Health Legislation Amendment (Improving Choice and Transparency for Private Health Consumers) Bill 2026

Senator McALLISTER (New South Wales—Minister for the National Disability Insurance Scheme) (13:21): I thank senators who have contributed to the debate on the Health Legislation Amendment (Improving Choice and Transparency for Private Health Consumers) Bill 2026. It has, as is so often the case in the Senate, been a wide-ranging debate, and many senators have chosen to put on record their thoughts about Australia's health system.

I want to make just a couple of points to that end. The first is this. This government is making a record investment in Medicare, an $8½ billion investment, and that investment has been necessary because of the disgraceful way that public health was ignored and diminished under the previous Liberal government.

When we came to government, in the words of our national medical organisations, bulk-billing was in freefall. As a consequence of the changes we are making, we are seeing bulk-billing rates rise again. That is incredibly important because public health matters.

When you wish to see a doctor, the only card you should need is a Medicare card. Our government is unapologetic about that. That is why we are making the investments that we are.

It's also why we are investing in urgent care clinics, clinics that mean that, if you have a cut, a sprain or another injury that falls short of what would require an emergency department, you can see a doctor for free. It's important for the families and individuals that are accessing those services. It's also important for hospitals because it is taking pressure off the emergency rooms in hospitals.

Again, the government understands that the cost of medicine is an area where we can intervene and make a difference, so medicines this year on the PBS are $25 per script. The cost of medicine has not been that low since 2004. So I say to senators that this government, unlike the last one, does in fact understand the importance of health care in the lives of Australians.

We as a government consequently understand our obligation to invest in health care for all Australians. This bill is part of improving the structure of healthcare delivery in this country. Schedule 1 makes important changes to support greater transparency in healthcare pricing.

It helps Australians make more informed decisions about their private healthcare choices, and it does that by providing consumers with more detailed information on the expected medical fees to be charged and likely out-of-pocket costs for their private healthcare experience. Right now, consumers have a lot more information about routine goods and services that they purchase than they do about their healthcare choices, but those healthcare choices have a profound impact on their quality of life.

Without passage of this schedule, we will continue to see many Australians not knowing what their private healthcare journey will cost and being unable to easily compare the cost of alternative providers and therefore unable to make an informed choice about their health care. Schedule 2 strengthens ministerial oversight of private health insurance premiums and ensures that consumer interests are better protected.

To allow insurers to close an existing product and open an identical or similar new product at a higher premium without ministerial scrutiny presents an unacceptable risk to private health insurance customers that needs to be stopped. This will be achieved by requiring ministerial approval not just for proposed premium changes but also when an insurer proposes to open a new product or reduces the coverage, benefits or terms and conditions of a product.

Changes are also being made to formalise and enhance the process for approval of premiums. The arrangements are substantially aligned with how the annual premium round has been managed in recent years. I very much appreciate work of the Senate Community Affairs Legislation Committee in scrutinising this bill and the report that they produced, and I thank those senators who participated in those processes and acknowledge the then chair, Senator Dorinda Cox.

I also appreciate the stakeholders who have engaged in good faith with the government on this bill, and I can indicate that, when we do come to the committee stage, there is a government amendment that I intend to move. We continue to more broadly consider reform options to improve the value of private health insurance and support consumers to make informed decisions about their health care, but these reforms before us today are an important step in helping consumers make informed choices about health care and improving confidence in private health insurance.

Question agreed to. Bill read a second time.