Australian Medical Association

The importance of individuals taking responsibility for their own health and planning for future health care needs is reinforced by the Australian Bureau of Statistics report that by the year 2056 one in four Australians will be over 65 years of age.

The three "great needs" in old age are shelter, retirement incomes and health care:

• Long-standing government policies foster a high rate of home ownership which helps address the first, together with Government support of high care residential places later in life when they are required; and
• Occupational superannuation arrangements have substantially addressed the need for retirement incomes; but
• The nation has relied on the community rated health insurance systems to address the need for health care.

There is a significant likelihood of fiscal stress by the year 2020 which will make it very difficult for the public sector to continue financing nearly 70% of national health spending. To meet the emerging challenges to the health financing system, should households be encouraged to save for future health care out-of-pocket costs? A system of health savings accounts (HSA's) could be one way of achieving this. As an adjunct to existing health financing arrangements, HSA's could be one way to ensure Australians who need health care tomorrow can access the same high quality, affordable health care they receive today.

AMA Position Statement: Health Savings Accounts

The importance of individuals taking responsibility for their own health and planning for future health care needs is reinforced by the Australian Bureau of Statistics report that by the year 2056 one in four Australians will be over 65 years of age.

The three "great needs" in old age are shelter, retirement incomes and health care:

• Long-standing government policies foster a high rate of home ownership which helps address the first, together with Government support of high care residential places later in life when they are required; and
• Occupational superannuation arrangements have substantially addressed the need for retirement incomes; but
• The nation has relied on the community rated health insurance systems to address the need for health care.

There is a significant likelihood of fiscal stress by the year 2020 which will make it very difficult for the public sector to continue financing nearly 70% of national health spending. To meet the emerging challenges to the health financing system, should households be encouraged to save for future health care out-of-pocket costs? A system of health savings accounts (HSA's) could be one way of achieving this. As an adjunct to existing health financing arrangements, HSA's could be one way to ensure Australians who need health care tomorrow can access the same high quality, affordable health care they receive today.