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Catholic Health urges pricing review for private health care

Catholic Health Australia has called on the Federal Government to put in place a pricing review of private health insurance.

"There needs to be a separate health index which reflects the true cost of providing care," said CHA CEO Francis Sullivan. "Increasing private health insurance premiums in line with the Consumer Price Index will see private health seriously under funded, leading to greater out of pocket expenses for people at the point of service."

Mr Sullivan said that the Government had instigated a pricing review in the aged care sector only after the erosion of funding in the sector had made it the subject of intense pressure.

"Any new direction for funding private health insurance must acknowledge the high cost of capital intensive technology and the cost of complicated and complex care for people suffering from chronic, long-term conditions," he said. "To meet these increasing costs, health funds will have to either raise premiums or open the door to out of pocket fees."

He said it is therefore necessary for the Government would be wise to instigate a benchmark which reflects the real cost of care and avoid any increase in out of pocket expenses.

Catholic Health Australia
Catholic Health says real care costs demand special health CPI (12/9/02)

Catholic Health Australia

16 Sep 2002