Health Legislation Amendment Act (No. 1) 2001

Administered by Department of Health, Disability and Ageing

Legislation au C2004A00771 In force Act

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No. 6, 2001

Health Legislation Amendment Act (No. 1) 2001

No. 6, 2001

An Act to amend legislation relating to health, and for related purposes

Contents

1 Short title...................................

2 Commencement...............................

3 Schedule(s)..................................

4 Application of amendment made by Schedule 2............

5 Application of amendments made by Schedule 4............

Schedule 1—Outreach services

Health Insurance Act 1973

National Health Act 1953

Schedule 2—Disclosure of information

National Health Act 1953

Schedule 3—Lifetime health cover

National Health Act 1953

Schedule 4—Rate increases proposed by registered organisations

National Health Act 1953

Health Legislation Amendment Act (No. 1) 2001

No. 6, 2001

An Act to amend legislation relating to health, and for related purposes

[Assented to 21 March 2001]

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Health Legislation Amendment Act (No. 1) 2001.

2 Commencement

(1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

(2) Subject to subsection (3), Schedule 1 commences on a day to be fixed by Proclamation.

(3) If Schedule 1 does not commence under subsection (2) within the period of 6 months beginning on the day on which this Act receives the Royal Assent, it commences on the first day after the end of that period.

(4) Schedule 3 commences, or is taken to have commenced, immediately after the commencement of the National Health Amendment (Lifetime Health Cover) Act 1999.

3 Schedule(s)

Subject to section 2, each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

4 Application of amendment made by Schedule 2

The amendment made by Schedule 2 applies in relation to the disclosure of information on or after the commencement of that Schedule.

5 Application of amendments made by Schedule 4

The National Health Act 1953 as amended by Schedule 4 applies to any changes intended to come into effect at or after the commencement of Schedule 4, including changes notified to the Secretary before the commencement of Schedule 4.

Schedule 1—Outreach services

Health Insurance Act 1973

1 At the end of subsection 3(1A)

Add:

Note: References in this Act to hospital treatment have an expanded meaning: see section 5C of the National Health Act 1953.

National Health Act 1953

2 Subsection 4(1)

Insert:

outreach service means any service specified in a determination under section 5D, that is provided to a patient by, or on behalf of, a hospital or a day hospital facility, as a direct substitute for hospital treatment that would otherwise be provided in a hospital or day hospital facility, but does not include service provided by a medical practitioner that would attract a Medicare benefit of 85% of the scheduled fee.

3 Subsection 4(1) (paragraph (a) of the definition of patient)

Repeal the paragraph, substitute:

(a) in relation to a day hospital facility, means:

(i) a person who attends the day hospital facility for the purpose of permitting the provision of professional attention to the person at the day hospital facility; or

(ii) a person who receives an outreach service provided by, or on behalf of, the day hospital facility; and

4 After section 5B

Insert:

5C Extension of this Act and the Health Insurance Act 1973 in relation to outreach services

(1) In this Act and the Health Insurance Act 1973 (other than an excluded provision):

(a) a reference to hospital treatment includes a reference to the provision of an outreach service; and

(b) a reference to hospital treatment provided in, at or by a hospital or a day hospital facility includes a reference to an outreach service provided by, or on behalf of, a hospital or a day hospital facility; and

(c) a reference to a patient receiving treatment in or at a hospital or a day hospital facility includes a reference to a patient receiving an outreach service provided by, or on behalf of, a hospital or a day hospital facility.

(2) In this section:

excluded provision means any of the following provisions:

(a) subsection 5B(3) of the Health Insurance Act 1973;

(b) section 67 of this Act;

5D Minister may specify outreach services

(1) The Minister may, by written determination, specify services provided by, or on behalf of, a specified hospital or day hospital facility for the purposes of the definition of outreach service in subsection 4(1).

Note: Under subsection 33(3) of the Acts Interpretation Act 1901, the Minister may vary or revoke etc. a determination under this section.

(2) A determination under this section:

(a) comes into force on the day specified in the determination; and

(b) remains in force for the period specified in the determination, unless sooner revoked.

(3) A determination under this section is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.

5E Review of extension of this Act and the Health Insurance Act 1973 in relation to outreach services

(1) The Minister must cause an independent review of the operation of the extension of this Act and the Health Insurance Act 1973 in relation to outreach services to be undertaken.

(2) The Minister must cause a copy of the report of the review to be tabled in each House of Parliament not later than 30 June 2003.

(3) In this section:

independent review means a review, and a report to the Minister, undertaken by persons who:

(a) in the Minister’s opinion possess appropriate qualifications to undertake the review; and

(b) include at least one person who:

(i) is not employed by the Commonwealth or a Commonwealth authority; or

(ii) has not, since the commencement of this Act, provided services to the Commonwealth or a Commonwealth authority, under or in connection with a contract.

5 Paragraph 73BD(2)(d)

Omit “to the hospital or day hospital facility”.

6 Paragraph 73BDAA(1)(a)

Omit “at the hospital or day hospital facility”, substitute “to patients of the hospital or day hospital facility”.

Schedule 2—Disclosure of information

National Health Act 1953

1 After subsection 73G(2)

Insert:

(2A) No action (whether criminal or civil) lies against:

(a) a registered organization; or

(b) a person acting on behalf of a registered organization;

for breach of a duty of confidence, or breach of a similar obligation, in relation to the disclosure of information to:

(d) a day hospital facility with which the organization has such an agreement;

if the disclosure is reasonably necessary in connection with the hospital or day hospital facility complying with the requirement referred to in paragraph 73BD(2)(d).

Schedule 3—Lifetime health cover

National Health Act 1953

1 Subsection 4(1) (definition of adult beneficiary)

Repeal the definition, substitute:

adult beneficiary, in relation to hospital cover, means a person covered by that hospital cover, other than a person who is:

(a) under 31 years of age; and

(b) a dependant (but not a spouse) of a contributor in respect of the hospital cover.

2 Paragraph 4(1)(b) of Schedule 2

After “dependant”, insert “(but not a spouse)”.

3 Subparagraphs 5(1)(c)(i) and (ii) of Schedule 2

Repeal the subparagraphs, substitute:

(i) entered or enters Australia on a Refugee and Humanitarian (Migrant) (Class BA) visa issued on or after 1 January 2000; or

(ii) was or is granted a protection visa within the meaning of section 36 of the Migration Act 1958 after entering Australia on or after 1 January 2000;

Schedule 4—Rate increases proposed by registered organisations

National Health Act 1953

1 After paragraph 6(1)(a)

Insert:

(aa) the Minister’s power under subsection 78(4A); or

2 After subsection 78(4)

Insert:

(4A) Where the Minister is of the opinion that a change that would increase rates of contribution by contributors would be contrary to the public interest, the Minister may, by declaration in writing, declare that the change shall not come into operation.

(4B) The Minister must cause a copy of a declaration under subsection (4A) to be laid before each House of the Parliament within 15 sitting days after the declaration is made.

(4C) A declaration under subsection (4A) must set out the grounds on which the Minister formed the opinion that a change that would increase rates of contributions by contributors would be contrary to the public interest.

3 Subsection 78(5)

Add at the end “or (4A)”.

4 Subsection 78(6)

After “subsection (4)”, insert “or (4A)”.

5 Subsection 78(7)

Omit “a declaration under subsection (4)”, substitute “any declaration under either of subsections (4) and (4A)”.

6 Paragraph 78(9)(b)

Omit “a declaration under subsection (4)”, substitute “any declaration under either of subsections (4) and (4A)”.

[Minister’s second reading speech made in—

House of Representatives on 31 May 2000

Senate on 26 February 2001]

(88/00)

Overview

The Health Legislation Amendment Act (No. 1) 2001 was enacted by the Parliament of Australia to amend various health-related laws and address gaps in existing legislation. This Act was designed to enhance the functionality and scope of health-related laws by making amendments to the Health Insurance Act 1973 and the National Health Act 1953. The primary policy objective of this legislation was to introduce and regulate outreach services provided by hospitals and day hospital facilities, protect the confidentiality of information disclosed for compliance purposes, and provide clarity on the definition of 'adult beneficiary' for lifetime health cover, while also ensuring that rate increases by registered organisations are in the public interest. The Act's amendments were structured to provide more comprehensive coverage and clearer definitions in the health sector, ensuring that outreach services are recognised as a legitimate form of hospital treatment. Additionally, it aimed to safeguard the disclosure of necessary information for compliance purposes without fear of legal repercussions, and it refined the definition of 'adult beneficiary' to ensure that the lifetime health cover provisions were applied correctly. The Act also empowered the Minister to prevent rate increases that would be contrary to the public interest, thereby providing a safeguard against undue financial burdens on contributors.

Scope and Application

The Health Legislation Amendment Act (No. 1) 2001 amends various aspects of Australian health legislation, primarily targeting the Health Insurance Act 1973 and the National Health Act 1953. This Act applies to entities and individuals involved in the provision and administration of health services, including hospitals, day hospital facilities, registered organisations, and patients. Its jurisdictional reach is Commonwealth-wide, as it pertains to federal health legislation. The Act does not specify exclusions or exemptions but does provide for certain exclusions within its provisions, such as specific subsections of the Health Insurance Act that are not extended to cover outreach services. The application of certain amendments is subject to commencement provisions, with some provisions taking effect immediately upon the Act's assent and others on a date fixed by proclamation or after a specified period. Subordinate instruments may further extend or restrict the application of these amendments, particularly in relation to the specification of outreach services and the declaration of rate changes by the Minister.

Key Provisions

The Health Legislation Amendment Act (No. 1) 2001 (the "Act") makes several amendments to existing health legislation. The Act primarily amends the Health Insurance Act 1973 and the National Health Act 1953. Section 1 specifies that the Act may be cited as the Health Legislation Amendment Act (No. 1) 2001. The Act came into effect on the day it received Royal Assent, which was 21 March 2001. However, Schedule 1, which deals with outreach services, will only come into effect if it is proclaimed within six months of the Act's commencement. If not proclaimed within that timeframe, Schedule 1 will commence on the first day after the end of the six-month period. The Act introduces a new concept of "outreach services" as defined in section 5D, which are services provided by, or on behalf of, a hospital or a day hospital facility as a direct substitute for hospital treatment that would otherwise be provided in a hospital or day hospital facility. This concept is expanded upon in section 5C, which includes references to outreach services within the Acts and defines terms such as "hospital treatment" and "patient". The Minister has the authority to specify which services qualify as outreach services under section 5D. Additionally, an independent review of the operation of the extension of the Act and the Health Insurance Act 1973 in relation to outreach services is required, with a report to be tabled in Parliament by 30 June 2003. The Act also modifies the definition of "patient" under the National Health Act 1953 to include individuals who receive outreach services. Furthermore, it exempts registered organisations and their representatives from liability for breaches of duty of confidence or similar obligations in relation to the disclosure of information to hospitals or day hospital facilities, provided the disclosure is reasonably necessary for compliance with certain requirements. In terms of obligations, entities governed by the Act must adhere to the new definitions and provisions, particularly regarding outreach services and their integration into hospital treatment and patient definitions. They must also comply with the new rules concerning the disclosure of information to hospitals and day hospital facilities. Additionally, registered organisations must ensure that any disclosures are reasonably necessary for compliance with specific requirements to avoid liability. Breaches of the Act's provisions can result in various consequences. For example, under section 73G(2A) of the National Health Act 1953, no action lies against a registered organisation or a person acting on their behalf for breaches of duty of confidence or similar obligations in relation to disclosures to hospitals or day hospital facilities, provided the disclosure is reasonably necessary for compliance. Failure to comply with the Act's requirements could lead to legal challenges or other civil or administrative consequences, depending on the specific breach and its impact.

Area of Law: Health Law
Instrument: Act
Concepts: Commencement Provisions; Definitions & Interpretation; Repeal & Amendment; Reporting & Disclosure Obligations

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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.

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