The Australian Society of Ophthalmologists (ASO) has launched a petition for the Federal Government to establish a private health commission.
The move follows months of ongoing and unresolved disputes between health insurers and the private hospital sector, including the closure of more than 70 private hospitals.
Last month Healthscope — Australia’s second-largest private hospital provider — announced it would terminate its hospital contracts with Bupa and the Australian Health Services Alliance.
Facing rising costs, Healthscope had earlier announced it planned to charge members of several health funds a “hospital facility fee” of $50 for same-day services and $100 for overnight services.
It then decided to terminate the contracts.
That has been criticised by a number of bodies, including the Australian Medical Association and Private Healthcare Australia, whose CEO, Dr Rachel David, called it an “unethical new low”.
The ASO e-petition was launched through the Parliament of Australia website — EN6877 — and runs until 25 December 2024.
It states a commission is required to regulate the private health insurance and private hospital landscape to ensure the survival of Australia’s world-class egalitarian health system.
ASO CEO Mr Kerry Gallagher said the Healthscope stoush was the latest in a long line of examples that reinforced the need for intervention by a greater authority to save the private health sector.
“Minister [Mark] Butler has clearly decided to ignore his responsibilities and is distancing himself, declaring private hospitals should resolve their own disputes with private health insurers,” Gallagher said.
“There are ongoing issues in the private health sector that are not being resolved and are forcing the closure of services and redirecting unexpected costs on to patients, and it is everyday Australians who are losing out and questioning the value of private health insurance.
“In lieu of the intervention of government, and the elusive presence of the Commonwealth Ombudsman to provide oversight and resolve issues, it is clear the only way forward is the establishment of a private health commission,” he said.
“There are many examples of the effectiveness of current commonwealth independent commissions, including their long-standing presence.
“The security of our balanced health system deserves a similar but separate independent commission, and one that has the ability to cut through the messaging and market power of health insurers.”
ASO president Dr Peter Sumich said a strong private health system was essential for the sustainability of Australia’s overall healthcare landscape.
“Private hospitals not only provide critical services and reduce pressure on the public system, but they also offer competition to public health services and patients more choices and access to high levels of specialised care,” he said.
“Without appropriate funding, private hospitals may face significant challenges that threaten the safety and quality of care they provide.
“This situation could also lead to a threat to private healthcare generally, and then, to the collapse of the function and effectiveness of private health insurance.
“To ensure that private hospitals can continue to meet the needs of Australians, it is crucial to address the current and ongoing funding gaps which are forcing private hospital doors to close forever.
“This can be achieved not only through public-private partnerships, government incentives and policies that support both private health insurance, and direct funding for private healthcare providers, but also through the fail-safe of an independent private health commission.”
According to the Parliament of Australia website, petitions which receive 50 or more signatures may be referred to a minister for response.
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