Stirling Griff (SA, Nick Xenophon Team) Share this | Link to this | Hansard source

I seek leave to amend business of the Senate notice of motion No. 4 standing in my name and in the name of Senator Xenophon for today proposing a reference to the Senate Community Affairs References Committee relating to the prostheses list framework.

Leave granted.

I move the motion as amended:

That the following matters be referred to the Community Affairs References Committee for inquiry and report by 20 30 March 2017:

Price regulation associated with the Prostheses List Framework, with particular reference to:

(a) the operation of relevant legislative and regulatory instruments;

(b) opportunities for creating a more competitive basis for the purchase and reimbursement of prostheses;

(c) the role and function of the Prostheses List Advisory Committee (PLAC) and its subcommittees;

(d) the cost of medical devices and prostheses for privately insured patients versus public hospital patients and patients in other countries;

(e) the impact the current Prostheses List Framework has on the affordability of private health insurance in Australia;

(f) the benefits of reforming the reference pricing system with Australian and international benchmarks;

(g) the benefits of any other pricing mechanism arrangements, including but not limited to those adopted by the Pharmaceutical Benefits Scheme, such as:

(i) mandatory price disclosure,

(ii) value-based pricing, and

(iii) reference pricing;

(h) price data and analytics to reveal the extent of and where costs are being generated within the supply chain, with a particular focus on the device categories of cardiac, Intra Ocular Lens Systems (IOLS), hips, knees, spine and trauma;

(i) any interactions between Government decision-making and device manufacturers or stakeholders and their lobbyists;

(j) any implications for prostheses recipients of the NDIS transition period; and

(k) any other related matters.

James McGrath (Queensland, Liberal National Party, Assistant Minister to the Prime Minister) Share this | Link to this | Hansard source

I seek leave to make a short statement.

Gavin Marshall (Victoria, Deputy-President) Share this | Link to this | Hansard source

Leave is granted for one minute.

James McGrath (Queensland, Liberal National Party, Assistant Minister to the Prime Minister) Share this | Link to this | Hansard source

The government has announced reforms to the prostheses list that aim to ease pressure on private health insurance premiums in 2017. These reforms include reducing the cost of certain devices on the list and reconstituting the Prostheses List Advisory Committee with specific instructions to work on developing a more robust and transparent price disclosure model, amongst other things. These reforms are based on the recommendations of an industry working group that comprised representatives of consumers, device manufacturers, private hospitals, insurers and clinicians. The proposed Senate inquiry would duplicate work that has already been undertaken by the working group and may risk delaying much-needed reform.

Gavin Marshall (Victoria, Deputy-President) Share this | Link to this | Hansard source

The question is that the motion as put by Senator Griff be agreed to.