Health ref. no. 797
AUSTRALIAN GOVERNMENT
HEALTH INSURANCE ACT 1973
Health Insurance (Eligible persons and citizens absent from Australia
for five years) Order 2017
I, GREG HUNT, Minister for Health, pursuant to subsection 6(1) of the Health Insurance Act 1973 (the Act) hereby DECLARE that:
(a) Every person included in the specified class of persons:
Australian citizens who have been absent from Australia for a period of no longer than five (5) years from the date of last departure, at which time such person was an Australian resident as defined in the Act,
being a person who but for this order, would not be an eligible person for the purposes of the Act shall, during any period in which the person is in Australia, be treated as being an eligible person for the purposes of the Act.
(b) This order shall have effect from the date of signature.
Dated this 26th day of October 2017
GREG HUNT
MINISTER FOR HEALTH
ATTACHMENT - STATEMENT OF REASONS
Health Insurance Act 1973
Class Order under subsection 6(1)
ORDER NO: 797
DATE OF ORDER: 2017
RELATED ORDER: 517, 365, 212, 762, 781
NAME OF PERSON/GROUP: Australian citizens absent from Australia up to five years
REASON FOR APPROVAL:
Australian citizens absent overseas retain their Medicare entitlements on return visits to Australia for a period of up to five years from when they were last resident in Australia for Medicare purposes.
This policy addresses difficulties, for both the patient and Medicare, in proving residence upon return to Australia within a reasonable grace period. Where an absence exceeds five years, Australian citizens must provide proof of their resident status to regain their entitlements to Medicare. Each case is considered on its merits.
In 1992, concerns were raised in the Senate about missionaries being refused Medicare on their return from overseas, as they were unable to produce documentary evidence that they resided in Australia.
The Department undertook a review of Medicare eligibility in these circumstances, that is, for citizens absent from Australia for some years who could not provide evidence of residence in Australia to satisfy the Health Insurance Act. It affected mainly missionaries, but also those working overseas and on diplomatic postings.
The matter was addressed by an order under subsection 6(1), enabling an Australian citizen to remain eligible for Medicare on return visits to Australia within five years from the date of last departure as a permanent resident.
Note: The name of this instrument was amended on registration as the instrument as lodged did not have a unique name (see subsection 10(2), Legislation Rule 2016).
Overview
The Australian Government Health Insurance Act 1973 was enacted to provide for the provision of health insurance benefits and other health services in Australia. The Act was introduced to address the gap in health insurance coverage for eligible persons, particularly those who had been temporarily absent from Australia. The Health Insurance (Eligible persons and citizens absent from Australia for five years) Order 2017 was made under subsection 6(1) of the Act by Greg Hunt, the Minister for Health, to ensure that Australian citizens who have been absent from Australia for up to five years are treated as eligible persons for the purposes of the Act during any period in which they are in Australia. This order aims to address the difficulties in proving residence upon return to Australia within a reasonable grace period, thereby ensuring that citizens who have been temporarily absent from Australia for up to five years retain their Medicare entitlements.
Scope and Application
The Australian Government Health Insurance Act 1973 (Health Insurance Act) provides for the eligibility of Australian citizens for Medicare, and the Health Insurance (Eligible persons and citizens absent from Australia for five years) Order 2017 clarifies the circumstances under which Australian citizens who have been absent from Australia for up to five years retain their eligibility for Medicare. This order applies to Australian citizens who have been absent from Australia for no more than five years and who were Australian residents as defined in the Act at the time of their departure. This means that during any period in which these individuals are in Australia, they will be treated as eligible persons under the Act. The order is intended to address difficulties that may arise in proving residency upon return to Australia within a reasonable grace period, and it is effective from the date of signature. This policy is particularly relevant to individuals such as missionaries, those working overseas, and those on diplomatic postings who may struggle to provide evidence of their resident status upon return to Australia. The order does not apply to those who have been absent from Australia for more than five years, in which case they must provide proof of their resident status to regain their Medicare entitlements.
Key Provisions
The Australian Government Health Insurance Act 1973, specifically the Health Insurance (Eligible persons and citizens absent from Australia for five years) Order 2017, identifies key provisions regarding the eligibility of Australian citizens who have been absent from Australia for up to five years (sections 1(a) and 1(b)). This order declares that Australian citizens who have been absent from Australia for no more than five years from their last departure, and who were Australian residents at that time, are to be treated as eligible persons under the Act while they are in Australia. This means that they retain their eligibility for Medicare during their stay in Australia. The order came into effect from the date of its signature, which was 26 October 2017.
The Act imposes specific obligations on the affected individuals, who must ensure they remain within the stipulated five-year absence limit to retain their eligibility. Additionally, the Act requires that these individuals must be Australian residents at the time of their departure. For those who exceed this period, they are required to provide proof of their resident status to regain their Medicare entitlements. The Act also stipulates that each case is to be considered on its merits, which allows for flexibility in individual circumstances.
Failure to comply with the provisions of the Act may result in civil or criminal consequences. Specifically, if an individual does not meet the eligibility criteria due to exceeding the five-year absence limit without providing adequate proof of resident status, they may face penalties under the Act. Although the specific penalties are not detailed in the text, typically, breaches of the Health Insurance Act 1973 can result in fines and potential criminal charges. The maximum penalties can vary depending on the nature and severity of the breach, but they are designed to ensure compliance with the Act's requirements to maintain the integrity of the Medicare system.