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Publication: The Australian

Date: 15 September 2010

Section: Health & Science

Health insurance rebate means test battle back on

Article excerpt:

THE Gillard government is planning a new attempt to means test the 30 per cent private health insurance rebate in a move that is likely to win Greens support but could put it at odds with independents Tony Windsor and Rob Oakeshott.

Health Minister Nicola Roxon told The Australian yesterday the private health insurance changes - which would impose a means test on the rebate starting at an annual income of $75,000 for singles and $150,000 for couples - would be reintroduced in the new parliament.

In introducing the means test last year, Ms Roxon argued that the current 30 per cent rebate regime was unsustainable and the means test would allow the government to make savings of $1.9 billion over four years by targeting high-income earners who could afford to pay more.

The measure was opposed by the opposition and was twice defeated in the Senate.

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