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On 7 March, the Australian Medical Association () launched the of its federal budget submission, calling for an independent Private Health System Authority 鈥� to provide fit-for-purpose oversight of urgent reforms and ensure the system is meeting expectations of the community.

The AMA鈥檚 budget submission also calls for a mandated minimum payout by insurers of 90% as a proportion of their premiums 鈥� to encourage greater uptake of private health insurance.

鈥淲e鈥檝e seen many devastating closures of private hospital services, and we are glad to see Health Minister Mark Butler this week call for a better funding deal for private hospitals to address these challenges, which we support,鈥� AMA President Dr Danielle McMullen said.

Of the proposed Private Health System Authority, the AMA described it as 鈥渁n independent body dedicated to overseeing the sustainability and innovation of the sector while giving consumers the confidence in private health insurance products鈥�.

鈥淎ustralia鈥檚 health system is one of the world鈥檚 best, in large part due to the critical balance between public and private health care, and we believe an independent authority is key to protecting that balance,鈥� McMullen said.

The AMA said that while it welcomed the Australian Government鈥檚 recent efforts at reform 鈥� through the 鈥� an authority would also address regulatory gaps in the current system, working as an 鈥渋ndependent umpire鈥� to ensure insurance products and services prioritise consumers over shareholders.

鈥淥ur health system relies on the private system, where the overwhelming majority of our elective surgery is done,鈥� McMullen said. 鈥淥ur public hospitals don鈥檛 have the spare capacity to cope with a deluge of urgent patients if the private system falters.

鈥淎ustralians deserve to know they are getting value from their insurance, as well as services when and where they need them. They deserve to know they will be able to access care in their community, see their preferred doctor and not simply be funnelled into a service preferred by their insurer.鈥�

You can read the AMA鈥檚 private health chapter of its federal budget submission , via the AMA聽website.

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