EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Health and Ageing
Health Insurance Act 1973
Health Insurance (Allied Health and Dental Services)
Amendment Determination 2005 (No 2)
Subsection 3C(1) of the Health Insurance Act 1973 (the Act) provides that the Minister may, by writing, determine that a health service not listed in the Medicare Benefits Schedule shall, in specified circumstances and for specified statutory provisions, be treated as if it were so listed.
A determination made under subsection 3C(1) is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Subsection 3C(8) provides that the health services that may be subject to a determination made under subsection 3C(1) include dental services and any other prescribed service that relates to health. Regulation 3A of the Health Insurance Regulations 1975 prescribes 12 classes of allied health services as “health services” for the purposes of section 3C of the Act.
The purpose of this Determination is to amend the Health Insurance (Allied Health and Dental Services) Determination 2005. It streamlines administrative arrangements for the allied health and dental care initiative, introduced on 1 July 2004 under the Australian Government’s Strengthening Medicare package. The amendment changes the method for counting patient eligibility for rebates from five allied health services and three dental care services in a 12 month period (which was taken from the date of first service) to five allied health and three dental care services in a calendar year.
The amendment also adds exercise physiology as another class of health services and sets out the fees and circumstances applying to exercise physiology services. Another Determination,
Health Insurance (Requirements for Allied Health Professionals) Determination 2005, specifies eligibility requirements for eligible allied health professionals. Exercise physiologists are added under this Determination from 1 January 2006.
Details of the Health Insurance (Allied Health and Dental Services) Amendment Determination 2005 (No 2) are set out in the Attachment.
The Determination commences on 1 January 2006.
Consultation
The Department of Health and Ageing consulted with the allied health and dental care initiative’s consultative group about the change in the method of counting patient rebates and gained its agreement. The group supports the change, and includes representatives from the Australian Divisions of General Practice, the Australian Medical Association, the Royal Australian College of General Practitioners, the Rural Doctors Association, all national peak bodies representing eligible allied health professional groups, the Australian Dental Association and Medicare Australia. The Australian Association of Exercise and Sports Science were also involved in developing the requirements of the service.
DETAILS OF THE HEALTH INSURANCE (ALLIED HEALTH AND DENTAL SERVICES) AMENDMENT DETERMINATION 2005 (No 2)
Preliminary
Section 1 provides for the Determination to be referred to as the Health Insurance (Allied Health and Dental Services) Amendment Determination 2005 (No 2).
Section 2 provides for the Determination to commence on 1 January 2006.
Section 3 indicates that Schedule 1 amends the Health Insurance (Allied Health and Dental Services) Determination 2005.
Schedule 1 – Amendments
Item 1 adds a definition of exercise physiology services.
Item 2 prescribes the requirements of the service, which are the same as the requirements for the other services prescribed in Health Insurance (Allied Health and Dental Services) Determination 2005.
Item 3 changes the method for counting patient eligibility for rebates from five allied health services and three dental care services in a 12 month period (which was taken from the date of first service) to five allied health and three dental care services in a calendar year.
Overview
The Health Insurance (Allied Health and Dental Services) Amendment Determination 2005 (No 2) was enacted to address issues with the administrative arrangements for the allied health and dental care initiative introduced under the Australian Government’s Strengthening Medicare package on 1 July 2004. This amendment streamlines the system by modifying the method for counting patient eligibility for rebates from five allied health services and three dental care services in a 12-month period to five allied health and three dental care services in a calendar year. Additionally, this Determination introduces exercise physiology as a new class of health services, setting out the fees and circumstances applicable to these services. The policy objective is to improve the efficiency and effectiveness of the allied health and dental services rebate system. The enactment of this Determination by the Minister for Health and Ageing aims to ensure that these health services are adequately covered and managed within the existing legislative framework.
Scope and Application
The Health Insurance (Allied Health and Dental Services) Amendment Determination 2005 (No 2) applies to health services providers, patients, and health insurance entities in Australia. The amendment modifies the administrative framework for allied health and dental services, specifically altering the counting method for patient eligibility for rebates from a 12-month period starting from the date of the first service to a calendar year. Additionally, it introduces exercise physiology as a new class of health services, with defined fees and conditions for these services. The amendment is in line with the broader Strengthening Medicare initiative introduced by the Australian Government on 1 July 2004. The Determination is a legislative instrument and applies to the Commonwealth jurisdiction, influencing the operation of health insurance policies across Australia. There are no explicit exclusions or thresholds mentioned in the text, but eligibility for the services and rebates may be subject to other criteria specified in the Health Insurance Act 1973 and related regulations.
Key Provisions
The Health Insurance (Allied Health and Dental Services) Amendment Determination 2005 (No 2) (the Determination) amends the Health Insurance (Allied Health and Dental Services) Determination 2005, bringing changes to the method for counting patient eligibility for rebates for allied health and dental services under the Health Insurance Act 1973 (the Act). Specifically, it modifies the method for counting patient eligibility for rebates from five allied health services and three dental care services in a 12-month period (starting from the date of the first service) to five allied health and three dental care services in a calendar year (section 3(3)). Additionally, the Determination introduces exercise physiology as a new class of health services, setting out the fees and circumstances applying to these services (section 3(4)).
Under the Act, the Minister has the authority to determine that certain health services not listed in the Medicare Benefits Schedule may be treated as if they were listed, provided specific circumstances and statutory provisions are met (section 3C(1)). The Determination falls within this legislative framework and includes a definition of exercise physiology services and the requirements for these services, which mirror those for other prescribed services (section 3(3)). The Determination also specifies the fees and circumstances for exercise physiology services, ensuring they align with the requirements for other allied health and dental services.
The Determination imposes certain obligations on parties involved in the provision and administration of allied health and dental services. It requires service providers to adhere to the new method for counting patient eligibility for rebates, which is now based on a calendar year rather than a 12-month period from the date of the first service. Additionally, the Determination mandates that exercise physiology services comply with the same requirements as other allied health services, including meeting eligibility criteria and adhering to specified fees and circumstances.
Failure to comply with the provisions of the Determination may result in civil or criminal consequences. The Act does not specify maximum penalties for breaches of the Determination. However, the Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003, and breaches may lead to legal action or other administrative penalties as prescribed by relevant laws. The Department of Health and Ageing consulted with stakeholders, including representatives from various health professional bodies, to gain their agreement on the changes, ensuring that the new method for counting patient eligibility for rebates is supported by the allied health and dental care initiative's consultative group.