Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment)

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Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment) 1994 No. 361

 

 

EXPLANATORY STATEMENT STATUTORY RULES 1994 No. 361

Issued by the authority of the Minister for Human Services and Health Insurance Act 1973

 

Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment)

 

Section 133 of the Health Insurance Act 1973 (the Act) provides that the Governor- General may make regulations for the purposes of the Act.

 

Section 9 of the Act provides, in effect, that Medicare benefits shall be calculated by reference to the fees for medical services (including pathology services) set out in the table (which includes the pathology services table) in Schedule 1A to the Act.

 

Section 4A of the Act provides that the regulations may prescribe a table of pathology services that sets out the items of pathology services, the fees for each item and rules of interpretation for the table. The Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment) [the proposed regulations] amend the table.

 

The Health Insurance (1994-1995 Pathology Services Table) Regulations (the PST) have been revised to reflect a fee rise of 1.27% for all pathology services and to amend the wording of several items and Rules.

 

Changes to the PST include: Rules 4 and 11, have been amended slightly; a new provision has been added to Rule 11; Rule 6 has been re-written; three new rules, Rule 6A, 7A and 7B, have been added to clarify the interpretation of items; four items have been omitted; four new items have been added; twenty items have had minor amendments and a range of changes have been made to the index to accommodate the changes to the table.

 

Details of the Regulations, which have been developed with the cooperation and consent of the pathology industry in the Pathology Services Table Committee, are as follows:

 

Rules of Interpretation (Part 1 of PST)

 

Sub-regulation 3.1 substitutes in subrule 4(1) the word "described" for "specified".

 

Sub-regulation 3.2 adds the drug sulfasalazine to the list of exemptions under subrule 4(2)(d) and sub-regulation 3.3 substitutes item number 66221 for item number 66217 in subrule 4(3)(a) as 66217 has been rewritten as 66221.

 

Sub-regulation 3.4 revises Rule 6 to clarify its meaning and make it easier to enforce and sub-regulation 3.5 inserts new Rule 6A to ensure that no item, other than one so

designated, can be split between laboratories. Where an item is split no Medicare benefit is payable.

 

Sub-regulation 3.6 inserts Rule 7A to clarify the conditions under which a Medicare rebate will be payable when a test for HDL cholesterol is performed; and Rule 7B defines the "abnormal levels of TSH" referred to in item 66329 on thyroid function testing, and stresses the need for the requesting doctor to state the clinical reason for the test on the request form.

 

Sub-regulation 3.7 amends subrule 11(4) to correct a typographical error and now refers to "Groups P1 to P8" instead of "Groups P1 to P9". Sub-regulation 3.8 adds new subrule 11(9) to ensure that item 73921 is payable only once per patient episode. This prevents Approved Pathology Authorities from generating multiple payments of item 73921 through the inappropriate referral of requests for designated pathology services to a number of Approved Pathology Authorities.

 

Items (Part 2 of PST)

 

Sub-regulation 3.9 makes the following changes to items in the table. All items in the PST have had a Schedule fee increase of 1.27% subject to the rounding rules and the need to preserve fee relativities for coned items. A misprint, whereby item 65049 was mistakenly labelled 95049, has been corrected. Also within item 73529 a typographical error has been corrected by replacing item number 73529 by 73527.

 

Sub-regulation 3.10 makes a minor editorial amendment.

 

Sub-regulation 3.11 omits item numbers 66217 and 66219, which are tests for faecal occult blood, and in sub-regulation 3.12 inserts item 66221 as this new item more appropriately reflects current medical practice.

 

Sub-regulation 3.11 also omits items 66291 and 66371 and subregulation 3.16 substitutes items 66327 and 66329 which provide a first line test for suspected thyroid disorders and a more comprehensive test which can then be performed if certain clinical conditions are met.

 

Sub-regulation 3.15 revises item 66317 on HDL cholesterol testing to emphasise the need for certain clinical conditions to be met before the test is performed, and the pathologist's responsibility to cheek with the requesting practitioner if the necessary details are not supplied on the request form.

 

Sub-regulation 3.17 adds a new item 66419 to provide specifically for an oral glucose test as this test did not fit well within the general item number 66201.

 

Sub-regulations 3.14, 3.17 and 3.19 revise items 66241, 66417 and 69241 in line with revised Rule 6 to clarify the number of tests "designated pathology services" have been which may be claimed when split, with some services being performed by the first Approved Pathology Authority and some being referred to another unrelated Approved Pathology Authority.

Other sub-regulations make the following minor amendments to individual items - minor editorial amendments have been made to items 65037, 65049, and 7352; the words "(item is subject to rule 6)" have been added to the end of items 66229, 66235, 66237, 66405, 66407, 66409, 66411, 66413, 69229, 69231, 69233, 69235 and 69237;

and the words "(item is subject to subrule 11(9) have been added to the end of the specimen referred item 73921.

 

Abbreviations (Part 3 of PST)

 

Sub-regulations 3.21 - 3.29 propose a number of changes to abbreviations in the table which are all consequential on the amendments proposed to items in the table. Four entries have been omitted from the index, one entry has been amended and five new entries have been added.

 

Apart from the across-the-board fee rise of 1.27%, the changes introduced in the proposed Regulations are expected to be cost neutral. The additional costs occasioned by the new item for oral glucose testing, 66419, will be offset by the savings achieved through the tightening up of the provisions relating to the designated pathology services and the emphasising of the clinical restrictions on the payment of Medicare benefits for HDL cholesterol testing and thyroid function tests.

 

The Regulation commenced on 1 November 1994.

Overview

The Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment) 1994 No. 361, issued under the authority of the Minister for Human Services, amends the Health Insurance (1994-1995 Pathology Services Table) Regulations to reflect a fee increase of 1.27% for pathology services and to update several items and rules in the table. These amendments were made to ensure that the table accurately reflects current medical practices and to correct any errors or ambiguities in the previous regulations. The changes were developed with the cooperation and consent of the pathology industry through the Pathology Services Table Committee, aiming to maintain the integrity and fairness of the Medicare benefits system. The amendments to the Pathology Services Table involve several adjustments, including a fee rise, modifications to certain rules and items, and the addition and omission of specific items. For example, Rule 11 has been slightly amended, and new rules have been added to clarify the interpretation of certain items. Additionally, some items have been revised to better reflect clinical conditions and medical practices, while others have been omitted or added to improve the overall structure and accuracy of the table. The overall intent of these amendments is to ensure that the Pathology Services Table remains a reliable and up-to-date reference for calculating Medicare benefits for pathology services.

Scope and Application

The Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment) 1994 No. 361 applies to the administration of Medicare benefits under the Health Insurance Act 1973, specifically for pathology services for the 1994-1995 financial year. The amendment to the Pathology Services Table (PST) includes adjustments to the fees for pathology services, corrections to existing items, and the introduction of new items, while ensuring the overall costs remain neutral. This legislation pertains to pathology services provided by Approved Pathology Authorities and the Medicare benefits payable for these services in Australia. The amendments to the Regulations are intended to reflect changes in medical practices, correct errors, and enhance the clarity and enforceability of the rules governing pathology services, including the interpretation of certain items and the conditions for Medicare rebates. The Regulations are applicable across the nation and have been developed in consultation with the pathology industry through the Pathology Services Table Committee.

Key Provisions

The Health Insurance (1994-1995 Pathology Services Table) Regulations (Amendment) 1994 No. 361, made under section 133 of the Health Insurance Act 1973, amend the fees for pathology services listed in the Pathology Services Table. Section 9 of the Act specifies that Medicare benefits are to be calculated using the fees in the table, while section 4A allows for the creation of a table of pathology services, including fees and interpretation rules. The amendments reflect a 1.27% fee increase for all pathology services and adjust the wording of several items and rules, including minor amendments to Rules 4, 6, 11, and the addition of new Rules 6A, 7A, and 7B. Four items have been omitted, and four new items have been added. Twenty items have been subject to minor amendments, and the index has been updated to reflect these changes. The amended regulations impose specific obligations on parties governed by them. For instance, Approved Pathology Authorities must ensure that the fees for pathology services are updated according to the new table. The rules now include stricter guidelines on the conditions under which certain tests are payable, such as HDL cholesterol testing and thyroid function tests, which must meet specified clinical conditions. Additionally, the regulations emphasise that some pathology services cannot be split between laboratories, and if they are, no Medicare benefit is payable. The new Rule 6A ensures that only designated items can be split, and Rule 7A specifies the conditions under which a rebate for HDL cholesterol testing is payable. Breaches of these regulations can result in civil or criminal consequences. While the explanatory statement does not specify penalties, under the Health Insurance Act 1973, penalties for non-compliance with Medicare regulations can include fines, repayment of benefits, and, in severe cases, criminal charges. The penalties are designed to ensure that the provisions of the Act are adhered to, maintaining the integrity of the Medicare system. Therefore, entities such as Approved Pathology Authorities must ensure strict compliance with these amended regulations to avoid potential legal repercussions.

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