Allowing rural hospitals to claim Medicare rebates is putting GP practices at risk, review warns
A 20-year-old funding initiative designed to improve healthcare access in rural areas may be pitting hospitals and local GP practices against each other, according to a new evaluation.
Introduced in 2006, the scheme allowed certain publicly run rural hospitals and community clinics to claim Medicare rebates for primary care services by granting exemptions to section 19 (2) of the Health Insurance Act 1973, which normally prohibits such claims.
The aim was to increase patient access to primary care, support rural workforce recruitment and shore up the viability of small rural hospitals without impacting existing GP services.
But an independent evaluation, published earlier this month, warns that the initiative may be undermining private GP practices by diverting funding and doctors towards public hospitals.