Ged Kearney (Cooper, Australian Labor Party, Assistant Minister for Health and Aged Care) Share this | Link to this | Hansard source

On behalf of the Minister for Health and Aged Care, I move:

That in accordance with section 10B of the Health Insurance Act 1973, the House approve the Health Insurance (Extended Medicare Safety Net) Amendment (Indexation) Determination 2022 made on 7 November 2022 and presented to the House on 21 November 2022.

The Labor Party has no prouder legacy than its contribution to universal health coverage in Australia. Most importantly, Labor established the two key pillars of Australia's world-class health system: Medicare and the PBS. It was also a Labor government that established the original Medicare safety net in 1984 to support individuals with out-of-hospital expenses. In 1991 we reformed the Medicare safety net to create a specific threshold for families impacted by out-of-hospital expenses. The original Medicare safety net and the extended Medicare safety net, the EMSN, are core parts of Medicare.

The Albanese government is committed to protecting and strengthening our world-class Medicare system. This includes ensuring that payments made to Australians under the Medicare safety nets, specifically the EMSN, align with economic indicators and the cost of accessing health services in Australia. The cost-of-living pressures on Australians are real, and this government is committed to responsibly and sustainably relieving the pressure on Australians accessing out-of-hospital services. The EMSN provides an additional rebate for Australian families and singles who incur out-of-pocket costs for Medicare-eligible out-of-hospital services. Approximately one million people annually rely upon this to support them through difficult health situations.

The Health Insurance (Extended Medicare Safety Net) Amendment (Indexation) Determination 2022, or the EMSN indexation determination, will index the fixed dollar EMSN benefit cap on 76 out-of-hospital services to provide greater support for patients who need these services and who meet the threshold for EMSN benefits. The EMSN must be indexed to ensure that patients who reach the threshold for EMSN benefits receive benefits that have been adjusted for the latest consumer price index. This is important for easing cost-of-living pressures for people dealing with already high out-of-pocket costs.

The EMSN index determination will also apply EMSN benefit caps to recently listed attendance items, consistent with the general capping arrangements for a attendant services, and apply fixed EMSN benefit caps to recently listed obstetric telehealth services and obstetric ultrasound services. These adjustments to the EMSN are critical for protecting the integrity and financial viability of Medicare. The Australian government expenditure on the EMSN is approximately $600 million per year. As stewards of investment in the health system, the government must act to ensure that the EMSN is not associated with inappropriate claiming or overservicing. Maintaining universal access to health care through Medicare is a priority for this government. The EMSN indexation determination enables the benefit paid to patients to keep pace with CPI and protects the integrity of the EMSN for all Australians.

Question agreed to.