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Health News

Private Health Insurance Costs Under Scrutiny as Premiums and Profits Soar

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Private Health Insurance Costs Under Scrutiny as Premiums and Profits Soar
Private Health Insurance Costs Under Scrutiny as Premiums and Profits Soar
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Private Health Insurance Costs Under Scrutiny as Premiums and Profits Soar

Recent data analysis has spotlighted a concerning trend in the private health insurance sector, prompting a significant outcry for a comprehensive review. A surge in premiums has been linked not just to rising healthcare costs but also to an increase in insurer profits and management expenses, igniting a fierce debate between health professionals and insurance providers. Rising health insurance premiums

A study by the Australian Medical Association (AMA) reveals that while net insurance profits soared by over 50% from June 2019 to June 2023, patient rebates only saw a modest rise of 3.6%. This discrepancy raises questions about the allocation of premium dollars, suggesting that a substantial portion is diverted towards enhancing profit margins and covering operational costs, rather than directly benefiting policyholders through medical treatments or hospital care.

The findings have fuelled a dispute highlighted in a recent ABC Four Corners report, which accused some providers of overcharging for medical procedures, a claim refuted by the insurers but supported by insider revelations. The AMA has criticized the private health sector for not meeting the expected standards of financial management and transparency, suggesting that premiums are increasingly used to cover costs unrelated to patient care. Rising health insurance premiums

In defence, industry representatives like Dr. Rachel David, CEO of Private Health Australia, argue that management expenses are rigorously monitored and justified, attributing rising costs to broader economic inflation affecting all sectors. However, this assertion does little to pacify concerns about the disproportionate growth in profits and administrative expenses compared to the relatively stagnant increase in patient benefits.

The debate extends to the efficiency of fund utilization, with the AMA advocating for insurers to return at least 90 cents per dollar of premiums to policyholders, a standard that currently stands at about 86 cents, significantly higher than general insurance returns but below the proposed benchmark.

Amidst these escalating tensions and conflicting reports, National Seniors Australia has called on the Federal Government to assign the Productivity Commission the task of conducting an in-depth inquiry. This investigation would scrutinize the continual rise in private health insurance premiums and out-of-pocket expenses, assess the value and scope of coverage, and propose necessary reforms to curtail costs and enhance service value, particularly for older Australians.

The proposed comprehensive review aims to halt the relentless cycle of premium hikes and restricted coverage that plagues policyholders, ensuring a fair, transparent, and efficient system that prioritizes patient care over profit. As stakeholders brace for a potential overhaul, the spotlight remains firmly on the need for a balanced and equitable approach to healthcare funding.

Supporters and concerned policyholders are encouraged to join the advocacy efforts by participating in National Seniors or contributing to the Health Costs campaign, as stakeholders push for a resolution that could redefine the landscape of private health insurance in Australia.

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New volunteer opportunities at Grafton Base Hospital

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New volunteer opportunities at Grafton Base Hospital
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New volunteer opportunities at Grafton Base Hospital

Grafton Base Hospital has new opportunities for community members to join the volunteering program, where they can provide comfort and social support to patients during their hospital stay.

Following the success of the initial rollout of the new Healthcare Helper Volunteer Program across health facilities in Clarence Valley, Grafton Base Hospital has now opened up new roles in additional departments.

Clarence Health Service General Manager, Dan Madden said staff really welcome and value volunteers’ contribution to the hospital.

“We have been very pleased with the first cohort of volunteers and are encouraging more people from all walks of life to join us as Healthcare Helpers,” Mr Madden said.

“We are keen for the new volunteers at Grafton Base Hospital to reflect the diversity found within our broader community to ensure all patients feel comfortable and supported.

“We have several new patient companion roles now available in our oncology, renal, surgical, and medical wards.”

Volunteer at Maclean District Hospital, Ellie Walsh said she finds giving assistance to both patients and staff rewarding.

“Having the opportunity to help hard-working staff, while supporting patients during their stay and recuperation is a privilege,” Ms Walsh said.

“Seeing a patient smile in recognition, to laugh with them, to listen to their stories and help time pass more quickly, enriches my life.”

More information can be found online.

Volunteer enquiries about Grafton Base Hospital can be directed to the General Manager’s office via email: nnswlhd-volunteer@health.nsw.gov.au or Phone: 02 6643 0355.

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Surgery Wait Lists Improve Amid Sustained Emergency Activity in Northern NSW Hospitals

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Surgery Wait Times Improve Amid High Emergency Activity in Northern NSW
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Surgery Wait Lists Improve Amid Sustained Emergency Activity in Northern NSW Hospitals

 

The latest Bureau of Health Information (BHI) Healthcare Quarterly report highlights significant improvements in surgery wait lists across the Northern NSW Local Health District (NNSWLHD) for the April to June 2024 quarter, even as emergency department activity remained high.

According to NNSWLHD Chief Executive Tracey Maisey, local hospitals have seen increased demand across multiple markers, including ambulance arrivals and emergency presentations, while planned surgery performance has continued to improve.

Key highlights from the report include:

  • 81% of the 3,809 planned surgeries performed during the quarter were completed on time, an increase of 4.6 percentage points compared to the same period in 2023.
  • The number of patients waiting longer than clinically recommended for surgery dropped by 81.7%, with 145 patients still on the list, the lowest since December 2019.

Ms. Maisey encourages patients concerned about their condition to contact their doctor, who can review and adjust their surgery priority if necessary.

Emergency Department Activity

The report also shows a steady rise in emergency department activity:

  • There were 56,496 emergency attendances in the quarter, up 3.4% from the previous year.
  • Ambulance arrivals increased by 6.4%, totalling 9,576 arrivals.
  • 70.1% of patients started their treatment on time, surpassing the NSW average of 63.7%.
  • 75% of patients were transferred from paramedics to ED staff within 30 minutes, slightly above the NSW average of 73.7%.
  • 70.4% of patients left the ED within four hours, significantly better than the NSW average of 54.7%.

Local Hospital Performance

Here’s a summary of individual hospital results for the quarter:

  • Ballina District Hospital: ED attendances increased by 8.3% with 63.2% of patients starting treatment on time, and 71.4% leaving within four hours.
  • Byron Central Hospital: ED attendances were up 3.1%, with 85.1% of patients starting treatment on time. 82.7% left the ED within four hours.
  • Casino & District Memorial Hospital: ED attendance reached 3,532, with 66.3% starting treatment on time and 83.1% leaving within four hours.
  • Grafton Base Hospital: ED attendances were 7,197, with 56.6% starting treatment on time and 67.8% leaving within four hours.
  • Lismore Base Hospital: ED attendances totalled 10,103, with 52% starting treatment on time and 46.4% leaving the ED within four hours.
  • Maclean District Hospital: ED attendances increased by 9.1% with 81.2% starting treatment on time and 85.3% leaving within four hours.
  • Murwillumbah District Hospital: ED attendance was 5,042, with 85% starting treatment on time and 86.6% leaving within four hours.
  • Tweed Hospital/Tweed Valley Hospital: ED attendances increased by 11.4%, with 74.7% of patients starting treatment on time and 68.1% leaving the ED within four hours.

Community Reminder

NNSWLHD reminds the public to reserve emergency services for life-threatening situations and consider alternative care options, such as medical centres or HealthDirect (1800 022 222) for minor health concerns.

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Urgent Action Needed: Community is Both the Challenge and Solution for People with Dementia

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Dementia Action Week
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Urgent Action Needed: Community is Both the Challenge and Solution for People with Dementia

 

Dementia Australia has issued a call for urgent action as new research released during Dementia Action Week reveals that the ongoing lack of understanding of dementia among Australians continues to fuel stigma and discrimination. The report, titled “‘People in the Community’ are the Challenge and the Solution: Towards a Dementia-Friendly Future,” highlights that while community support can be transformative, it is also the primary source of challenges faced by those living with dementia.

Key findings from the 2024 research show:

  • 71% of people with a loved one living with dementia reported their loved one was patronised by others.
  • 76% felt their family member or friend with dementia was treated as though they were not intelligent.
  • Two in three identified people in the community as the most frequent source of discrimination.
  • One in three reported that people avoided or excluded their loved one with dementia.

Additionally, other surveys by Dementia Australia show persistent misconceptions, with one in three Australians still believing that dementia is a normal part of aging—a belief that has grown slightly over the past decade. Alarmingly, 68% of respondents in both 2012 and 2024 indicated they know very little about dementia.

Bobby Redman, Chair of the Dementia Australia Advisory Committee and an individual living with dementia, expressed her frustration over the lack of progress in understanding and awareness. “It’s almost unbelievable that we still have to talk about this. Why do people treat us differently? What have we done to deserve this? All we are asking for is to be understood, respected, and supported—basic human rights,” Ms. Redman said.

She emphasised the need for communities to recognise dementia as a disability, despite its invisibility, and to provide the necessary support to reduce social isolation. “If councils, businesses, and organizations acknowledged this, we could feel less isolated and more included,” she added.

While some communities are making efforts to combat discrimination and foster inclusion, Ms. Redman stressed that much more must be done to create dementia-friendly environments across the country.

Professor Tanya Buchanan, CEO of Dementia Australia, noted that the research confirms “people in the community” are the primary source of discrimination toward those living with dementia. “The stigma surrounding a dementia diagnosis can discourage people from seeking healthcare, including early diagnosis, and it often leads to reduced social engagement, which in turn negatively affects the physical, cognitive, and emotional well-being of the individual.”

Professor Buchanan called for collective action, urging local, state, territory, and federal governments, as well as community groups, to raise awareness and understanding of dementia and take steps to make communities more inclusive.

The report serves as a stark reminder that greater education, understanding, and community-driven initiatives are essential to reducing the stigma and discrimination faced by those living with dementia.

“It is incredibly disappointing that Australians’ understanding of dementia has not shifted in a decade and profoundly concerning that more people now think dementia is a normal part of ageing than they did a decade ago. Dementia is not a normal part of ageing.

“We know that we can do better as there are great examples of dementia-friendly communities from around the country.

“And that’s why this Dementia Action Week (16-22 September) Dementia Australia is calling for urgent and sustained action by communities and governments at all levels to increase their awareness and understanding of dementia – and to become the solution.”

Head here to find out how you can join us to create a future where all people impacted by dementia are supported and welcomed in their communities, no matter where they live.

 

For more seniors news, click here.

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