Aug 24, 2026 – 5.11pmAlmost one million high-income Australians would pay thousands of dollars more in tax penalties for not having private hospital insurance under a proposal by health funds opposed to the Albanese government’s planned axing of age-based rebates for the elderly.The number of people paying the Medicare levy surcharge – a tax penalty averaging $1500 annually for those above a certain income threshold who do not have private health insurance – has almost doubled in the past year to more than 900,000 people, new industry data shows.Subscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? Fetching latest articles
Insurers call for high earners without health cover to pay more tax
The number of high-income Australians ditching private health insurance is soaring due to increasing health insurance premiums and cost-of-living concerns.







