This Budget is delivering the ACCC increased funding of $1.0 million over two years to assist with the monitoring of medical indemnity insurance premiums.
The Australian Competition and Consumer Commission (ACCC) is monitoring medical indemnity insurance premiums to determine whether they are actuarially and commercially justified. Monitoring commenced on 1 January 2003 and is expected to terminate at the end of June 2005.
This public monitoring by the ACCC will ensure that the objectives of the Government's new medical indemnity insurance framework are met, while increasing the confidence of doctors that increases in insurance premiums are not excessive.
This monitoring role has required that the ACCC source external actuarial advice. In addition, a number of other demands on the ACCC, notably in relation to public liability and professional indemnity insurance, have had to be met within existing resources.
More information on the ACCC's monitoring role in respect of medical indemnity premiums is contained in the Prime Minister's media release of 23 October 2002 which is available at http://www.pm.gov.au/news/media_releases/2002/media_release1937.htm
Contact: Bob Lawrence
Office of the Minister for Revenue and Assistant Treasurer
(02) 6277 7360