
“For those who are pregnant or getting on in age, though, the move by insurers to hike premiums to dizzying heights will force more people into a choice between sacrificing a larger chunk of their budget or going without and taking their chances in the public system.
“Reviewing your health insurance policy regularly is crucial, as you can keep an eye on how your premiums stack up against the competition over time and whether it’s worth dropping to a lower tier if you aren’t making use of all your policy’s inclusions.”
