The Australian Government has passed legislation to help Australians find the best value when they need specialist medical advice and treatment, fixing the failed Medical Costs Finder.
The Morrison Government spent $24 million setting up the Medical Costs Finder website, which it claimed would use Medicare data to display the cost of common medical services, alongside the fees that individual specialists voluntarily shared to the website.
By the end of 2022, only 6 individual doctors had chosen to voluntarily display their fee information – and now 4 years later that has only risen to 106 doctors, out of around 6,300 eligible specialists.
To improve transparency and take the guess work out of health care, the Health Legislation Amendment (Improving Choice and Transparency for Private Health Consumers) Bill 2026 will allow the government to publish the fees of individual specialists for common medical services and out-of-pocket costs.
In addition, this legislation also outlaws the practice known as ‘product phoenixing’, where private health insurers close a product and re-open a similar one at a higher price, or reduce its value.
This legislation requires insurers to seek Ministerial approval for premiums for new products and if making certain changes that reduce the cover or value of existing products.
Quotes attributable to Minister Butler:
“This legislation amendment delivers on our election commitment to Australians.
“It addresses long-standing information gaps that contribute to cost uncertainty, and it gives Australians better transparency and choice with their health care.
“We know an increasing number of Australians have not been taking up referrals from their GP to see a specialist due to concern about cost, but this legislation will deliver clarity about costs and more choice in their health care.
“The legislation also provides wider scrutiny of premiums to ensure Australians get fair premiums and better value.”
