Labor says its private health rebate overhaul is needed to fund aged care, despite fears it will push more patients into public hospitals. Labor says its private health rebate overhaul is needed to fund aged care, despite fears it will push more patients into public hospitals. The changes, announced in this week’s Budget, will remove the age-based loading on private health insurance rebates from January 2027. So every dollar we save through this measure will be invested in more age care beds, better care, more age care, home care packages,” he said. “This is a tricky and sneaky, and mean spirited, $11 billion tax on older Australians,” Ms Hume said.