Young Aussies targeted in massive private health shake-up

Young Australians are being targeted in a massive health insurance shake-up.

Australians under 30 will have their premiums cut by up to 10 per cent under federal government reforms.

As well existing policies will be classified as gold, silver and bronze and premiums increased closer to inflation because of a decision to slash the price of prostheses, News Corp Australia reports.

Health Minister Greg Hunt has been negotiating with the sector on the changes after approving premium rises averaging 4.84 per cent earlier in 2017.

The move is set to be announced tomorrow.

The ABC reports that insurance premiums have increased by an average 5.6 percent a year since 2010.

Under the new reforms, a 19-year-old who took out health insurance would be offered a 2 percent discount, rising to 10 percent by the time they are 24.

The changes will also place a greater focus on mental health, which is the third leading cause of hospitalisation for men after dental and sporting injuries.