New data highlights need for Medicare repair
New data from the Australia Institute of Health and Welfare shows Medicare is failing to keep up with the rising costs of healthcare.
A new report released by the Australian Institute of Health and Welfare (AIHW) confirms Medicare is failing to keep up with the rising costs of healthcare.
The data reveals that after 15 years of relative stability, the proportion of general practice provider fees covered by the Medicare Benefits Scheme has dropped from 91 per cent in January 2022 to 85 per cent in July this year.
The report also shows Australians are using more Medicare funded services per person.
AMA President Professor Steve Robson said it demonstrated the cost of healthcare is significantly outpacing the Medicare system, causing even higher out-of-pocket costs for Australian patients.
“It also comes at a time when some state and territory governments appear intent on imposing an additional payroll tax burden on general practice, a move that will only add to out-of-pocket costs for patients,” Professor Robson said.
Professor Robson said budget measures to come into effect in November, such as tripling the GP bulk billing incentive, adding an extra round of MBS indexation, as well as changing the indexation formula, would help address the issues.
“These measures included by the federal government in the 2023 Budget are so important, but it’s still a work in progress,” Professor Robson said.
“The AMA will continue working with the federal government on important reforms to ensure Medicare better represents the value of healthcare patients receive.”
