Health Insurance Regulations (Amendment)

Administered by Department of Health, Disability and Ageing

Legislation au F1996B02829 Regulations Not in force Legislative Instrument

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Health Insurance Regulations (Amendment) 1994 No. 20

EXPLANATORY STATEMENT

STATUTORY RULES 1994 No. 20

Issued by the authority of the Minister for Health

Health Insurance Act 1973

Health Insurance Regulations (Amendment)

The Health Insurance Act 1973 (the Act) provides in part for the payment of medicare benefits for professional services rendered by medical practitioners and for certain professional services rendered by dental practitioners and optometrists.

Section 133 of the Act provides that the Governor-General may make regulations for the purposes of the Act.

The Regulations are necessary to amend the Health Insurance Regulations as a consequence of a determination by the Minister to provide two specific items in respect of bone densitometry under the provisions of section 3C of the Health Insurance Act and thus facilitate the payment of medicare benefits for such services. Section 3C of the Act allows the Minister to determine items and Schedule fees for services not listed in the General Medical Services Table.

The payment of medicare benefits in respect of bone densitometry was prohibited as a result of a determination issued under the provisions of section 19A of the Health Insurance Act which empowers the Minister to exclude benefits for professional services in prescribed circumstances. Such services are prescribed under Regulation 14 of the Health Insurance Regulations. Benefits for bone densitometry were excluded as from 21 June 1989 following a recommendation by the Medicare Benefits Advisory Committee (MBAC).

BACKGROUND

The MBAC recommendation was based on the fact that the methods used for the purpose of measuring bone density for osteoporosis assessment (bone densitometry) were not proven. The Committee considered that until such time as firm scientific evidence of the value of osteoporosis assessment using the various bone density measurement techniques were available, medicare benefits should not be payable.

A further recommendation was made to the Minister by MBAC on 6 December 1993. Based on its review of current scientific knowledge and clinical practice, MBAC recommended the payment of medicare benefits but that benefits be confined to two clinical applications with certain guidelines and restrictions applying in order to promote quality and appropriate use of the technology. This recommendation was accepted by the Minister.

THE REGULATIONS

Subregulation 3.1 therefore omits paragraph 14(2)(d) of the Health Insurance Regulations to remove the blanket prohibition on the payment of medicare benefits for bone densitometry tests. This amendment of the Health Insurance Regulations allows the payment of medicare benefits for the tests under the conditions specified in the section 3C Determination.

The regulation commences on 1 March 1994. This allows the payment of benefits in accordance with the section 3C Determination from 1 March 1994.

 

Overview

The Health Insurance Regulations (Amendment) 1994 No. 20 were enacted to address a gap in the payment of Medicare benefits for bone densitometry services, a critical diagnostic tool for assessing osteoporosis. The Act in question is the Health Insurance Act 1973, which was established to provide for the payment of Medicare benefits for professional services rendered by medical practitioners and certain other healthcare professionals. This amendment was authorised by the Minister for Health, who was empowered under section 133 of the Act to make regulations necessary for its purposes. The policy objective behind this amendment was to respond to evolving medical evidence and clinical practices, thereby ensuring that Medicare benefits were aligned with the most current scientific understanding of appropriate healthcare services. The Health Insurance Regulations (Amendment) were introduced to facilitate the payment of Medicare benefits for bone densitometry tests, which had previously been excluded due to concerns over the reliability of the measurement techniques. This change was made in response to a recommendation by the Medicare Benefits Advisory Committee, which advised that while the payment of benefits should not be made until firm scientific evidence was available, benefits could be payable for specific clinical applications with certain restrictions.

Scope and Application

The Health Insurance Regulations (Amendment) 1994 No. 20 applies to the Health Insurance Act 1973 and specifically targets the payment of medicare benefits for professional services rendered by medical practitioners, dental practitioners, and optometrists. These regulations address the payment of benefits for bone densitometry, a service previously excluded due to insufficient scientific evidence supporting its efficacy in osteoporosis assessment. The Minister's determination under section 3C of the Act now allows for the payment of medicare benefits for two specific items related to bone densitometry, subject to certain guidelines and restrictions aimed at ensuring quality and appropriate use of the technology. The amendment removes the blanket prohibition on these benefits, effective from 1 March 1994, following a recommendation by the Medicare Benefits Advisory Committee. The regulations apply nationally, impacting the healthcare industry and medical practitioners across Australia, as they modify the Health Insurance Regulations to facilitate the specified payment of benefits.

Key Provisions

The main operative sections of the Health Insurance Regulations (Amendment) 1994 No. 20 revolve around the amendment of existing regulations to facilitate the payment of medicare benefits for specific bone densitometry services under section 3C of the Health Insurance Act 1973. Section 3C allows the Minister to determine items and fees for services not listed in the General Medical Services Table, and this amendment specifically concerns bone densitometry services. Subregulation 3.1 removes the blanket prohibition on the payment of medicare benefits for bone densitometry tests, allowing these payments to proceed under specified conditions outlined in the section 3C Determination. This regulation aims to provide clarity and legal backing for the payment of these benefits starting from 1 March 1994. The Act imposes specific obligations and requirements on parties and entities involved in the provision and payment of medicare benefits. Medical practitioners and other relevant professionals must adhere to the guidelines and restrictions set forth in the section 3C Determination to ensure the appropriate use of bone densitometry services. The regulations mandate that only specific clinical applications are eligible for medicare benefits, with certain conditions and restrictions to maintain quality and appropriate usage. The amendments ensure that the services are provided within a regulated framework, ensuring that the benefits are used responsibly and effectively. There are potential civil and criminal consequences for non-compliance with the provisions of the Health Insurance Act and the amended regulations. While specific penalties are not detailed in the provided text, breaches of the regulations can lead to legal action, fines, and other sanctions. Non-compliance can also result in the denial of medicare benefits for the services in question, impacting both the providers and the patients. The Act's overarching aim is to ensure that the services provided are of high quality and appropriately used, protecting the integrity of the medicare system.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.