House debates
Thursday, 2 July 2026
Bills
Health Insurance Amendment (Incentive Payments and Other Measures) Bill 2026; Second Reading
12:02 pm
Mark Butler (Hindmarsh, Australian Labor Party, Deputy Leader of the House) | Hansard source
I thank the member for Werriwa for her contribution and for her really strong support for everything we're doing to make Medicare stronger and make medicines cheaper. I thank all members for their contributions to the debate on this bill. As the member for Werriwa said, Medicare is the very best of Australia. It allows Australians to receive high-quality health care regardless of their bank balance, and that was the mission that Bob Hawke had in mind. The Albanese government is strengthening Medicare, the heart of universal health care, to make it easier for Australians to see a GP for free.
The Health Insurance Amendment (Incentive Payments and Other Measures) Bill 2026 establishes for the first time a clear and enduring legislative framework for Commonwealth primary care incentive payment programs. These programs are a central part of how the government supports access, affordability and quality in Australia's primary healthcare system, including, particularly, in rural and regional communities. Primary care incentive programs represent more than $1.4 billion of annual government investment, yet a number of significant programs currently operate without a dedicated legislative scheme tailored to their establishment, administration, compliance and review. The bill addresses that gap by inserting a new part into the Health Insurance Act 1973, creating a consistent statutory basis for incentive payment programs while allowing detailed program settings to be dealt with in rules. That approach gives providers and the government greater certainty while preserving the flexibility needed to keep program settings up to date as health system needs evolve. Importantly, the bill does not change the underlying policy settings of existing programs. It does not alter substantive eligibility criteria or payment amounts, and existing participants are intended to transition into the new framework without needing to reapply.
The bill also supports efficient, high-volume administration by enabling specific administrative action to be undertaken with the assistance of computer programs—subject, of course, to oversight, transparency, substituted decision safeguards and review rights. Importantly, this bill provides stability so patients can continue to benefit from the outcomes of these programs and strengthened access to primary care.
A further important feature of the bill is the amendment of the short title of the Health Insurance Act 1973 to the Medicare Act, with a transition period to support the consequential amendments and system changes that are required across Commonwealth, state and territory frameworks.
This is a foundational reform that will strengthen the administration, the integrity and the sustainability of Medicare incentive payment programs and help ensure that government investment in primary care is delivered effectively. I commend the bill to the House.
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