Australians spend $30 billion a year on out-of-pocket health costs

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Australians are spending more than ever on self-funded healthcare amid rising out-of-pocket costs for medicines, hospital stays and specialist fees, new data shows.

The latest health spending data from the Australian Institute of Health and Welfare, to be released on Wednesday, shows patients spent $3.9 billion on out-of-pocket hospital expenses in 2017-18, up $560 million or 17 per cent over the financial year, and quadruple the amount spent a decade earlier.Credit:Specialist out-of-pocket costs increased by almost $200 million in 12 months, and GP out-of-pockets by $38 million, both significantly faster than inflation.

Grattan Institute health economist Stephen Duckett said the growth in out-of-pocket costs was "a serious concern, especially at a time when household budgets are under pressure because of flat wage growth". When former Labor leader Bill Shorten took his $2.3 billion cancer package to the federal election in May, Prime Minister Scott Morrison rejected the policy on the grounds that cancer treatment was "already free" in public hospitals.

Dr Duckett said the government must do more to address overcharging by specialists, saying Health Ministerwas "never going to work" as the measure was voluntary. The Health Minister has vowed to tackle rising insurance premiums by reducing hospital costs and medical device expenses, which are among the biggest expenses for insurers.

Source: Healthcare Press (healthcarepress.net)

 

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