A health plan is not health insurance. 

By nature, it is a plan that you create for your health needs over time. Having small amounts set aside over time helps you create a nest egg when you need the money for your health needs.

XHP offers a way for you to set aside funds you may need in future to pay for your extras health needs. Extras Health is not covered by Medicare. Dental, Optical, Physiotherapy, Chiropractic and other allied health services come under this category. Very few items of these service may be covered under Medicare. Bulk of the services has to be paid for by individuals themselves. Some people choose to purchase extras health insurance, but find that there is a lot of limitations with insurance and are often out of pocket. The health plan offered by XHP is not insurance and is a dedicated health saving account, similar to Super for your retirement. Funds in the health savings account can only be used for health and any claims for payment must be supported by a health invoice generated by a health provider in Australia who is appropriately registered to practice in Australia.

Significant differences of a health plan to Traditional health insurance are

1. It is savings based and is not under written by an insurance company
2. Any unused funds in the account accumulates year on year for your benefit
3. Interest is paid for the funds in the account

Xtras Health Plan Ltd (ACN 618 020 885) is an unlisted public company registered in Australia. 

Xtras Health Plan is a managed investment scheme registered with ASIC.

Managed Investment Scheme is defined in Section 9 of the Corporations Act 2001. Management investment schemes are regulated by the Australian Securities and Investments Commission (ASIC). Our AFSL number is 500574 and Xtras Health Plan Savings Scheme is registered with ASIC and the Scheme number is 627 076 411. Our AFSL allows XHP to offer General Advice only, invest in cash and non cash products or own Managed Investment Scheme and to hold the scheme assets in Cash.

Portability is only between health insurance funds. Xtras health Plan is not an insurance company and hence you are not able to port from a health insurance company to XHP. 

If you are seeking value for the investment you make for your extras health cover, check out the comparison calculator at https://xhp.com.au

A custodian is a company that has physical possession of your assets. The money that you pay for your membership  is held by the custodian separate from that of Xtras Health Plan for your account security and convenience to pay for your health needs. The custodian charges a fee for service. 

Certane Corporate Trustee is the custodian appointed by Xtras Health Plan Ltd as the responsible entity to hold your funds. 

A custodian bank, or simply custodian, is a specialized financial institution responsible for safeguarding a firm’s or individual’s financial assets and is not engaged in “traditional” commercial or consumer/retail banking .The role of a custodian is to:

• hold in safekeeping your investment
• arrange settlement of health invoice and other invoices that you authorise that XHP has validated and submitted to the custodian to effect payment.
• collect information on and income of the investments such as interests generated on the funds held and report to authorities as required
• administer the accounts
• Conduct due diligence on instructions issued by XHP, fund reporting if necessary, maintain compliance of the funds and provide taxation support.

A “managed investment scheme” can be defined as a scheme where people contribute money or money’s worth to acquire rights to benefits produced by the scheme. Any contributions made are pooled or used in a common enterprise to produce financial benefits for the members of the scheme but the members do not have control over the day-to-day operation of the scheme. 

a managed investment scheme, each of the following elements must exist:

1. it must be a “scheme”
2. it must involve a contribution of money or money’s worth to acquire rights to benefits
3. the contributions are to be pooled or used in a common enterprise to produce benefits for the scheme members and
4. the members do not have day-to-day control over the scheme operations.