Who benefits from private health insurance in Australia?
The private health care rebate of 30% costs the government $2.5b per year. Only 24% of households under $25,000 per year have private health care, this increases to 69% for household over $100,000 per year. Single parents, young people and poor families are the least likely to have private health care. Due to this the $2.5b rebate disproportionately favours the wealthy, not lower income people.