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Medicare freeze continues to thaw – but not fast enough, RACGP says
The indexation of consultation items is not high enough to cover the true costs or value of general practice care.
While the RACGP welcomes the end of the Medicare freeze, it believes the indexation is still not high enough to reflect the value of general practice.
The Federal Government announced a gradual lifting of the five-year Medicare freeze as part of its 2017–18 budget, and from 1 July Medicare Benefits Schedule (MBS) group A1 – GP attendances or consultation items, which include the most commonly claimed items – will be indexed.
Listed below is the dollar value (before and after indexation) of the three most commonly used consultation items:
- Item 23: $37.60 (previously $37.05)
- Item 36: $72.80 (previously $71.70)
- Item 44: $107.15 (previously $105.55)
The figures show the percentage value of the indexation sits at about 1.5%, lower than the approximately 2% average of the
Consumer Price Index (CPI) over the past two years.
This lower rate has a significant financial impact: for example, if Item 23 had been indexed each year against an average CPI of around 2%, it would now be worth $40.10.
While the RACGP is pleased to see the Medicare freeze slowly lifted, it maintains that the indexation rates continue to not reflect the genuine value of general practice.
‘Medicare Benefits Schedule rebates need to recognise the real value of general practice, and the RACGP has
called for an 18.5% increase of the Medicare rebate for GP attendances to bring us into line with other medical specialist attendance items,’ RACGP President Dr Bastian Seidel said in a message to RACGP members earlier this year.
Dr Seidel has also
emphasised that investing in general practice services saves costs across the whole community.
‘If you see your GP early you’ll save the whole community money by staying out of hospital, and receive GP health services that can cost up to 10 times less,’ he said.
‘If we are serious about focusing on a preventive general practice healthcare, we need to end the inequality of general practice Medicare rebates compared to other clinical specialties.’
consultation-items MBS Medicare-Benefits-Schedule Medicare-indexation Medicare-rebates
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