Reciprocal Health Cover

If you’re visiting Australia to work and have access to Medicare you may have to pay the Medicare Levy Surcharge. The Medicare Levy Surcharge is an additional surcharge on top of the Medicare Levy which is paid by all taxpayers in Australia.

Purchasing Reciprocal Health Cover can help eliminate this extra expense. Seek independent tax advice or to find out more.

Am I Medicare eligible?

If you are a resident of a country holding a Reciprocal Health Care Agreement (RHCA) with Australia, you will have access to Medicare.

These countries include:









New Zealand







Do I have to pay the Medicare Levy Surcharge?

If you

  • are from an RHCA country and are eligible for a Reciprocal Medicare Card; and 
  • earn over $90,000 (single) or $180,000 (family)^ a year; and
  • don’t have Reciprocal Health Cover with an overseas visitors hospital cover

you may have to pay the Medicare Levy Surcharge. Seek independent tax advice or visit to find out more.

What are the benefits of Reciprocal Health Cover?

CBHS Corporate will provide you with a tax statement at the end of the financial year which can be submitted to the Australian Taxation Office (ATO) with your tax return. This may exempt you from paying the Medicare Levy Surcharge.

Reciprocal Health Cover doesn’t offer any additional benefits other than those listed below and you may face large out of pocket expenses should you be treated in a private hospital or for services not covered under the reciprocal Medicare arrangement.

What hospital services are covered under Reciprocal Health Cover?

Reciprocal Health Cover provides restricted benefits only for the services mentioned below.

  • Psychiatric services
  • Rehabilitation services
  • Palliative care services

All other services are excluded and Members will incur large out of pocket expense for treatment.

Please refer to the Fund Rules for more information:

Restricted benefits

The services listed as restricted benefits when provided in a private hospital, are eligible for Minimum Default Benefits prescribed by private health insurance legislation. These benefits relate to hospital bed charges and are unlikely to cover the fees charged for a private hospital admission.

^Note: Income thresholds effective 1 July 2015 - 30 June 2018. On a family membership this income threshold increases by $1,500 per child after the first child. The family income thresholds apply to single parent families, couples including de facto couples. There are specific rules for calculating adjusted taxable income for Medicare Levy Surcharge and income testing purposes. For more information go to

Download Reciprocal Cover Product Sheet

When deciding if this product is right for you, please refer to the CBHS Corporate Health Health Benefit Fund Rules. This information should be read carefully and retained.