Key takeaways
- Family policies cover dependants — typically to age 18, or 25 if studying.
- Newborns are covered from birth if obstetric waiting period was served.
- Young adults leaving the family policy need their own cover before 31 to avoid LHC.
Singles, couples, and family policies structure premiums and dependant rules differently. Choosing the right policy type affects both cost and whether your children are covered when they need it most.
On this page
How family policies work
A family policy covers two adults and dependant children under one premium — usually around 1.5 to 2 times a single premium. Couples without children hold a couples policy with similar structure.
Covering children and newborns
Newborns are covered from birth under an active family hospital policy, provided the mother has served the 12-month obstetric waiting period. Notify your fund of the birth to add the child to the policy.
When singles cover makes sense
Below the MLS income threshold, the main incentive is avoiding LHC loading after age 31. A basic Bronze or Silver hospital policy may be sufficient. Above the MLS threshold, compare surcharge cost against a mid-tier hospital policy.
When dependants age off
When adult children leave the family policy (at 18 or 25 if studying), they need their own hospital cover before 31 to avoid accumulating LHC loading. Families should plan this transition well in advance.
General information only — not personal financial advice. Consider your own circumstances and read the Product Disclosure Statement (PDS) before purchasing any policy. Moneyhero may earn referral fees from some providers when you switch through us; this does not change how results are ordered. How we compare
Frequently asked questions
Singles vs family cover — how pricing works, children's cover, and when to split policies.
Are newborns automatically covered on a family hospital policy?
Yes — a newborn is covered from birth under a family hospital policy that is already active, provided the mother has served the obstetric waiting period (usually 12 months). The family must notify the fund of the birth to add the child to the policy.
When should I move from a single to a family policy?
Typically when you are expecting a child or have a partner who needs cover. Contact your fund to understand the premium change and whether any waiting period changes apply. Pregnancy waiting periods must be served before obstetric claims are covered.
Can a dependent child have different cover to the rest of the family?
Dependants on a family policy share the same tier and inclusions as the policy holders. If a specific family member has different clinical needs, a separate policy may be worth considering — though this usually increases overall cost.
What happens to a young adult's LHC loading when they leave the family policy?
When a young adult leaves the family policy (typically at 18 or 25), their LHC clock resets. They have until their 31st birthday to take out their own hospital cover without incurring LHC loading. Each year after 31 without hospital cover adds a 2% loading.