MEDIA RELEASE

 

 

 

29 August 2003

030829

 

Covering Costs: the Key to Increasing Rural Bulk Billing

 

The Rural Doctors Association of Australia’s

Submission to the Senate Select Committee on Medicare

 

President of the Rural Doctors Association of Australia, Dr Ken Mackey, has presented to the Senate Select Committee on Medicare evidence that the decline in bulk billing rates in rural and remote areas is not due entirely to the problem of access to doctors, but the greater cost of performing medical services in the country.

 

“Obviously the number of Doctors practicing in rural and remote areas is far below what is required to service the growing non-urban bush and coastal populations – however, the single determining factor of bulk-billing rates is the inadequacy of the rebate to cover the cost of a rural consultation. It simply costs more to see a patient if you and they live outside of a metropolitan area,” Dr Mackey said today.

 

“The rural medical workforce shortage needs to be addressed as a matter of urgency – but in discussing Medicare, as we did at the Inquiry, we are really focussing on the issue of the “universality” of the bulk-billing system and Commonwealth data shows that the further one travels from urban centres, the lower the bulk billing rate is – falling from 80% in the city, to 57% in remote areas.

 

“The Government’s A Fairer Medicare package does not adequately address the problem of cost for country practices.

 

“It is neither lack of access nor lack of competition that decreases bulk billing in rural areas – both rural and urban fringe have very similar patient to doctor ratios, but very different bulk billing rates. Moreover, while the patient to doctor ratio is even lower in remote areas, there is very little difference in the bulk billing rates between the rural and remote areas.

 

“The solution to this problem begins with the recognition of the higher cost component in rural, requiring a higher patient rebate. Without this the patient will have to fund an ever increasing gap payment for rural practices to remain merely financially viable.

 

 

“It must be remembered that GP practices are a small business; doctors need to charge for their services and Medicare reimburses the patient for those services. To increase bulk-billing – the aim of this Medicare package and the Inquiry – then the Medicare rebate must be set at a level that enables medical practices to be financially sustainable,” Dr Mackey said

 

Dr Mackey was joined in representing RDAA before the Senate Committee by Dr Graham Slaney, RDAA Vice President and Drs. Denis Chew (RDA NT President), Graham Jacobs (RDA WA President), Damien Nevin (RDAQ President) & Ross Maxwell (RDAQ Treasurer).

 

Media contact: Dr Ken Mackey, RDAA President, on 02 6920 5249  or 0429 205 249

                        Dr Graham Slaney, RDAA Vice President, on 03 5775 2166  or 0418 540 223

                        Dr Graham Jacobs, RDAWA President, on 08 9071 1511  or  0427 713 336

                        Dr Denis Chew, RDA NT President, on 08 8987 3044  or  0408 076 013

                        Dr Damien Nevin, RDAQ President, on 07 4662 7188   or 0427 689 125