leekylou

Hello all,

The other half and I are moving to Brisbane next month on a 457 for which my husband has been sponsored by his company. I just have a few questions regarding healthcare & how it works in Oz....

Firstly, we are from the UK so are eligible for the reciplicle healthcare agreement - But we've also been told we will be given private healthcare as part of the OH's package with the company.

When we get to Oz what do we need to do - Do we need to contact a doctor in our local area and register with them, or simply wait until one of us needs the doctor & register then? I am guessing the private healthcare works similar to the UK so will only be of any use if we need hospital treatment, and fingers crossed we won't whilst on the 457....

Lastly, how does the medicare surcharge work and will this be something we have to pay in view of the fact we will have private healthcare arrangements?

Thanks to all in advance

jayr

On arrival goe to a Medicare office with your pasports and register. They will issue you with a temporary (paper) Reciprocal Medicare card there and then.

Note, your employer, despite offering private (as they are effectively obliged to do when you are on a 457) MAY charge that cost to your salary. In fact you will HAVE TO pay the Fringe Benefit Tax on the value of the benefit received (I cant recall wht the FBT rate is for medical insurance though maximum FBT rates are 46.5%)

Medical insurance on 457 is expensive, even though you have the reciprocal agreement. All taxpayers still pay the Medicare levy (1.5% of gross salary) but higher earners (I think it is either $100k or $125k family income) also pay the Medicare Levy Surcharge, a FURTHER 1% of GROSS income.

Private medical avoids the Medicare Levy Surcharge, though I cannot be sure whether that is the case or not when on a 457.

You may use any GP anywhere but worth getting your details on record with a local GP. If using Medicare, you will USUALLY pay up front (around $50 for a GP visit) then go and queue up later in a Medicare office for a partial refund.

I don't have private insurance but that also has "GAP" fees so even though your insurance covers your private health care you may pay additional costs between a "scheduled" rate that you insurer allows and the ACTUAL cost that the healthcare provider charges.

ABCDiamond

A little info on Bulk Billing, that you will no doubt come to hear about:

Bulk Billing
A quick definition of Bulk Billing is where the Doctor charges the Government for your medical care, and you pay nothing.

You will find some locations where most doctors will Bulk Bill, and other areas where few doctors will bulk bill.

In the cheaper areas of Western Sydney, almost all doctors bulk billed, but in the more expensive areas of Sydney, very few doctors would consider it.

Due to recent legislation, we are now finding that more doctors are bulk billing for Children and Pensioners, due to financial incentives from the government for the Doctors to do this,

In essence when someone visits a Doctor, Medicare will pay 85% of the Medicare Schedule fee for services provided by the treating practitioner. Let's say that the "scheduled fee" is $38.00

If a Doctor fully bulk bills, they will not charge you, but they will get paid 85% of that $38 scheduled fee direct from the Medicare.

Some Doctors wish to charge, say $50.00 or more, so one of two things happens:

1: The doctor will charge you say $50, and YOU claim 85% of the scheduled $38 fee back from the local Medicare Office ($32.30). Net cost to you = $17.70

2: The doctor collects $17.70 from you, and gets you to sign the Medicare benefit over to them, and they claim the $32.30 direct from Medicare. Net cost is the same.

This difference is called "A Gap"
More very recent legislation is putting a limit on the maximum "Gap" that you have to pay each year. ie: Once you have paid a certain figure, Medicare will step in again, and repay more of the doctors bill to you. I don't have full details to hand.

Public Hospitals don't charge anything for Medicare patients, and sometimes even give you free medicine !!

fish.01

I know you said USUALLY rather than always but I have almost never had to pay upfront...doctors I have been to just charge the gap (my usual one charges $10) and claim the money back from the govt themselves. Be interested to see what is the norm?

ABCDiamond

In the Sept 2008 quarter, 73.2% of services were bulk billed.
A total of 53,731,331 in 3 months. That is 9.6 services per person, per year.

Average Patient Contribution per Service

• (patient billed services only) $32.31
• (patient billed and bulk billed services) $ 7.20