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Focussed on enhancing access to medications, improving Medicare, and supporting vulnerable members of the community, the FY24 budget places Australia’s healthcare system front and centre. In this article, we explore the implications of these changes for both individuals and businesses.
The key healthcare investments in the FY24 budget include:
These strategic investments aim to drive tangible initiatives that build a healthcare system poised for the future. With a focus on enhancing multi-disciplinary care, introducing new scope of practice initiatives, and bolstering nursing capacity, these investments are designed to deliver lasting results.
The budget contains several measures designed to improve access to healthcare, including:
These initiatives require effort and cooperation from various funding and service providers, with the goal of delivering value for patients, communities, and healthcare workers.
From 1 September, the 60-day dispensing policy will come into effect, allowing the purchase of two months’ worth of medicine for the price of a single prescription. While this is a cost-saving win for consumers, expected to save individuals up to $180 a year, there is concern in the pharmacy industry. Read more about how new dispensing rules could trigger insurance changes in our recent update. Following the budget announcement, we are hopeful that the details of this change can be finalised so that no patients and no pharmacists are worse off.
$234 million has been allocated to stamp out non-prescription vaping in a bid to prevent a new generation of nicotine addicts, including smokers. The crackdown measures will include:
Traditional smokers will have to pay as much as $10 more for a pack of cigarettes due to a 15% tobacco tax hike – with five per cent added every year for the next three years from September 1. By 2026, a packet of cigarettes will cost around $49 – up $10 from the current price. This will increase Government revenue by an extra $3.3 billion over the next four years.
The Government’s commitment to addressing workforce shortages in the aged care sector is evident through the allocation of funding to aged care wage increases. However, immediate challenges remain that need to be addressed to ensure the sector can effectively meet the needs of Australia’s aging population.
As the healthcare landscape in Australia evolves and cost of living pressures continue, it is crucial for businesses and individuals to understand the role insurance plays in protecting their health and financial wellbeing. Health insurance can help to cover the costs of medical treatment and prescription medications, ensuring that individuals have access to the care they need without experiencing financial hardship.
Considering the changes announced in the budget, businesses should consider reviewing their employee health insurance offerings to ensure they are providing comprehensive coverage that meets the needs of their workforce. This may involve updating policies to reflect changes in bulk billing incentives or offering additional coverage for prescription medications.
Similarly, individuals should review their personal health insurance policies to ensure they are taking full advantage of the changes. By understanding the benefits and limitations of their coverage, individuals can make informed decisions about their health care and minimise out-of-pocket expenses.
If the outlined changes raise any concerns, we encourage you to discuss this with your insurance broker to ensure your program is fit for purpose.
