What is Medicare & how does it work?

What is Medicare?

It took me a long time to work out what Medicare is and how it applies to a working holidaymaker. So I have pulled all my research together for a quick read.WHAT IS MEDICARE

Medicare is a scheme that gives Australians access to Healthcare. Like the NHS in the UK, Medicare helps make healthcare affordable. Medicare lets people get a range of medical services and prescriptions at a lower cost and free care as a public patient in a public hospital.

Once enrolled in Medicare, within 10 working days you will receive a Medicare Card in the post with your Medicare number on. Keep this safe because you don’t want anyone else to use it.

Who is eligible for Medicare?

Medicare has Reciprocal Health Care Agreements with the following countries:

Be sure to click the  Reciprocal Health Care Agreement links above and have a click through some of the information offered for other countries.  For UK citizens you are eligible to claim Medicare until your visa expires, but for some European citizens, you can only claim Medicare until your European Health Insurance Card expires.

What you can use Medicare for:

  • Free care as a public patient in a public hospital
  • Under the Pharmaceutical Benefits Scheme (PBS) you pay only some of the cost for most prescriptions purchased. You must present your Medicare card to save
  • Free or subsidised treatment by health professionals (doctors, specialists, optometrists and in specific circumstances dentists)
  • Free treatment and accommodation as a public Medicare patient in a public hospital
  • 75% of the Medicare Schedule fee for services and procedures if you are a private patient in a public or private hospital, not including hospital accommodation and items such as theatre fees and medicines.

Tip: When looking for a doctor to visit, find a ‘bulk billing’ doctor to ensure your treatment can be covered by Medicare.

Why get Medicare?

Even if you have travel insurance it is worth applying for Medicare, because it saves you money on prescriptions and allows you to get a checkup in the year your spend in Australia. It is also a great proof of address.

Don’t worry about the Medicare levy – it is a 1.5% tax on income for high-income earners without private health insurance, so it won’t apply to you.

How do I apply?

You need to go in person to a Medicare Service Centre with a Medicare application form and the following checklist of information. 

Find your nearest Centre

Click the tool for a link to find your closest Medicare Service Centre

Tip: Try to arrive first thing in the morning. The Medicare sections seem to close early in the afternoons.

Application Checklist

Documents and information to prepare before applying:

  • Two documents that prove you are living in Australia, this could be any of the following:
    • Bond receipt
    • Lease or rental agreement
    • Proof of job
    • Bank statements
    • Bill payments – gas, electric etc
  • A copy of your visa
  • Passport or travel document

The following two pieces I wasn’t asked for but might be worth bringing with you:

  1. Proof of overseas health insurance may be required
  2. Evidence of Australian arrival and departure dates – not usually asked for – it is part of the application. You can just show your e-ticket on your phone if you get stuck.

Again, having an address is tricky. I advise getting a Medicare card when you start working because you will have all the appropriate documents and you have the ability to stay in one place for a while. You need the physical card to pick up any prescriptions so you need to be able to get it in the mail.

Download your Medicare Form

Click the tool above to download a copy of the Medicare Form.

How does Medicare work?

You still pay full price when you go see the doctor but Medicare will be automatically claimed back if you add your information when registering for a doctor.

Any other questions give Medicare a call. They have a  general inquiries line that is open 7 days a week, 24 hours a day. Just call 132 011.

Why do you still need travel insurance?

In short, Medicare is not substituted for private overseas travel insurance, for example, Medicare won’t cover your transport costs which many private travel insurance operators will. Medicare also does not protect your belongings. 

Next

Find out how to save when you book or read all about what you need to do with your work essentials before you depart Australia

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