PHI 48/25 Private Health Insurance Legislation Amendment Rules (No. 5) 2026

This circular provides information about hospital accommodation benefits, nursing home-type patient (NHTP) contribution and insurer benefits, and the second-tier eligibility application fee from 1 July 2026.

Date published:
PHI circular type:
PHI announcement

The Private Health Insurance Legislation Amendment Rules (No. 5) 2026(the Amendment Rules) amend the:  

The Amendment Rules were registered on the Federal Register of Legislation on 26 June 2026. 

We administer private health insurance under the Private Health Insurance Act 2007and associated rules. 

The Amendment Rules, commencing 1 July 2026 amend the: 

  • Benefit Rules to update the minimum benefits payable by private health insurers per night for overnight and same-day accommodation for private patients in private hospitals nationally, and public hospitals in all states and territories.  
  • Benefit Rules to update the benefits payable by private health insurers per night for nursing-home type patients (NHTP) in public hospitals in the Australian Capital Territory (ACT), Western Australia (WA), and South Australia (SA). 
  • Complying Product Rules to increase the daily patient contribution payable by a NHTP in public hospitals in the ACT and WA, bringing these jurisdictions into alignment with the contribution amount amended for all other states and territories, and private hospitals nationally, in March 2026. 
  • Business Rules to amend the fee for processing and assessment of applications by declared private hospitals for inclusion in the second-tier eligible hospitals class to $1,050. 

Overnight and Same Day Accommodation Benefit Indexation 

Overnight and same-day minimum hospital treatment accommodation benefits payable by insurers for private patients are indexed annually effective 1 July. The indexation figure applied is the percentage change reported by the Australian Bureau of Statistics (abs.gov.au) in the Consumer Price Index (CPI) weighted average of eight capital cities for the twelve months to the March quarter; which for March 2026 is 4.6 per cent. 

Total fees and charges for privately insured patients in public hospitals are determined by the state or territory in which the patient is receiving treatment. 

Overnight accommodation 

The minimum benefits payable by insurers will change from 1 July 2026 for overnight accommodation for private patients in public hospitals in each state and territory, and private hospitals nationally. These changes will be incorporated into the Benefit Rules. 

The table below summarises the minimum benefits payable by insurers from 1 July 2026 for private patients’ overnight accommodation, in private hospitals nationally. 

Overnight accommodation for private patients at private hospitals all States/Territories

Class of patientMinimum benefit payable per night
Advanced surgical patient
‑ first 14 days$565
‑ over 14 days$393
Surgical patient or obstetric patient
‑ first 14 days$524
‑ over 14 days$393
Psychiatric patient
‑ first 42 days$524
‑ 43 – 65 days$455
‑ over 65 days$393
Rehabilitation patient
‑ first 49 days$524
‑ 50 ‑ 65 days$455
‑ over 65 days$393
Other patients
‑ first 14 days$455
‑ over 14 days$393

The tables below summarise the minimum benefits payable by insurers from 1 July 2026 for overnight accommodation for private patients in public hospitals, in each state and territory.

Victoria overnight shared ward accommodation for private patients at public hospitals

Class of patientMinimum benefit payable per night
Advanced surgical patient
‑ first 14 days$565
‑ over 14 days$393
Surgical patient or obstetric patient
‑ first 14 days$524
‑ over 14 days$393
Psychiatric patient
‑ first 42 days$524
‑ 43 – 65 days$455
‑ over 65 days$393
Rehabilitation patient
‑ first 49 days$524
‑ 50 ‑ 65 days$455
‑ over 65 days$393
Other patients
‑ first 14 days$455
‑ over 14 days$393

Tasmania overnight shared ward accommodation private patients at public hospitals

Class of patientMinimum benefit payable per night
Advanced surgical patient
‑ first 14 days$565
‑ over 14 days$393
Surgical patient or obstetric patient 
‑ first 14 days$524
‑ over 14 days$393
Psychiatric patient 
‑ first 42 days$524
‑ 43 – 65 days$455
‑ over 65 days$393
Rehabilitation patient 
‑ first 49 days$524
‑ 50 ‑ 65 days$455
‑ over 65 days$393
Other patients
‑ first 14 days$455
‑ over 14 days$393

Overnight shared ward accommodation for private patients at public hospitals in the Australian Capital Territory, New South Wales, Northern Territory, Queensland, South Australia and Western Australia

State/TerritoryMinimum benefit payable per night
Australian Capital Territory$467
New South Wales$467
Northern Territory$467
Queensland$479
South Australia$467
Western Australia$467

Same day accommodation

The minimum benefits payable by insurers will change from 1 July 2026 for same day accommodation for private patients in public hospitals in each state and territory, and private hospitals nationally. These changes will be incorporated into the Benefit Rules.

The table below summarises the minimum benefits payable by insurers from 1 July 2026 for same day accommodation for private patients in public hospitals in each state and territory.

Same day accommodation for private patients at public hospitals in all States/Territories

Public hospitalsBand 1Band 2Band 3Band 4
New South Wales$339$377$416$467
Australian Capital Territory$339$377$416$467
Northern Territory$339$389$448$467
Queensland$345$391$428$479
South Australia$339$389$427$467
Tasmania$328$392$452$524
Victoria$333$393$456$524
Western Australia$385$385$385$385

The table below summarises the minimum benefits payable by insurers from 1 July 2026 for same day accommodation for private patients in private hospitals nationally.

Same day accommodation for private patients at private hospitals all States/Territories

Private hospitalsBand 1Band 2Band 3Band 4
All States and Territories$294$368$448$524

Nursing‑Home Type Patient accommodation adjustments

NHTP contributions and minimum insurer benefits are indexed by the Commonwealth twice annually, on 20 March and 20 September. Jurisdictions are consulted on changes to rates in public hospitals. Total fees and charges for privately insured NHTPs in public hospitals are determined by the state or territory in which the patient is receiving treatment. Some jurisdictions apply changes from July or September, annually.

Benefit payable by private health insurers for NHTP

The benefit payable per night by private health insurers for NHTP in hospitals, was previously adjusted from 20 March 2026 by New South Wales (NSW), Tasmania (Tas) and Vic, will be implemented from 1 July 2026 for private patients in public hospitals in the ACT, SA and WA.

The table below summarises the minimum benefits payable by insurers from 1 July 2026 for private NHTP in public hospitals.

NHTP benefit for private patients at public hospitals in all States/Territories

State/TerritoryMinimum benefit payable per night
Australian Capital Territory$159.85
New South Wales$197.35
Northern Territory$162.75
Queensland$150.75
South Australia$157.00
Tasmania$197.95
Victoria$175.39
Western Australia$156.70

Although there is no change to the NHTP benefit for private patients at private hospitals, it is included in the Amendment Rules to update the table format.

The table below summarises the minimum benefits payable by insurers from 1 July 2026 for private NHTP in private hospitals nationally.

NHTP benefit for private patients at private hospitals in all States/Territories

Private HospitalsMinimum benefit payable per night
All States and Territories$28.60

Patient contribution

The daily patient contribution payable by a NHTP in hospital was adjusted from 20 March 2026 in NSW, the NT, Qld, SA, Tas, and Vic. Changes will be implemented from 1 July 2026 for patients in public hospitals in the ACT and WA.

The table below summarises the daily patient contribution payable by a NHTP in public hospitals from 1 July 2026.

NHTP contribution for patients at public hospitals in States/Territories

State/TerritoryDaily NHTP contribution
Australian Capital Territory$82.50
New South Wales$82.50
Northern Territory$82.50
Queensland$82.50
South Australia$82.50
Tasmania$82.50
Victoria$82.50
Western Australia$82.50

Second-tier benefits eligibility application fee indexation

The activities and tasks that make up the assessment for second tier default benefits eligibility have been reviewed and updated. Government policy to index charges annually has resulted in an increase in the application fee of $40, to $1,050 from 1 July 2026.

Find out more in our Cost Recovery Implementation Statement.

More information

Further details on amendments are included in the Explanatory Statement accompanying each set of Amendment Rules available on the Federal Register of Legislation website by searching ‘Private Health Insurance Legislation Amendment Rules (No. 5) 2026.’

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