How do Hospitals, Health Funds, and Doctors set their fees?

All Doctors set their own fees for private medical services

The Medicare Benefits Schedule (MBS) is the list of services and the dollar amounts that are subsided by the Australian Government through Medicare. 

The Australian Medical Association prepares a guide of medical fees for private patients that is based off the MBS and incorporate costs such as medical Indemnity, staff wages and inflation. 

Private Health Funds also use the Medicare Benefits Schedule as a base rate to calculate the private fund rebates. 

Private Hospitals are funded by private health fund rebates and patient contributions

It is important to note that all health funds pay will rebates according to their own schedules calculated using the base rate of the Medicare Benefits Schedule 

 

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