Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3)

Administered by Department of Health, Disability and Ageing

Legislation au F2009L02934 Regulations Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Select Legislative Instrument 2009 No. 226

    

Health Insurance Act 1973

 

Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3)

 

Subsection 133(1) of the Health Insurance Act 1973 (the Act) provides that the

Governor-General may make regulations, not inconsistent with the Act, prescribing all matters required or permitted by the Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.

 

The Act provides, in part, for payments of Medicare benefits in respect of professional services rendered to eligible persons. 

 

Subsection 4AA(1) of the Act provides that the regulations may prescribe a table of diagnostic imaging services, the amount of fees applicable in respect of each item and the rules for interpretation of the table.  Schedule 1 to the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008 (the Principal Regulations) prescribes such a table.

 

The Regulations amend the Principal Regulations to enable Medicare benefits to be payable for Magnetic Resonance Imaging (MRI) services conducted using specified equipment located at Benson Radiology, Morphett Vale, South Australia.  In order for Medicare rebate to be received, the scan must be requested by a specialist medical practitioner or consultant physician, be conducted on a Medicare-eligible MRI unit by a Medicare-eligible provider, and be a MRI service listed in the Medicare Benefits Schedule (MBS).

 

The Regulations also amend the ‘manufacturer and scanner model’ of the specified equipment located at Suite 1, 38-40 Urunga Parade, Miranda, New South Wales, due to the replacement of the existing specified equipment with a new model with the same strength.

 

Details of the Regulations are set out in the Attachment.

 

The Department of Health and Ageing undertook a competitive application process to select the specified equipment being granted Medicare-eligibility at Morphett Vale.  The Department then consulted with the successful applicant about the requirements for the MRI unit to be granted Medicare-eligibility.

 

Due to the replacement of the existing Medicare-eligible MRI unit at Miranda, it was also necessary for the Department to consult with the service operator about the requirements for the transfer of Medicare-eligibility from the existing unit to the replacement unit in order to finalise the amendments to the Principal Regulations. 

 

The Act specifies no conditions that need to be satisfied before the power to make the  Regulations may be exercised.

 

The Regulations be a legislative instrument for the purposes of the Legislative Instruments Act 2003.

 

The Regulations commence on 14 September 2009.

 

 

ATTACHMENT

 

Details of the Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3)

 

Regulation 1 – Name of Regulations

 

This regulation provides that the title of the Regulations is the Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3).

 

Regulation 2 - Commencement

 

This Regulation provides for the Regulations to commence on 14 September 2009.

 

Regulation 3 – Amendment of the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008

 

This regulation provide that the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008 (the Principal Regulations) are amended as set out in Schedule 1.

 

Schedule 1 – Amendments

 

Item [1]

This item inserts into Schedule 1, Part 2, subrule 31 (2B)(b) a reference to Benson Radiology, Morphett Vale, South Australia.

 

Item [2]

This item substitutes the description of the ‘manufacturer and scanner model’ of the  specified equipment located at Suite 1, 38-40 Urunga Parade, Miranda, New South Wales, in Schedule 1, Part 2, Table 3 - Eligible equipment in paragraph 36 (1)(f) of the Principal Regulations.

 

Item [3]

This item inserts the details of the new MRI unit at Benson Radiology, Morphett Vale, South Australia into Schedule 1, Part 2,  Table 3 - Eligible equipment in paragraph 36 (1)(f) of the Principal Regulations.

 

Overview

The Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3) were enacted to amend the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008, under the authority granted by Subsection 133(1) of the Health Insurance Act 1973. This legislative instrument was developed to address specific needs within the Medicare system concerning the provision of diagnostic imaging services, particularly Magnetic Resonance Imaging (MRI) services. The regulations were introduced to enable Medicare benefits for MRI services conducted using specified equipment at Benson Radiology in Morphett Vale, South Australia, and to update the specifications for MRI equipment at a location in Miranda, New South Wales, due to equipment replacement. The policy objective of these regulations is to ensure that eligible persons can access Medicare-subsidised MRI services by facilitating the inclusion of new equipment and updating the specifications of existing equipment in the Medicare Benefits Schedule. These amendments were made following consultations with the respective service operators to ensure compliance with Medicare eligibility criteria.

Scope and Application

The Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3) amend the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008, which are subordinate to the Health Insurance Act 1973. The Act pertains to payments of Medicare benefits for professional services rendered to eligible persons and includes provisions for the prescription of a table of diagnostic imaging services, fees, and interpretation rules. The Regulations specifically enable Medicare benefits for Magnetic Resonance Imaging (MRI) services conducted using specified equipment at Benson Radiology in Morphett Vale, South Australia, and update the details of MRI equipment at Miranda, New South Wales, due to equipment replacement. For Medicare rebates to apply, MRI scans must be requested by a specialist medical practitioner or consultant physician, performed on a Medicare-eligible MRI unit by a Medicare-eligible provider, and listed in the Medicare Benefits Schedule. The Regulations do not specify any conditions that need to be satisfied before they can be made and come into effect on 14 September 2009.

Key Provisions

The Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3) primarily amend the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008 to include new provisions regarding the eligibility of certain Magnetic Resonance Imaging (MRI) services for Medicare rebates. According to Regulation 3 of the Amendment Regulations, the Health Insurance (Diagnostic Imaging Services Table) Regulations 2008 are updated as outlined in Schedule 1. Specifically, the Regulations now include Benson Radiology at Morphett Vale, South Australia, as an eligible provider of MRI services for Medicare rebates (Schedule 1, Item 1). Additionally, the Regulations account for the replacement of an existing MRI unit at Miranda, New South Wales, by substituting the description of the manufacturer and scanner model in the Principal Regulations (Schedule 1, Item 2). These amendments are effective from 14 September 2009 (Regulation 2). The Regulations impose specific obligations on the parties involved, ensuring compliance with the updated criteria for Medicare-eligible MRI services. For instance, MRI scans performed at Benson Radiology, Morphett Vale, must be requested by a specialist medical practitioner or consultant physician and must be conducted using a Medicare-eligible MRI unit by a Medicare-eligible provider (Schedule 1, Item 3). Furthermore, the MRI service must be listed in the Medicare Benefits Schedule (MBS) to qualify for a Medicare rebate. Similarly, the replacement of the MRI unit at Miranda must meet the same criteria to retain Medicare eligibility, ensuring that the service operator complies with the updated requirements (Schedule 1, Item 2). Failure to adhere to the provisions set out in the Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3) could result in civil or criminal consequences, although the specific penalties are not detailed within the text. Generally, breaches of the Health Insurance Act 1973 may lead to fines, imprisonment, or both, depending on the severity of the violation. The maximum penalties for contravening the Act can be substantial, reflecting the importance of compliance with the regulatory framework governing Medicare benefits. Given that the Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003, non-compliance may also result in administrative actions or legal proceedings to enforce the requirements. Overall, the Health Insurance (Diagnostic Imaging Services Table) Amendment Regulations 2009 (No. 3) serve to clarify and update the criteria for Medicare-eligible MRI services, ensuring that only services meeting the specified conditions receive rebates. The Regulations impose clear obligations on providers and service operators to comply with the updated requirements, with potential civil or criminal consequences for non-compliance.

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