The Committee is led by Federal Health Minister Sussan Ley and was formed last year to improve private health insurance practices, with an emphasis on developing private health care products specifically for people in rural and remote areas.

According to the Australian Bureau of Statistics (ABS) just over half of all Australian citizens living in regional areas do not have private health insurance. 

A workshop in November by the Advisory Committee showed critical issues in the way regional people value private health insurance, with many feeling the expense was not worth the service they received.

Issues surrounding a lack of access to local medical services, a lack of choice in insurance providers and the added cost of travel and accommodation when receiving treatment in a major city, were cited as reasons medical insurance was not being taken up by regional Australians. 

RDAA President, Dr Ewen McPhee, said the Association strongly supported the need for a better deal for rural patients who hold private health insurance, as well as practical measures that make private health insurance more appealing and useable for rural patients. 

“Rural generalist doctors are highly skilled and look after an extremely wide range of conditions within their scope of practice,” Dr McPhee said.

“But of course there will always be a need for specialist services that support rural generalists, such as advanced cancer care, infertility treatment and specialised surgery. Making these services more accessible and affordable through more responsive Private Health Insurance products for rural patients would be strongly welcomed,” he said.

“Research continues to demonstrate that rural hospitals have very safe outcomes for patients and provide very cost-effective care. 

“Improving access to private healthcare in rural and regional settings, through private health insurance reforms, has real potential to build even further on this already excellent record of quality healthcare.”

Minister Ley said the Committee, led by Dr Jeffrey Harmer AO will ensure industry, consumer and provider viewpoints are heard. 

“Private health insurance is a fundamental part of our national health system, but the majority of the 40,000 consumers who responded to last year’s survey told us the current system is frustrating and didn’t offer good value for money,” Ms Ley said.