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 2009 (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 2009 (No. 2) (the Amendment Rules) amend the Private Health Insurance (Complying Product) Rules 2008 (No.2) (the Rules) which commenced on 1 July 2008.
The purpose of Rule 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 Amendment 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 NSW, Queensland, South Australia, Tasmania and Victoria.
The Amendment Rules also amend the NHTP contribution at private hospitals provided for in paragraph 8A(3)(d) of the Rules.
Consultation
The NSW Health (NSW) 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
MARCH 2009
ATTACHMENT
DETAILS OF THE PRIVATE HEALTH INSURANCE (COMPLYING PRODUCT) AMENDMENT RULES 2009 (No.2)
- Name of Rules
Rule 1 provides that the title of the Rules is the Private Health Insurance (Benefit Requirements) Amendment Rules 2009 (No. 2) (the Amendment Rules).
2. Commencement
Rule 2 provides that the Amendment Rules are to commence on 20 March 2009, or if registered on a later date, the day after registration.
3. Amendment of Private Health Insurance (Complying Product) Rules 2008 (No.2)
Rule 3 provides that the Schedule to the Amendment Rules amends the Private Health Insurance (Complying Product) Rules 2008 (No.2) which commenced on 1 July 2008, and were subsequently amended on 20 September 2008, 9 December 2008, 1 January 2009 and 13 February 2009.
Schedule – Amendments
Item 1 – Part 2, Paragraph 8A(3)(c)
Paragraph 8A(3)(c) of the Rules provides the patient contribution for privately insured NHTPs at a public hospital.
Item 1 of the Schedule of the Amendment Rules amends Part 2 subparagraph 8A(3)(c)(ii) to the Rules by increasing the NHTP patient contribution at public hospitals in New South Wales from $40.15 to $41.00. Item 1 further amends Part 2 subparagraph 8A(3)(c)(iv) to subparagraph 8A(3)(c)(vii) of the Rules by increasing the NHTP patient contribution at public hospitals in Queensland, South Australia, Tasmania and Victoria from $40.80 to $41.35. This increase reflects the indexation applied to Adult Pension Basic Rate and the maximum daily rate of rental assistance that will commence on 20 March 2009.
Item 2 – Part 2, Paragraph 8A(3)(d)
Paragraph 8A(3)(d) of the Rules provides the patient contribution for privately insured NHTPs at private hospitals.
Item 2 of the Schedule of the Amendment Rules amends Part 2 subparagraph 8A(3)(d) of the Rules by increasing the NHTP patient contribution at private hospitals from $40.80 to $41.35. This increase reflects the indexation applied to Adult Pension Basic Rate and the maximum daily rate of rental assistance that will commence on 20 March 2009.
PRIVATE HEALTH INSURANCE BRANCH
DEPARTMENT OF HEALTH AND AGEING
MARCH 2009