Health Insurance Commission Regulations (Amendment) 1993 No. 197
EXPLANATORY STATEMENT
STATUTORY RULES 1993 No. 197
Issued by authority of the Minister for Health
Health Insurance Commission Act 1973
Health Insurance Commission Regulations (Amendment)
Section 44 of the Health Insurance Commission Act 1973 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
Section 8E of the Act requires the Health Insurance Commission (the Commission) to perform such functions as are prescribed by regulation.
Subregulation 4(2) of the Health Insurance Commission Regulations (the Regulations) prescribes additional functions which, for the purpose of section 8E of the Act, the Commission has the power to perform. A number of additional functions have already been prescribed by way of previous amendments to the Regulations.
The Health Insurance Commission Regulations (Amendment) (Statutory Rules 1993 No.89) (the Amending Regulations) amended the Regulations by inserting new regulation 3H which empowered the Commission to perform the function of payment, on behalf of Australian Hearing Services (AHS), of claims by a "benefit provider" (private sector providers who have entered into an arrangement with the AHS under paragraph 8(1)(d) of the Hearing Services Act 1991). The Amending Regulations commenced on 1 May 1993.
Section 41B of the Act allows the making of regulations to modify Part V and section 42 of the Act in connection with the Commission's performance of new functions. This Part of the Act enables the Commission to incur administrative costs in relation to the performance of new functions. Regulation 4A of the Regulations has already modified the Act by inserting new sections 32A and 34AA. Section 32A deals with certain additional functions that are deemed to form part of the Commission's functions under the Medicare Scheme.
Due to an oversight, a consequential amendment to regulation 4A. of the Regulations was not included in the Amending Regulations. Unless section 32A is amended in the manner contained in the regulations, the Commission is not lawfully able to incur administrative costs in relation to the hearing services function.
The regulations will amend regulation 4A of the Regulations so that section 32A in Part V of the Act is modified to include, in the Commission's Medicare functions, performance by the Commission of the function of making payment, on behalf of the AHS, of claims by benefit providers for the supply of hearing services.
The regulations commence on 1 May 1993. The retrospectivity of the regulations will not affect the rights of any person (other than the Commonwealth) in a manner prejudicial to that person, nor will they impose any liability on such a person. They are, therefore, in accordance with subsection 48(2) of the Acts Interpretation Act 1901. The regulations provide for the Commission to incur administrative costs associated with the processing of claims in respect of the supply of hearing services which occurred from 1 May 1993 and does not affect the entitlement of a person to receive benefits from the AHS.
Overview
The Health Insurance Commission Regulations (Amendment) 1993 No. 197 was enacted to address an oversight in the initial regulations that failed to include a consequential amendment necessary for the Health Insurance Commission to lawfully incur administrative costs in relation to new functions pertaining to hearing services. This was achieved through the insertion of new regulation 3H in the Health Insurance Commission Regulations (Amendment) 1993 No. 89, which allowed the Commission to perform the function of paying claims by private sector providers on behalf of Australian Hearing Services. However, this oversight necessitated further amendment to regulation 4A of the Regulations, ensuring that section 32A of the Health Insurance Commission Act 1973 could include the function of making such payments as part of the Commission's Medicare functions. The intent of these regulations was to rectify the administrative gap without adversely affecting existing entitlements or imposing new liabilities.
Scope and Application
The Health Insurance Commission Regulations (Amendment) 1993 No. 197, issued under the authority of the Minister for Health, amends the Health Insurance Commission Regulations to address an oversight identified in the Health Insurance Commission Regulations (Amendment) (Statutory Rules 1993 No. 89). These amendments ensure that the Health Insurance Commission (the Commission) can lawfully incur administrative costs related to the function of processing claims for the supply of hearing services by benefit providers under the Hearing Services Act 1991. The Commission, empowered by section 8E of the Health Insurance Commission Act 1973, has been assigned the additional function of paying claims on behalf of Australian Hearing Services (AHS) by private sector providers who have entered into an arrangement with AHS. The statutory rules modify the regulations to include a consequential amendment to regulation 4A, thus enabling section 32A of the Act to deem the hearing services function as part of the Commission's Medicare functions, allowing for the lawful incurring of associated administrative costs from 1 May 1993. The amendments do not affect existing entitlements to benefits or impose any liability on individuals, in accordance with the Acts Interpretation Act 1901.
Key Provisions
The key operative sections of the Health Insurance Commission Regulations (Amendment) 1993 (No. 197) (the Amendment) pertain to the modification of existing regulations to allow the Health Insurance Commission (the Commission) to perform specific functions related to hearing services. Section 44 of the Health Insurance Commission Act 1973 (the Act) empowers the Governor-General to make regulations for the purposes of the Act, while section 8E of the Act mandates that the Commission perform functions prescribed by regulation. The Amendment specifically targets subregulation 4(2) of the Health Insurance Commission Regulations (the Regulations) to include a new function for the Commission regarding the payment of claims by benefit providers for hearing services on behalf of Australian Hearing Services (AHS), as prescribed under the Hearing Services Act 1991. Additionally, section 41B of the Act allows for the creation of regulations to modify Part V and section 42 of the Act concerning the Commission's performance of new functions, including the ability to incur administrative costs.
The Amendment imposes certain obligations and requirements on the Commission. Firstly, it mandates that the Commission can now legally perform the function of paying claims for hearing services on behalf of AHS. This includes ensuring that administrative costs related to these payments are incurred in compliance with the modified regulations. Additionally, the Amendment requires the Commission to modify its practices and systems to accommodate these new functions and ensure that they are carried out efficiently and effectively. The Amendment also seeks to rectify an oversight from previous regulations by ensuring that the Commission can lawfully incur administrative costs related to the processing of hearing service claims from 1 May 1993 onwards.
The Amendment does not explicitly outline specific offences, penalties, or consequences for breach; however, the failure to comply with the modified regulations could result in legal challenges or administrative penalties. The regulations themselves are designed to ensure that the Commission can perform its new functions without incurring unlawful administrative costs. Furthermore, the Amendment stipulates that its retrospective application will not adversely affect the rights of any person (other than the Commonwealth) or impose any new liabilities on such persons, thus adhering to subsection 48(2) of the Acts Interpretation Act 1901. This ensures that the Amendment's implementation does not prejudice existing rights or entitlements under the AHS scheme.
In summary, the Health Insurance Commission Regulations (Amendment) 1993 (No. 197) introduces critical changes to the Regulations to empower the Commission to perform new functions related to the payment of hearing service claims and to ensure lawful administrative cost recovery. These amendments impose specific obligations on the Commission to modify its practices accordingly and ensure compliance with the new regulatory framework. While the Amendment does not specify penalties for non-compliance, adherence to the regulations is crucial to avoid potential legal or administrative repercussions. The retrospective application of the Amendment is carefully designed to protect existing rights and entitlements, aligning with statutory provisions under the Acts Interpretation Act 1901.