Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025

Administered by Department of Health, Disability and Ageing

Legislation au F2025L01543 Not in force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

 

Health Insurance Act 1973

 

Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025

 

Subsection 3C(1) of the Health Insurance Act 1973 (the Act) provides that the Minister may, by legislative instrument, determine that a health service not specified in an item in the general medical services table (the GMST) shall, in specified circumstances and for specified statutory provisions, be treated as if it were specified in the GMST.

 

The GMST is set out in the regulations made under subsection 4(1) of the Act. The most recent version of the regulations is the Health Insurance (General Medical Services Table) Regulations 2021 (the GMST Regulations).

 

This instrument is made pursuant to subsection 33(3) of the Acts Interpretation Act 1901, which provides a power to make a legislative or administrative instrument includes the power to repeal, rescind, revoke, amend, or vary that instrument in the same manner and subject to the same conditions.

 

Purpose

The purpose of the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 (the Amendment Determination) is to amend the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Determination 2024 to add a “(H)” flag to Medicare Benefits Schedule (MBS) item 75610.

 

This change is intended to provide that a service described in item 75610 may only be performed or provided in a hospital (as hospital treatment), ensuring that the service can only be rendered in the appropriate clinical location. The benefit paid for a service to which item 75610 applies will therefore be 75% of the schedule fee for that item. This change was announced in the 2025-26 Budget under the Strengthening Medicare measure. The amendment to item 75610 is a part of a broader suite of changes to the circumstances in which specified MBS services can be provided, the first phase of which was implemented in the Health Insurance Legislation Amendment (Hospital-Only Services and Other Measures) Regulations 2025.

Consultation

The Department of Health, Disability and Ageing (the department) consulted the Australian and New Zealand Association of Oral and Maxillofacial Surgeons (ANZAOMS) and the Australian Society of Plastic Surgeons (ASPS) regarding the change to MBS item 75610. ASPS was supportive, but ANZAOMS did not support the removal of the 85% benefit on the view that ANZAOMS regarded the procedure could be performed in rooms. Following subsequent consultation with the department’s medical advisors, the department determined that the service should only be provided as an in-hospital only treatment.

 

The Amendment Determination is a legislative instrument for the purposes of the Legislation Act 2003.

The Amendment Determination commences on 1 March 2026.

Details of the Amendment Determination are set out in the Attachment.

 

       

Authority:     Subsection 3C(1) of the

 Health Insurance Act 1973

ATTACHMENT

 

Details of the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025

 

Section 1 – Name

 

Section 1 provides for the instrument to be referred to as the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 (the Amendment Determination).

 

Section 2 – Commencement

 

Section 2 provides for the Amendment Determination to commence on 1 March 2026.

 

Section 3 – Authority

 

Section 3 provides that the Amendment Determination is made under subsection 3C(1) of the Health Insurance Act 1973.

 

Section 4 – Schedules

 

Section 4 provides that each instrument that is specified in a Schedule to this Amendment Determination is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Amendment Determination has effect according to its terms.

 

Schedule 1 – Amendments

 

Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Determination 2024

 

Item 1 amends the descriptor to MBS item 75610 to add a “(H)” flag to the end of the descriptor. This will limit the service described in item 75610 such that it can only be performed or provided in a hospital.  

 


Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025

 

This instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Determination

The purpose of the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 (the Amendment Determination) is to amend the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Determination 2024 to add a “(H)” flag to MBS item 75610.

 

This change is intended to provide that a service described in item 75610 may only be performed or provided in a hospital, ensuring that the service can only be rendered in the appropriate clinical location. The benefit paid for a service to which item 75610 applies will therefore be 75% of the schedule fee for that item. This change was announced in the 2025-26 Budget under the Strengthening Medicare measure. The amendment to item 75610 is a part of a broader suite of changes to the circumstances in which specified MBS services can be provided, the first phase of which was implemented in the Health Insurance Legislation Amendment (Hospital-Only Services and Other Measures) Regulations 2025.

 

 

Human rights implications

This instrument engages Articles 9 and 12 of the International Covenant on Economic Social and Cultural Rights (ICESCR), specifically the rights to health, social security, and equality and non-discrimination.

The Right to Health

The right to the enjoyment of the highest attainable standard of physical and mental health is contained in Article 12(1) of the ICESCR. The UN Committee on Economic Social and Cultural Rights (the Committee) has stated that the right to health is not a right for each individual to be healthy, but is a right to a system of health protection which provides equality of opportunity for people to enjoy the highest attainable level of health.

The Committee reports that the ‘highest attainable standard of health’ takes into account the country’s available resources. This right may be understood as a right of access to a variety of public health and health care facilities, goods, services, programs, and conditions necessary for the realisation of the highest attainable standard of health.

The Right to Social Security

The right to social security is contained in Article 9 of the ICESCR. It requires that a country must, within its maximum available resources, ensure access to a social security scheme that provides a minimum essential level of benefits to all individuals and families that will enable them to acquire at least essential health care. Countries are obliged to demonstrate that every effort has been made to use all resources that are at their disposal in an effort to satisfy, as a matter of priority, this minimum obligation.

The Committee reports that there is a strong presumption that retrogressive measures taken in relation to the right to social security are prohibited under ICESCR. In this context, a retrogressive measure would be one taken without adequate justification that had the effect of reducing existing levels of social security benefits, or of denying benefits to persons or groups previously entitled to them. However, it is legitimate for a Government to re-direct its limited resources in ways that it considers to be more effective at meeting the general health needs of all society, particularly the needs of the more disadvantaged members of society.

The right of equality and non-discrimination

The rights of equality and non-discrimination are contained in Articles 2, 16 and 26 of the International Covenant on Civil and Political Rights (ICCPR).  Article 26 of the ICCPR requires that all persons are equal before the law, are entitled without any discrimination to the equal protection of the law and in this respect, the law shall prohibit any discrimination and guarantee to all persons equal and effective protection against discrimination on any ground such as race, colour, sex, language, religion, political or other opinion, national or social origin, property, birth or other status.

Analysis

The Amendment Determination will maintain the rights to health and social security by providing that a service to which MBS item 75610 applies can only be performed or provided in a hospital, reflecting contemporary and appropriate clinical practice for the service. The Amendment Determination will also maintain the right of equality and nondiscrimination, as a Medicare-eligible person (as defined in the Health Insurance Act 1973) continues to have access to all Medicare services based on clinical need consistent with a universal health insurance program.

Conclusion

This instrument is compatible with human rights; it maintains the right to health, the right to social security, and the right of equality and non-discrimination.

 

 

Louise Riley

Assistant Secretary

MBS Policy and Reviews Branch

Medicare Benefits and Digital Health Division

Health Resourcing Group

Department of Health, Disability and Ageing

Overview

The Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 amends the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Determination 2024 to ensure that services described in Medicare Benefits Schedule (MBS) item 75610 can only be performed or provided in a hospital setting. This amendment, which responds to concerns raised by stakeholders about the appropriate clinical location for these services, was introduced to address the need for services to be rendered in settings that best ensure patient safety and quality of care. Enacted by the Australian Government, the policy objective is to align the provision of certain cleft and craniofacial services with contemporary clinical practices and to support the broader Strengthening Medicare measure as outlined in the 2025-26 Budget. The instrument ensures that the right to health, social security, and equality and non-discrimination are upheld, in line with international human rights obligations. The Amendment Determination is made under subsection 3C(1) of the Health Insurance Act 1973 and is designed to commence on 1 March 2026. It follows consultations with relevant professional bodies and medical advisors, aiming to ensure that the services are provided in the most appropriate and effective manner, thereby maintaining the integrity of the Medicare program. This legislative change ensures that the benefits for services under MBS item 75610 are set at 75% of the schedule fee, reflecting the hospital-only treatment status.

Scope and Application

The Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 applies to the services listed under the Medicare Benefits Schedule (MBS) item 75610, specifically concerning cleft and craniofacial services. This amendment ensures that the service described by MBS item 75610 can only be provided in a hospital setting, thereby limiting its applicability to hospital treatment. The Amendment Determination is made under subsection 3C(1) of the Health Insurance Act 1973 and commences on 1 March 2026. The geographic reach of this legislation is nationwide, applying to all Medicare-eligible persons in Australia. The Amendment Determination is part of a broader suite of changes aimed at ensuring that specified MBS services are provided in appropriate clinical settings, reflecting the Strengthening Medicare measure announced in the 2025-26 Budget. The Amendment Determination does not specify any exclusions, exemptions, or thresholds beyond the stipulation that the service can only be rendered in a hospital, thus ensuring adherence to contemporary clinical practices. The instrument does not extend or restrict its application through subordinate instruments, focusing specifically on the amendment of MBS item 75610.

Key Provisions

The Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Amendment (Hospital-Only Services) Determination 2025 amends the Health Insurance (Section 3C General Medical Services – Cleft and Craniofacial Services) Determination 2024, specifically targeting Medicare Benefits Schedule (MBS) item 75610. The Amendment Determination introduces a "(H)" flag to MBS item 75610, ensuring that the associated service can only be provided in a hospital setting. This amendment was made to align with appropriate clinical practices and was announced in the 2025-26 Budget under the Strengthening Medicare measure. The Amendment Determination also aligns with broader legislative changes introduced in the Health Insurance Legislation Amendment (Hospital-Only Services and Other Measures) Regulations 2025. The Amendment Determination imposes several obligations on parties and entities governed by it. Primarily, it requires that the service described in MBS item 75610 must be performed or provided in a hospital setting, as indicated by the "(H)" flag. This ensures that the service adheres to the appropriate clinical environment, maintaining the integrity and quality of patient care. Furthermore, the determination specifies that the benefit paid for the service will be 75% of the schedule fee for that item, reflecting the change in the service's eligibility for Medicare rebates. Breach of the provisions set out in the Amendment Determination could lead to civil and criminal consequences. Although specific penalties are not detailed in the explanatory statement, non-compliance with Medicare regulations generally can result in fines and other legal repercussions. The Department of Health, Disability and Ageing consulted with relevant professional associations, such as the Australian and New Zealand Association of Oral and Maxillofacial Surgeons (ANZAOMS) and the Australian Society of Plastic Surgeons (ASPS), regarding the change to MBS item 75610. While ASPS was supportive, ANZAOMS expressed concerns about the reduction in the benefit percentage. Following further consultations, the department determined that the service should only be provided as an in-hospital treatment, thereby reinforcing the determination's requirements. The Amendment Determination is compatible with human rights, specifically engaging Articles 9 and 12 of the International Covenant on Economic, Social and Cultural Rights (ICESCR). The right to health, as outlined in Article 12(1) of the ICESCR, is maintained by ensuring that the service can only be provided in a hospital, reflecting contemporary clinical practices. The right to social security, contained in Article 9 of the ICESCR, is also upheld as the amendment does not reduce the access to essential health care services. The right of equality and non-discrimination, found in Articles 2, 16, and 26 of the International Covenant on Civil and Political Rights (ICCPR), is preserved as Medicare-eligible individuals continue to have access to all Medicare services based on clinical need. The determination ensures that the changes do not disproportionately affect any group, maintaining a fair and equitable health care 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.