Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021

Administered by Department of Health, Disability and Ageing

Legislation au C2021A00060 In force Act

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Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021

 

No. 60, 2021

 

 

 

 

 

An Act to amend the Private Health Insurance Act 2007, and for other purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Amendments

Age Discrimination Act 2004

Private Health Insurance Act 2007

Private Health Insurance (Prudential Supervision) Act 2015

 

 

 

Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021

No. 60, 2021

 

 

 

An Act to amend the Private Health Insurance Act 2007, and for other purposes

[Assented to 29 June 2021]

The Parliament of Australia enacts:

1  Short title

  This Act is the Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1.  The whole of this Act

1 April 2021.

1 April 2021

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendments

 

Age Discrimination Act 2004

1  Schedule 2 (table item 9A, column headed “Provision(s)”)

Omit “sections 2215 and 2225”, substitute “sections 225, 2215, 2225 and 2230”.

Private Health Insurance Act 2007

2  Subsection 225(2) (heading)

Omit “Dependent childonly”, substitute “Dependent persononly”.

3  Subsection 225(2)

Omit “*dependent children”, substitute “*dependent persons”.

4  Subsection 225(3)

Omit “*dependent children”, substitute “*dependent persons”.

5  Paragraph 225(4)(c)

Omit “*dependent child”, substitute “*dependent person”.

6  Subsection 2215(5) (note 2)

Omit “dependent children”, substitute “dependent persons”.

7  Paragraph 2225(1)(b)

Omit “*dependent child”, substitute “*dependent person”.

8  Subsection 2225(2)

Omit “*dependent child”, substitute “*dependent person”.

9  Paragraph 2230(1)(b)

Omit “*dependent child”, substitute “*dependent person”.

10  Subsection 635(4)

Omit “*dependent child nonstudent”, substitute “*dependent nonstudent or *dependent person with a disability”.

11  Subsection 635(4)

After “*dependent children”, insert “or *dependent students”.

12  Subsection 635(4)

Omit “dependent child nonstudent” (last occurring), substitute “dependent nonstudent or dependent person with a disability”.

13  Subsection 635(5)

Repeal the subsection.

14  Paragraph 33320(1)(a)

Omit “or section”, substitute “, section or Schedule”.

15  Subsection 33320(1) (table, heading to column headed “Chapter/Part/section”)

Repeal the heading, substitute:

Chapter/Part/section/Schedule

16  Subsection 33320(1) (table item 3, column headed “Chapter/Part/section”)

Omit “and section 1881”, substitute “, section 1881 and Schedule 1”.

17  Clause 1 of Schedule 1 (definition of adult)

Repeal the definition, substitute:

adult:

 (a) when used outside Part 23—means a person who is not a *dependent person; or

 (b) when used in Part 23—means a person who is not:

 (i) a *dependent child; or

 (ii) a *dependent nonstudent; or

 (iii) a *dependent student.

18  Clause 1 of Schedule 1 (definition of dependent child)

Repeal the definition, substitute:

dependent child means a person who:

 (a) is aged under 18; and

 (b) does not have a partner.

19  Clause 1 of Schedule 1 (definition of dependent child nonstudent)

Repeal the definition.

20  Clause 1 of Schedule 1

Insert:

dependent nonstudent means a person who:

 (a) is aged between 18 and 31 (inclusive); and

 (b) is not receiving fulltime education at a school, college or university; and

 (c) is a dependent nonstudent under the *rules of the private health insurer that insures the person; and

 (d) does not have a partner.

dependent person means:

 (a) a *dependent child; or

 (b) a *dependent nonstudent; or

 (c) a *dependent person with a disability; or

 (d) a *dependent student.

dependent person with a disability means a person:

 (a) who is aged 18 or over; and

 (b) who is:

 (i) a person with a disability within the meaning of the expression person with a disability as defined by the Private Health Insurance (Complying Product) Rules; or

 (ii) a person with a disability within the meaning of the expression person with a disability as defined by the *rules of the private health insurer that insures the person.

To avoid doubt, a dependent person with a disability may have a partner.

dependent student means a person who:

 (a) is aged between 18 and 31 (inclusive); and

 (b) is receiving fulltime education at a school, college or university; and

 (c) is a dependent student under the *rules of the private health insurer that insures the person; and

 (d) does not have a partner.

21  Clause 1 of Schedule 1 (definition of holder)

Omit “*dependent child”, substitute “*dependent person”.

22  Application

The amendment of paragraph 2230(1)(b) of the Private Health Insurance Act 2007 made by this Schedule applies in relation to the following days:

 (a) 1 April 2021;

 (b) each later day.

Private Health Insurance (Prudential Supervision) Act 2015

23  Subsection 4(1) (definition of dependent child)

Repeal the definition.

24  Subsection 4(1)

Insert:

dependent person has the same meaning as in the Private Health Insurance Act 2007.

25  Subsection 15(4)

Omit “dependent children”, substitute “dependent persons”.

 

[Minister’s second reading speech made in—

House of Representatives on 25 February 2021

Senate on 18 March 2021]

(8/21)

 

Overview

The Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021 was enacted to address the issue of age discrimination within the private health insurance sector, specifically targeting the treatment of dependants. Passed by the Parliament of Australia and assented to on 29 June 2021, the Act aims to amend the Private Health Insurance Act 2007 to ensure that individuals under private health insurance policies are not unfairly disadvantaged based on their age. The Act seeks to broaden the definition of dependent persons, thereby extending the benefits and protections available to individuals who are currently excluded from these provisions due to their age. This legislative change aligns with the policy objective of providing equitable access to private health insurance for all individuals, regardless of age, and seeks to eliminate discriminatory practices within the industry.

Scope and Application

The Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021 amends the Private Health Insurance Act 2007 and other related legislation to change the definition and scope of dependants for private health insurance purposes. The Act applies to private health insurers, their policyholders, and other relevant persons, with a particular focus on extending the eligibility for dependent coverage to include individuals beyond the previous child-only definitions. The Act's amendments extend to individuals aged between 18 and 31, provided they meet specific conditions such as not being in full-time education or having a disability, and not having a partner. The changes commenced on 1 April 2021, and certain provisions apply retroactively to that date. The Act's jurisdictional reach is national, as it operates under the Commonwealth legislative framework. There are no stated exclusions or exemptions in the primary text of the Act, although the specific rules and conditions for eligibility are defined within the Private Health Insurance (Complying Product) Rules and the rules of individual private health insurers. The Act may be further extended or restricted through subordinate instruments, as necessary, to align with the evolving needs and regulatory environment of the private health insurance sector.

Key Provisions

The Private Health Insurance Legislation Amendment (Age of Dependants) Act 2021 (C2021A00060) amends the Private Health Insurance Act 2007 by expanding the definition of "dependent person" to include a broader range of individuals, thus modifying the eligibility criteria for certain health insurance benefits. Specifically, section 22-5 now refers to "dependent persons" instead of "dependent children," and the definitions of "dependent child," "dependent non-student," and "dependent student" have been introduced to clarify the categories of eligible dependants (sections 22-5(2) to 22-5(4)). These changes are aimed at ensuring that more individuals, particularly those who are older than 18 but still dependent on their private health insurance, can be covered under their parent's policy. The Act imposes new obligations on private health insurers to recognize these expanded categories of dependents for insurance purposes. Insurers must now apply their rules to cover dependent persons as defined by the Act, including dependent non-students (aged 18 to 31, not in full-time education, and not partnered) and dependent students (aged 18 to 31, in full-time education, and not partnered). This includes updating their policies and systems to reflect the new definitions and ensure that eligible dependants are appropriately included (sections 22-5(2) to 22-5(4)). Failure to comply with the new requirements could result in significant consequences. While the Act does not explicitly state penalties for non-compliance, breaches of the Private Health Insurance Act 2007 generally can lead to civil penalties. Under section 258 of the Private Health Insurance Act 2007, an entity can be fined up to $1.1 million for serious or repeated breaches, and individuals responsible for the breaches can be fined up to $220,000. Additionally, the Act may have implications for compliance with other legislation, such as the Age Discrimination Act 2004, where non-compliance could result in further penalties or legal action.

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Area of Law
Health Law
Insurance Law
Instrument
Act
Concepts
Commencement Provisions
Repeal & Amendment
Transitional Provisions
Definitions & Interpretation
Licensing & Registration
Compliance Obligations

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.