EXPLANATORY STATEMENT
Issued by Authority of the Minister for Health and Ageing
Health Insurance Act 1973
Determination under Subsection 3(1)
(HIB 04/2007)
Paragraph (b) of the definition of ‘patient contribution’ in subsection 3(1) of the Health Insurance Act 1973 (the Act) provides that the Minister may from time to time determine the levels of patient contribution by a nursing-home type patient of a recognized hospital in a State.
This determination determines for the purposes of paragraph (b) that the amount of patient contribution shall, on and from 20 March 2007 be $37.55 per day in respect of recognized hospitals in New South Wales.
Consultation
New South Wales Health was consulted regarding the new nursing home type patient contribution and has advised it will apply the new rates from the 20 March 2007 in recognized hospitals within New South Wales.
This determination commences on 20 March 2007. The determination and this explanatory statement have been lodged for registration on the Federal Register of Legislative Instruments.
PRIVATE HEALTH INSURANCE BRANCH
DEPARTMENT OF HEALTH AND AGEING
MARCH 2007
Overview
The Health Insurance Act 1973, enacted by the Parliament of Australia, was introduced to establish a universal health insurance scheme, known as Medicare, providing access to essential medical services. The Act aims to ensure that all Australians have affordable access to necessary healthcare, reducing the financial burden on individuals and families. Under the authority granted by subsection 3(1) of the Act, the Minister for Health and Ageing has determined the levels of patient contributions for nursing-home type patients in recognised hospitals. The determination sets the patient contribution at $37.55 per day for nursing-home type patients in recognised hospitals in New South Wales, effective from 20 March 2007. This decision was made following consultation with New South Wales Health, which agreed to implement the new rates from the specified date. The determination and its explanatory statement were lodged for registration on the Federal Register of Legislative Instruments to ensure transparency and legal compliance.
Scope and Application
The Health Insurance Act 1973, as amended by the Determination under Subsection 3(1)(HIB 04/2007), applies specifically to nursing-home type patients in recognized hospitals within New South Wales. This determination establishes that from 20 March 2007, the patient contribution for such patients will be set at $37.55 per day. This legislative act is a Commonwealth initiative that impacts directly on the financial responsibilities of patients receiving care in designated nursing-home facilities within the state, thereby influencing the broader healthcare financing system. The determination extends the Act's reach to ensure standardised patient contributions across recognised hospitals in New South Wales, reflecting a coordinated approach to healthcare funding in the state. The Act does not specify any exclusions or exemptions within this context, and its application is confined to the geographic jurisdiction of New South Wales. This determination is effective from the date of its issuance and is subject to the registration on the Federal Register of Legislative Instruments, ensuring its legal standing and applicability.
Key Provisions
The primary operative section of this determination, under subsection 3(1)(HIB 04/2007) of the Health Insurance Act 1973, involves the setting of the levels of patient contribution by a nursing-home type patient of a recognized hospital in a state. This determination specifically adjusts the patient contribution to $37.55 per day for recognized hospitals in New South Wales, effective from 20 March 2007. The purpose of this adjustment is to ensure that the financial contributions made by patients in nursing-home type settings within recognized hospitals are accurately reflected and managed.
This Act imposes certain obligations on the parties involved, including the requirement for New South Wales Health to apply the new rates for patient contributions in recognized hospitals within the state. The Act also mandates that the Minister for Health and Ageing consult with relevant health authorities to ensure that the new rates are both practical and effective. Furthermore, the Act requires the Department of Health and Ageing to lodge this determination and its explanatory statement on the Federal Register of Legislative Instruments, ensuring transparency and legal validity.
Breaching the provisions of this determination could lead to various consequences. Although specific offences and penalties are not detailed in the determination, it is likely that any non-compliance with the set patient contribution rates could result in civil or administrative penalties. This might include fines or other sanctions imposed by the relevant health authorities to enforce adherence to the Act’s requirements. The exact nature and severity of these penalties would depend on the specific circumstances of the breach and the applicable laws governing such actions within the health insurance framework.