AMA Welcomes Changes To Private Health Insurance Portability

Dr Haikerwal said the changes would provide the privately insured greater security and confidence in their health insurance.

"The changes will be particularly beneficial for people who need psychiatric services and rehabilitation care," Dr Haikerwal said.

"But it's a good policy decision all round for consumers because it increases the value of private health insurance.

"As in all sectors of the economy, competition is important and this measure will improve competition in private health insurance, which will in turn keep premiums down, encourage people to maintain their insurance and provide incentives for others to join up.

"This will be good for the health system as a whole by taking pressure off already overloaded public hospitals.

"The Government consulted widely on this matter and the outcome should be accepted even by those who may have opposed the changes.

"The Government has asked the AMA to take action to improve the level of informed financial consent practised by doctors, and to clarify the role of the medical profession in advising patients regarding health fund benefits.

"We have already commenced this work and we will work with the other parts of the industry and the Government as this work proceeds.

"The private health sector now does nearly 40 per cent of all admissions and 50 per cent of all surgery, so it is a vital component of Medicare.

"It is a good sign that the Government continues to give it attention and strives to make it better value for money," Dr Haikerwal said.