Medicare (AOS_2)

Question 1

medicare definition

Answer 1

Australia’s universal health insurance scheme that gives all Australians, permanent residents and people from countries with a reciprocal agreement (e.g. UK and New Zealand) access to healthcare that is subsidised by the federal govt.

Question 2

not/covered by medicare

Answer 2

covered by medicare:
- doctor and specialist consultations
- x-rays
- eye and pathology tests
not covered by medicare:
- ambulance services
- alternative medicines (acupuncture etc.)
- most dental examinations and treatments

Question 3

medicare funding

Answer 3

• Medicare Levy: Aussie taxpayers are charged 2% of their taxable income if they earn above a certain threshold
• Medicare Levy Surcharge: extra 1-1.5% of taxable income for high income earners without private health insurance. To encourage individuals to take out private health insurance to reduce the demand on the public health care system
• General Taxation: revenue collected from Medicare Levy/Surcharge not enough to cover full operating cost

Question 4

advantages of medicare

Answer 4

• choice of doctors for out-of-hospital services
• Medicare Safety Net provides further financial support for medical services once the individual or family’s co-payments exceed a certain level

Question 5

disadvantages of medicare

Answer 5

• no choice of doctor for in-hospital treatments
• waiting lists for many treatments
• often does not cover the full amount of a doctor’s visit (only pays the schedule fee out-of-hospital = 85% of fee, in-hospital = 75% of fee, patient must pay GAP)

Question 6

medicare sustainability

Answer 6

• only covers services that are considered medically necessary, thereby allowing this service to be in place for future generations
• does not cover the full schedule fee (only 75/85%)

Question 7

medicare access

Answer 7

• people can choose their own doctors
• heavily subsidised, making it financially accessible
• people have access to services in public hospitals for medically necessary operations

Question 8

equity access

Answer 8

• Medicare Safety Net gives people financially assistance if they require regular medical attention
• available to everybody meaning it dos not discriminate between anybody requiring help