Cutting Health Costs: Lowering Out-of-Pocket Expenses by Changing Processes
2014
Australia has had a system of state funded universal health insurance since 1984. Known as Medicare, it aims to provide 'fair and affordable' access to medical services for all Australians irrespective of their financial situation (Biggs 2004). Complementing this system is the Pharmaceutical Benefits Scheme (PBS), which subsidises prescription medications. The PBS was enacted in 1953, with some benefits having been available since 1948. This article considers the effects on equity of charging out-of-pocket expenses and, accordingly, reducing the 'fair and affordable' delivery of health care. In turn, it estimates the personal financial cost of these charges for Australians.
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