Health Insurance for rich

Wednesday, 22 November 2006

Health Insurance for the rich: ABS figures back Greens concerns

Senator Kerry Nettle, the Australian Greens spokesperson for Health says data released today by the Australian Bureau of Statistics (ABS) confirms Greens findings that Health Insurance is for the rich.

"The ABS study shows that Private Health Insurance is chiefly taken up by the wealthiest Australians and this confirms that the $3 billion the Howard Government annually spends on the Private Health Insurance Rebate is an inequitable waste of taxpayers' money." Senator Nettle said today.

The ABS paper: "Private Health Insurance: A snapshot, 2004-05" says only 23% of poorest fifth of Australians have Private Health Insurance compared to 76% or the wealthiest fifth. It also says 28% of those living in the most socioeconomically disadvantaged areas had private health insurance, compared with 72% of those living in the most socially advantaged areas.

The ABS data confirms recent Greens analysis based on a survey from a Roy Morgan Research.

"Our analysis revealed that due to differing patterns in the uptake of private health insurance, right across Australia residents of rural, remote and outer suburban commonwealth electorates effectively subsidise the private healthcare of those living in the wealthiest city-based Liberal-held electorates. This because everyone pays taxes but only those with private health insurance receive the 30% rebate.

"Compared to these Liberal seats, those in Labor held electorates miss out, and seats held by the Nationals are the worst-off of all. Yet both these parties still support the rebate even though their voters get next to nothing.

"The Greens would immediately abolish the Private Health Insurance Rebate and redistribute the $3 billion dollars to the public health sector, especially for public hospitals, indigenous health and for dental care." Senator Nettle said.