Better health and ageing for all Australians

Private health insurance

The Review of the Australian Government Rebate on Private Health Insurance for Natural Therapies

The review of the Australian Government Rebate on Private Health Insurance (the rebate) for natural therapies (the review), will examine the evidence of clinical efficacy, cost effectiveness, safety and quality of in scope natural therapies.

Natural therapies in scope for the review are:

  • Currently covered under private health insurance;
  • Not subsidised directly under Medicare; and
  • Are not provided by a health professional accredited under the Australian Health Practitioner Regulation Agency.
The final list of in scope therapies is below and has been compiled from information provided by private health insurers as at December 2012-January 2013:
  • Alexander Technique
  • Aromatherapy
  • Ayurveda
  • Biochemistry
  • Bowen Therapy
  • Buteyko
  • Deep Tissue Massage
  • Feldenkrais
  • Herbalist
  • Hypnotherapy
  • Iridology
  • Kinesiology
  • Lymphatic Drainage
  • Massage therapy
  • Myofascial Release
  • Myotherapy
  • Naturopathy
  • Nutrition
  • Pilates
  • Psychotherapy
  • Reflexology
  • Remedial Massage
  • Rolfing
  • Shiatsu
  • Sports Therapy Massage
  • Swedish Massage
  • Tai Chi
  • Thai Massage
  • Therapeutic Massage
  • Western Herbalism
  • Yoga
  • Homeopathy
Following the completion of the review, the Government will introduce through regulation a list of natural therapies that have demonstrated the necessary evidence base and which can continue to attract the rebate. It is proposed that these changes will take effect from 1 January 2014.

The National Health and Medical Research Council (NHMRC) is assisting the Department with the review by undertaking an evidence review of all in scope therapies, including assessing stakeholder submissions. Evidence will be assessed in the context of the NHMRC’s Additional Levels of Evidence and Grades for Recommendations for Developers of Guidelines.

Natural Therapy Review Advisory Committee

The NHMRC’s findings will be examined by the Department’s Natural Therapy Review Advisory Committee (Advisory Committee). The Advisory Committee will provide advice to the Australian Government about the natural therapies that have been found to be underpinned by an evidence base.

The Advisory Committee is chaired by the Chief Medical Officer and includes members from the natural therapy and private health insurance industries, consumers and clinical experts as follows: the Chief Medical Officer and include members representing the natural therapy and private health insurance industries, consumers and technical experts as follows:
  • The Australian Traditional Medicine Society
  • The Australian Natural Therapists Association
  • The Australian Naturopathic Practitioners Association
  • Private Healthcare Australia
  • Health Insurance Restricted Membership Association of Australia
  • Consumers Health Forum of Australia
  • Technical experts (medical, pharmacy and physiotherapy)
The Advisory Committee Terms of Reference are available at the Department's website.

Submissions to the Review

The Department received 46 submissions in relation to the review. Submissions were required to include evidence that demonstrates the clinical efficacy, cost effectiveness, safety and quality of in scope natural therapies. Submissions by non-invited organisations were also accepted.

The submission process is now closed.

Implementation

Any changes to the natural therapies that attract the rebate are expected to be implemented from 1 January 2014.

Post implementation consumers may still be able to purchase natural therapy services and insurers will be able to offer coverage for these natural therapies under policies that do not attract the rebate.

In addition, the Department will monitor and evaluate the impact of the changes on industry and consumers. The Department will also develop a process for therapies that do not attract the rebate to be considered for inclusion in the future, where there is a credible evidence base demonstrating their clinical efficacy, cost effectiveness and safety and quality.

Further information

For further information about the review please email Private Health.