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Participating Health Funds

Publication: Courier Mail
Date: 13 May 2009

Overhaul targets IVF, obstetrics; babies more expensive

By Renee Viellaris | May 13, 2009 12:00am

Article excerpt:

THE Rudd Government has made it more expensive to have a baby by capping out-of-pocket expenses for IVF and obstetrics services. In a war against greedy doctors gauging the Extended Medicare Safety Net, the Health Department will from 2010 reduce what it will pay out in out-of-pocket expenses, under a $450 million move that will cost inner-city mothers more but may be less expensive for mothers in regional or remote areas.

The medical overhaul includes an assault on higher-income earners, who will now receive less government assistance for private health insurance and will face an increase in costs if they opt out of private health and place more pressure on the public health system.

Singles who earn more than $75,001 (couples $150,001) and are aged up to 65 years old will now receive a 20 per cent rebate instead of 30 per cent, set up by the former Howard government. The surchage for avoiding private insurance will remain at 1 per cent.

For those singles who earn more than $90,001 (couples $180,001) and are aged up to 65 years, the rebate will be provided at 10 per cent. And those who refuse to pay for insurance will be taxed 1.25 per cent.

Under the final tier, singles who earn more than $120,001 (couples 240,001) no rebate will be provided and they will be taxed 1.5 per cent if they snub private health insurance.

Article summary:

These plans will be the battleground for the next election.

The Government argues that some obstetricians in the nation's cities charge exorbitant fees and should no longer be able to drain the system.

The complex measure has yet to set a cap for IVF, leaving protracted negotiations with the Health Department and the industry. The cap has been sent at $30 for antenatal attendance, $200 for planning and management of pregnancies and $300 for labour.

Ms Roxon said, "Patients who are charged reasonable fees will continue to be supported by Medicare and the safety net but specialists will no longer be able to increase their fees excessively, assuming that taxpayers will pick up most of the cost."

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