Mental Health Cover: Private Health Insurance for Psychological Services

Mental health cover in private health insurance Australia. Learn what psychiatric services are covered and how to access mental health support.

Published: 18th September 2025 3 min read Australia
Mental Health Cover: Private Health Insurance for Psychological Services
Health Insurance Guide

Mental health cover in Australian private health insurance has become increasingly important as awareness of mental health issues grows. Understanding what services are covered and how to access them can significantly impact your wellbeing and healthcare costs.

Why Mental Health Cover Matters

Mental health conditions affect millions of Australians, including:

  • Anxiety and depression (affecting 1 in 7 Australians)
  • Post-traumatic stress disorder (PTSD)
  • Eating disorders
  • Bipolar disorder
  • Substance use disorders
  • Pregnancy and postnatal mental health issues

Mental Health Services Covered

Hospital Cover Mental Health Services

Most hospital policies include:

  • Psychiatric hospital admission: Inpatient treatment for severe mental health episodes
  • Day patient programs: Intensive outpatient treatment programs
  • Rehabilitation services: Mental health recovery programs
  • Crisis intervention: Emergency psychiatric care

Extras Cover Mental Health Services

Extras cover typically includes:

  • Psychology consultations: Sessions with registered psychologists
  • Counselling services: Professional counselling and therapy
  • Social worker consultations: Mental health support services
  • Occupational therapy: Therapy for mental health-related functional issues

Understanding Coverage Limits

Mental health benefits often have:

  • Annual benefit limits: Maximum claim amounts per year
  • Session limits: Number of psychology sessions covered
  • Provider networks: Preferred psychologists and psychiatrists
  • Gap payments: Out-of-pocket costs for services

Compare these limits when choosing between different hospital cover options. Extras cover analysis should include mental health benefits for comprehensive value assessment.

Accessing Mental Health Services

Medicare vs Private Health Insurance

Understanding the difference:

  • Medicare: Covers GP mental health plans (up to 20 psychology sessions per year)
  • Private insurance: Additional sessions and choice of provider
  • Combined approach: Use both Medicare and private insurance for maximum benefit

Learn more about how this fits with your overall understanding of Medicare vs private health insurance.

Getting the Most from Your Mental Health Cover

  1. Check provider networks: Use preferred providers for better rebates
  2. Understand referral requirements: Some policies require GP referrals
  3. Know your annual limits: Plan sessions to maximise benefits
  4. Consider timing: Mental health support is available year-round

Special Mental Health Considerations

Young Adults and Students

Mental health cover is particularly important for:

  • University students facing academic stress
  • Young adults transitioning to independence
  • Those with family history of mental health conditions

See our guide on health insurance for young adults for age-specific considerations.

Pregnancy and Postnatal Mental Health

Comprehensive coverage should include:

  • Antenatal anxiety and depression support
  • Postnatal depression treatment
  • Couples counselling during pregnancy
  • Support for pregnancy loss

Workplace Mental Health Programs

Many employers offer:

  • Employee Assistance Programs (EAPs)
  • Group health insurance with mental health benefits
  • Workplace counselling services
  • Mental health first aid training

FAQs

Is mental health cover included in all health insurance policies?

Hospital policies typically include psychiatric hospital treatment, but psychology and counselling services are usually part of extras cover.

How many psychology sessions does private health insurance cover?

Coverage varies by policy, but many extras covers provide benefits for 12-20 psychology sessions per year, in addition to Medicare-subsidised sessions.

Can I claim for online psychology sessions?

Many insurers now cover telehealth psychology sessions, especially after COVID-19. Check your policy terms for specific telehealth coverage.

Australian Health Insurance Expert
Providing expert guidance on Australian health insurance since 2020. Helping Australians navigate private health insurance, Medicare, and healthcare costs.
Share this article:
Need Help Choosing Health Insurance?

Use our free Australian health insurance calculator to compare policies and find the right cover for your needs.

Quick Health Insurance Tips
  • Compare hospital and extras cover
  • Check waiting periods before joining
  • Understand your rebate eligibility
  • Review your policy annually
Popular Health Insurance Articles