I'd never be without at least basic hospital cover. I've used it for the birth of my DS, but found it wonderful when I had a mc last year and was in for my d&c the very next morning, a friend waited an agonizing 5 days at around the same time in the public system. I've also had to have an endoscopy for my coeliac diagnosis, there is a MINIMUM 12 month wait in the public system, I waited 5 days! We would have to pay the Medicare surcharge, so we would have some level of cover regardless but we have top level corporate cover that is partly subsidized through my DH's work.

My family are very pro private health but my DH's family aren't at all. My little brother (foster bro) had to have a spinal fusion (twice- poor bugger). He had no wait because he could see the specialist privately as opposed to waiting to go through the public clinic. He would have had the same operation, with the same surgeon, in the same hospital via the public system...but he may have had to wait as much as 12-18 months longer by which time he would have been in a wheelchair it also meant he got a private room etc which made the two weeks in hossy my mum had to sleep beside him far more bearable.

So, to me, if you have children, it's a necessity, not a luxury.