The cost of average medical indemnity premiums has fallen for the second year in a row, Assistant Treasurer Peter Dutton said today.
In releasing a report on the price monitoring undertaken by the Australian Competition and Consumer Commission (ACCC), Mr Dutton said it was further evidence that the reforms undertaken by the Howard Government have had a positive impact on the availability and affordability of medical indemnity insurance.
“The average medical indemnity premium fell by 3 per cent in 2004-05, to $5690. In addition, the cost, frequency and average size of claims each fell in 2004-05,” Mr Dutton said.
“This is again good news for doctors, their patients and Australian families.”
“By delivering affordable insurance cover for doctors, the Government is ensuring Australians have access to quality medical services like obstetricians, oncologists, cardiologists and paediatricians,” Mr Dutton said.
“Put simply, this Government is delivering security for Australians with regard to medical services.”
The ACCC report analyses the costs, premiums and financial performance of medical indemnity insurers and assesses the actuarial and commercial justification of medical indemnity premiums. It found that the premiums of the five medical indemnity insurers monitored are actuarially and commercially justified.
The report is available from the ACCC’s website at www.accc.gov.au.