What transfers when you switch
Under Australian law, your new fund must recognise any waiting period you've already served on equivalent cover. That includes the standard 2-month waiting period for most services, the 12-month wait for pre-existing conditions, and the 12-month wait for pregnancy, major dental, and orthodontics.
What doesn't transfer is waiting periods for benefits your old policy didn't cover. If you upgrade from Bronze to Silver mid-switch, you'll re-serve waiting periods on the new services Silver adds (like joint replacements or pregnancy).
The 5-step switch
1. Compare equivalent cover
Match your new policy to what you actually have — same tier, same extras categories, same excess. This is the bit most people get wrong on their own; an advisor doing it for free will line everything up against your current cover.
2. Apply with the new fund
You sign up with the new fund — online or with an advisor. Give them your old fund details and ask for a clearance certificate to be requested on your behalf.
3. Let the new fund cancel the old one
You don't call your old fund. The new fund pulls your details, gets the clearance certificate, cancels the old cover from the day the new one starts, and triggers any refund.
4. Confirm waiting periods carried over
When the welcome pack arrives, check it lists your waiting periods as served. If anything is missing, call the new fund within 30 days to fix it — they're legally required to honour served waits on equivalent cover.
5. Update your direct debit
Final step: make sure your direct debit is on the new policy and the old one has stopped. Funds occasionally bill one final month — claim it back if so.
Common mistakes to avoid
- Cancelling the old policy yourself before the new one starts — leaves you uninsured and can restart Lifetime Health Cover loading after 1,094 days.
- Upgrading tiers and assuming all waiting periods carry over — they don't on the new services.
- Switching mid-claim — finish any in-progress treatment on the current fund first.
- Forgetting to update Medicare records so your private cover shows on your tax return.
Frequently asked questions
- How long does switching health funds take?
- About 15 minutes of your time. The new fund organises everything in the background and the change is usually effective from the day you sign up.
- Can I switch if I'm in the middle of a waiting period?
- Yes. The new fund must credit you for the time you've already served on equivalent cover — you just continue the waiting period with the new fund.
- Do I need a clearance certificate?
- Yes, but the new fund requests it for you. You don't need to chase your old fund.
Written by
Victor Mourad
Co-Founder & Health Insurance Advisor · 10 years in health insurance · Melbourne
Victor co-founded Comparify to make Australian health insurance easier to understand. He writes on policy changes, the annual rate rise and what they actually mean for households.