EXPLANATORY STATEMENT
Issued by Authority of the Minister for Health and Ageing
Health Insurance Act 1973
Determination under subsection 3(1)
(HIB 14/2007)
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 September 2007 be $39.05 per day in respect of recognized hospitals in Victoria.
Consultation
The Department of Human Services, Victoria was consulted regarding the new nursing home type patient contribution and has advised it will apply the new rates from 20 September 2007 in recognized hospitals within Victoria.
This determination commences on 20 September 2007.
PRIVATE HEALTH INSURANCE BRANCH
DEPARTMENT OF HEALTH AND AGEING
SEPTEMBER 2007
Overview
The Health Insurance Act 1973, enacted by the Parliament of Australia, seeks to regulate and facilitate private health insurance in the country. The 2007 determination under subsection 3(1) by the Minister for Health and Ageing, specifies the patient contribution levels for nursing-home type patients in recognised hospitals across the states. This particular determination, HIB 14/2007, amends the definition of 'patient contribution' by setting the daily contribution for such patients in Victoria to $39.05, effective from 20 September 2007. The policy objective, as indicated by the explanatory statement issued by the Minister, is to ensure the timely application of these new rates by the Department of Human Services in Victoria, thereby providing clarity and consistency in the implementation of health insurance provisions.
Scope and Application
The Health Insurance Act 1973, as modified by the Determination under subsection 3(1) (HIB 14/2007), applies specifically to the patient contribution levels for nursing-home type patients in recognized hospitals within the State of Victoria. The Act mandates that the Minister for Health and Ageing may periodically determine the patient contribution rates, and in this instance, the contribution for such patients in Victoria has been set at $39.05 per day, effective from 20 September 2007. This determination is geographically confined to the state of Victoria and pertains solely to recognised hospitals providing nursing-home type services. The Act does not explicitly state any exclusions or exemptions, but the contribution levels are specifically applicable to nursing-home type patients, thus potentially excluding other categories of patients or services. The determination is effective from the specified date and is intended to align with the administrative and healthcare policies of the Department of Human Services, Victoria, as confirmed by their consultation and acceptance of the new rates.
Key Provisions
The primary operative section of this determination is subsection 3(1) of the Health Insurance Act 1973, which allows the Minister to determine the levels of patient contributions by nursing-home type patients in recognised hospitals. Specifically, this determination sets the patient contribution at $39.05 per day for recognised hospitals in Victoria, effective from 20 September 2007 (subsection 3(1)(HIB 14/2007)). This change applies to the definition of ‘patient contribution’ in the Act, ensuring that the specified amount is to be charged for services rendered to nursing-home type patients in the aforementioned hospitals.
The obligations imposed by this Act are primarily on the recognised hospitals within Victoria. These hospitals are required to charge the determined patient contribution of $39.05 per day to eligible nursing-home type patients, in accordance with the Act. This requirement is effective from the date of the determination, 20 September 2007. The Department of Human Services, Victoria, which was consulted regarding this new contribution rate, has confirmed its intention to implement the new rates in all recognised hospitals within the state.
There are no specific offences or penalties outlined in this determination; however, failure to comply with the patient contribution requirements could potentially lead to legal consequences under the Health Insurance Act 1973. While the determination itself does not specify penalties, the overarching Act may impose sanctions for non-compliance, including fines or other civil or criminal penalties as prescribed by law. The exact penalties would depend on the specific provisions of the Act and any relevant case law. It is essential for recognised hospitals to adhere to the stipulated contribution rates to avoid any potential legal ramifications.