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There is set to be huge increases in premiums for private health insurance.

Health Minister Tanya Plibersek is set to announce that premiums will rise by approximately $150 for families from 1st April.

Singles paying $1,500 will pay an extra $75 a year in premiums.

According to News Limited, those who joined a health fund after age 30, premiums rise by up to a further 27 per cent or $525 a year from July 1 under planned changes to government’s rebate and subsidy plans.

According to the industry lobby group, high earners will have to pay up to an extra $1,200 a year for their health cover on top of the general $150 a year premium rise.

Experts believe a 7.8 per cent rise in payouts for hospital services and an 8.8 per cent rise in rebates for general services like dental and optical care has led to this hike.

According to an Australian Institute of Health and Welfare report released in September 2012, expenditure on health reached $130.3 billion in 2010/11.

On average, that’s $5,800 spent on health needs for each Australian every year, and growing at over 5% per year, on average.