EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Health and Ageing
Private Health Insurance Act 2007
Private Health Insurance (Complying Product) Amendment Rules 2008 (No.2)
Section 333-20 of the Private Health Insurance Act 2007 (the Act) provides that the Minister may make Private Health Insurance (Complying Product) Rules providing for matters required or permitted by Chapter 3 of the Act, or necessary or convenient in order to carry out or give effect to the Act.
The Private Health Insurance (Complying Product) Amendment Rules 2008 (No. 2) (the Amending Rules) amend the Private Health Insurance (Complying Product) Rules 2008 (No.2) (the Rules) which commenced on 1 July 2008.
The purpose of Clause 8A is to enforce the patient contribution for privately insured nursing-home type patients (NHTP) by restricting the amount of benefit that private health insurers pay for each day of NHTP hospital treatment at a hospital. The amount of benefit is restricted to the hospital’s charge less the patient contribution amount.
The Amending Rules make minor changes to paragraph 8A(3)(c) of the Rules by amending the amounts for the NHTP patient contribution at public hospitals in New South Wales from $39.05 to $40.15, the Northern Territory from $39.70 to $40.80, Queensland from $39.70 to $40.80, South Australia from $39.70 to $40.80, Tasmania from $39.70 to $40.80 and Victoria from $39.70 to $40.80.
The Amending Rules also amend the NHTP contribution at private hospitals provided in paragraph 8A(3)(d) of the Rules (as amended) from $39.70 to $40.80.
Consultation
The NSW Department of Health (NSW), Department of Health and Community Services (NT), Queensland Health (QLD), Department of Health (SA), Department of Health and Human Services (TAS) and the Department of Human Services (VIC) were consulted with regard to increasing the NHTP patient contribution for their jurisdictions. No objections were made.
No specific consultation was undertaken in relation to the amendment to paragraph 8A(3)(d) of the Rules (as amended) regarding private hospitals because the changes were machinery in nature and did not substantially alter existing arrangements.
PRIVATE HEALTH INSURANCE BRANCH
DEPARTMENT OF HEALTH AND AGEING
SEPTEMBER 2008