'Unconscionable': Outrage over 'unfair' plan to cut private health rebates
Older Tasmanians are concerned they would "probably not survive" if they were forced to use the public health system due to increased private health insurance costs. Subscribe now for unlimited access. or. . .
Older Tasmanians are concerned they would "probably not survive" if they were forced to use the public health system due to increased private health insurance costs. Subscribe now for unlimited access. or signup to continue readingSave 30%All articles from our website& appThe digital version ofToday'sPaperAll otherin your areaDarren Harris St Lukes Chief Operations joins a community roundtable in Launceston with member Cynthia Wagner and Senator Anne Ruston at the St Lukes boardroom. Picture by Paul ScamblerShe said many AIR members were upset by the proposal and would have to look at cutting back their insurance, or in the case of pensioners, drop it entirely. Health Minister Mark Butler said the proposed changes meant all Australians would receive the same private health support, based on their income, not age. "Under the proposed changes, over 65s will still receive significant government-subsidised discounts of up to 24 per cent on the premiums private health insurers charge them, the same as the rest of the population," he said. St Lukes chief executive Paul Lupo said the demographic impacted typically used their private health insurance for managing heart conditions, and elective surgeries like joint replacements, and cataract procedures. In the year leading to June 2026, the Launceston General Hospital (LGH) had a 136-day wait for cataract extraction, 181-day wait for total hip replacements, and 259-day wait for total knee replacements. Ms Wagner said she was "astounded" by the LGH wait times. "It's just unbelievable, I mean [you'd] probably not survive if you're in the public system for the wait times," she said. "It is an unfair policy. "She said it was particularly unfair because the rationale was to shift the money saved into aged care. "Everyone will not end up in any portion or even residential aged care," Ms Wagner said. Senator Anne Ruston joins a community roundtable in Launceston with Paul Lupo St Lukes CEO, at the St Lukes boardroom. Picture by Paul ScamblerMr Lupo said it was important that people could access health services through private providers, so as not to increase the burden on the public health system trying to pick up the slack. "Tasmania is particularly exposed to losing access to these services," he said. "It just shifts the cost and at the end of the day the taxpayers will pay more through this decision. "Shadow Health and Aged Care Minister Senator Anne Ruston said for every $1 saved from changing the private health rebate, $1. 20 will be the cost to the public system. Mr Butler said the government expected only 0. 4 per cent of people would decide to leave private health insurance because of the change, which would be a "minimal impact on the market". She said the federal government was making the change so their budget bottom line looked better, while forcing the costs onto the states and territories. "State and territory ministers know the pressure the system's under, but clearly your federal government doesn't seem to care about that. "Senator Anne Ruston joins a community roundtable in Launceston with Jess Willard (St Lukes), Donald McGinty and Tony Powell (members), Paul Lupo St Lukes CEO, Pat Kleinhans (member), Darren Harris St Lukes Cheif Operations, Judith Carins (member), and Cynthia Wagner (member) at the St Lukes boardroom. Picture by Paul ScamblerMs Ruston encouraged people impacted to send a submission to the Senate inquiry for thePrivate Health Insurance Amendment (Modernising the Private Health Insurance Rebate) Bill 2026. Applications close August 21. More from HealthAs it happensBreaking news alertBe the first to know when news breaks.