The Times Australia
The Times World News

.

Australia can afford to bulk bill all GP visits. So why don’t we?

  • Written by Yuting Zhang, Professor of Health Economics, The University of Melbourne
Australia can afford to bulk bill all GP visits. So why don’t we?

Being able to afford health care is a pressing issue[1] for many Australians. And encouraging GPs to bulk bill is one measure[2] the government is taking to ease the strain.

So what would it take for GPs to bulk bill everyone? In our recent paper[3], we calculated this is possible and affordable, given the current health budget.

But we show recent incentives for GPs to bulk bill aren’t enough to get us there.

Instead, we need to adjust health policies to increase bulk-billing rates and to make our health system more sustainable.

How do the incentives work?

In recent years, the government has introduced various incentives to try and encourage GPs to bulk bill (so patients pay nothing out-of-pocket).

The most recent has been the “triple bulk-billing incentives[4]” or “triple bonus” for short. These have been in place since November 2023.

Under these incentives, GPs in metropolitan areas are paid a A$20.65 bonus if they bulk bill concession card holders or children under 16 years. GPs in rural and remote areas are paid $31.35-$39.65 extra. These bonus payments are in addition to regular Medicare rebates GPs receive.

But when we looked at whether these latest incentives are likely to work to boost bulk billing, we found a city-country divide.

Bulk billing sign on window of GP clinic
Current incentives for GPs to bulk bill may not work across Australia. Rose Marinelli/Shutterstock[5]

City GPs may not be convinced

We worked out the triple bonus will not help most people in metropolitan areas.

That’s because in these areas the bonus is much lower than what patients currently pay out-of-pocket. In other words, if GPs did bulk bill these groups, their income would be lower than what they could have charged. So the bonus wouldn’t be enough incentive for them to bulk bill.

For example, we found in greater Melbourne, the average out-of-pocket costs for a non-bulk billed GP visit is about[6] $30-$56 depending on the suburb. This is much higher than the $20.65 triple bonus amount in metropolitan regions. We see similar patterns across all metropolitan areas.

But country GPs may be swayed

The picture is different in rural and remote areas. Here, the average out-of-pocket cost for a non-bulk billed GP visit varies substantially[7] – around $28-52 in rural regions and $32-123 in remote areas. The highest cost on the mainland was $79 but GP visits on Lord Howe Island were the most expensive overall, at $123.

For patients living in areas where their actual payment is less than the bonus amount, the incentive does help. In other words, it would be financially advantageous for GPs to bulk bill these patients, but not where the out-of-pocket costs are higher than the bonus.

Our online map[8] shows where GPs are most likely to bulk bill. The map below shows how out-of-pocket costs vary around Australia.

How about bulk billing for all?

The picture is a little more complex when we start talking about bulk billing all GP visits – regardless of location or patients’ concession card status.

We worked out this would cost about $950 million a year for all GP services, or $700 million a year for face-to-face GP consultations.

This is within reach under the current budget, especially for face-to-face GP consultations.

The government has earmarked $3.5 billion[9] over five years[10] for the “triple bonus” incentives. That’s $700 million a year.

Medicare card, $20 and $50 notes Could Medicare afford universal bulk billing? We say ‘yes’, with caveats. Robyn Mackenzie/Shutterstock[11]

We can afford to, but should we?

Introducing free GP visits for all would require careful consideration, as it would encourage more GP visits.

This might be a good thing, particularly if people had previously skipped beneficial care due to high costs[12]. However, it may encourage more people to see their GP unnecessarily[13], taking away limited resources from those who really need them. This could ultimately increase wait times for everyone.

So providing free GP visits for all may not be efficient or sustainable, even if it’s within the budget.

But paying more than $50 for a GP visit, as many do, seems too expensive and also makes the health-care system less efficient.

That’s because primary care is often considered[14] high-value and preventive care. So if people can’t afford to go to the GP, it can lead to more expensive hospital and emergency room costs down the track.

So we need to strike a balance to make primary care more affordable and sustainable.

How do we strike a balance?

One, concession card holders and children should get free primary care regardless of where they live. This would allow more equitable care to populations who need health care the most. Bulk bulling children is a long-term investment[15], which may delay onset of diseases, and prevent intergenerational poverty and poor health.

Two, the government could also provide free primary care to all people in rural and remote areas. It can do this by lowering the triple bonus to match what GPs currently charge. Over time, GPs and the government can evaluate and negotiate[16] fair prices for GPs to charge. This can be adjusted in line with inflation and other measures.

Three, the government can increase Medicare rebates (the amount Medicare pays a doctor for a GP visit) so patients not covered above only pay about $20-30 a visit. We consider this an affordable amount that will not result in more use of primary care than necessary.

Four, the government can design a policy to reduce unnecessary GP visits that take away limited GP time from high-need patients. For example, patients currently need to see GPs to get referral letters[17] although they already have an established specialist for their ongoing chronic conditions.

Five, the government can provide GPs funding needed to improve patient outcomes and reward GPs who provide high-quality preventive care[18]. The current fee-for-service funding model hurts good doctors who keep their patients healthy because doctors are not paid if their patients do not come back.

References

  1. ^ pressing issue (www.abs.gov.au)
  2. ^ one measure (theconversation.com)
  3. ^ recent paper (onlinelibrary.wiley.com)
  4. ^ triple bulk-billing incentives (www.health.gov.au)
  5. ^ Rose Marinelli/Shutterstock (www.shutterstock.com)
  6. ^ is about (melbourneinstitute.unimelb.edu.au)
  7. ^ varies substantially (melbourneinstitute.unimelb.edu.au)
  8. ^ online map (melbourneinstitute.unimelb.edu.au)
  9. ^ $3.5 billion (www.health.gov.au)
  10. ^ five years (archive.budget.gov.au)
  11. ^ Robyn Mackenzie/Shutterstock (www.shutterstock.com)
  12. ^ due to high costs (www.abs.gov.au)
  13. ^ GP unnecessarily (www.sciencedirect.com)
  14. ^ often considered (www.sciencedirect.com)
  15. ^ long-term investment (www.sciencedirect.com)
  16. ^ negotiate (www.auspublaw.org)
  17. ^ referral letters (theconversation.com)
  18. ^ high-quality preventive care (bmjopenquality.bmj.com)

Read more https://theconversation.com/australia-can-afford-to-bulk-bill-all-gp-visits-so-why-dont-we-230204

Times Magazine

Headless CMS in Digital Twins and 3D Product Experiences

Image by freepik As the metaverse becomes more advanced and accessible, it's clear that multiple sectors will use digital twins and 3D product experiences to visualize, connect, and streamline efforts better. A digital twin is a virtual replica of ...

The Decline of Hyper-Casual: How Mid-Core Mobile Games Took Over in 2025

In recent years, the mobile gaming landscape has undergone a significant transformation, with mid-core mobile games emerging as the dominant force in app stores by 2025. This shift is underpinned by changing user habits and evolving monetization tr...

Understanding ITIL 4 and PRINCE2 Project Management Synergy

Key Highlights ITIL 4 focuses on IT service management, emphasising continual improvement and value creation through modern digital transformation approaches. PRINCE2 project management supports systematic planning and execution of projects wit...

What AI Adoption Means for the Future of Workplace Risk Management

Image by freepik As industrial operations become more complex and fast-paced, the risks faced by workers and employers alike continue to grow. Traditional safety models—reliant on manual oversight, reactive investigations, and standardised checklist...

From Beach Bops to Alpine Anthems: Your Sonos Survival Guide for a Long Weekend Escape

Alright, fellow adventurers and relaxation enthusiasts! So, you've packed your bags, charged your devices, and mentally prepared for that glorious King's Birthday long weekend. But hold on, are you really ready? Because a true long weekend warrior kn...

Effective Commercial Pest Control Solutions for a Safer Workplace

Keeping a workplace clean, safe, and free from pests is essential for maintaining productivity, protecting employee health, and upholding a company's reputation. Pests pose health risks, can cause structural damage, and can lead to serious legal an...

The Times Features

Tricia Paoluccio designer to the stars

The Case for Nuturing Creativity in the Classroom, and in our Lives I am an actress and an artist who has had the privilege of sharing my work across many countries, touring my ...

Duke of Dural to Get Rooftop Bar as New Owners Invest in Venue Upgrade

The Duke of Dural, in Sydney’s north-west, is set for a major uplift under new ownership, following its acquisition by hospitality group Good Beer Company this week. Led by resp...

Prefab’s Second Life: Why Australia’s Backyard Boom Needs a Circular Makeover

The humble granny flat is being reimagined not just as a fix for housing shortages, but as a cornerstone of circular, factory-built architecture. But are our systems ready to s...

Melbourne’s Burglary Boom: Break-Ins Surge Nearly 25%

Victorian homeowners are being warned to act now, as rising break-ins and falling arrest rates paint a worrying picture for suburban safety. Melbourne residents are facing an ...

Exploring the Curriculum at a Modern Junior School in Melbourne

Key Highlights The curriculum at junior schools emphasises whole-person development, catering to children’s physical, emotional, and intellectual needs. It ensures early year...

Distressed by all the bad news? Here’s how to stay informed but still look after yourself

If you’re feeling like the news is particularly bad at the moment, you’re not alone. But many of us can’t look away – and don’t want to. Engaging with news can help us make ...