Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments)

Current status

This bill became law on Mar 16th, 2023.

Policy area

Budget, tax & economy

What does this bill do?

The levy law now uses the updated name for the private health insurance rules covering medical devices and human tissue products, and it also fixes a wrong cross-reference in the register levy law.

Why was it introduced?

Renaming the private health insurance rules for medical devices and human tissue products, and an incorrect cross-reference in the levy law, left the National Joint Replacement Register levyA charge collected under law to fund the register that tracks joint replacement outcomes and related device information. Act out of step. This bill updates the Act to point to the renamed rulesThe renamed rules that now set out which medical devices and human tissue products can be listed for private insurance benefits., define covered joint replacement devices, and fix the mistaken reference.

Broader context

After more than four years of work on reforming the private health insurance Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them., the 2021-22 federal budget funded a first tranche of changes to modernise how medical devices and human tissue products are listed and paid for. This bill was introduced alongside that package in December 2022 to keep the National Joint Replacement Register levyA charge collected under law to fund the register that tracks joint replacement outcomes and related device information. law aligned with the renamed rulesThe renamed rules that now set out which medical devices and human tissue products can be listed for private insurance benefits. and to fix a mistaken cross-reference, then passed Parliament in March 2023 and received Royal AssentThe final step that turns a passed bill into an Act of Parliament. days later.

Key criticism

The main criticism was that this machinery bill was being passed before Parliament had enough detail about the subordinate rules, cost recoveryA system where the people who use the listing process pay fees that help cover the government's administration costs. and bundling arrangements that would determine its real effect. Coalition speakers, including Anne Ruston, supported the package progressing but warned that Parliament and stakeholders had not yet seen enough of the practical detail; crossbenchers also sought stronger scrutiny and transparency.

Who supported it?

Ged Kearney MP introduced this bill. It passed on the voices.

Introduced in House 01 Dec 2022
Passed House 07 Feb 2023
Passed Senate 07 Mar 2023
Became law 16 Mar 2023

Did it become law?

Yes

Became law 16 Mar 2023

Final passage

Passed without a counted vote

2 recorded amendment or procedural votes were found, but no counted vote on the bill itself was recorded.

Passage speed

105 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. The levy law now uses the updated name for the private health insurance rules covering medical devices and human tissue products, and it also fixes a wrong cross-reference in the register levy law.

  2. For levy purposes, a joint replacement item is now defined as a listed medical deviceOn this page, a product that may be eligible for listing and private insurance payment if it fits the new legal definition. that is used in joint replacement surgery.

  3. The law now points to the renamed private health insurance rules for deciding whether a listed joint replacement device is covered.

  4. The Act fixes which section sets the extra levy day, by changing the reference from section 6 to section 8A.

  5. The changes do not alter the current levy rules that fund the National Joint Replacement RegisterThe register funded by the levy that tracks joint replacement data and supports monitoring of joint replacement devices. through industry payments.

Show source excerpts
  1. The Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Bill 2022 (PHI NJRR Bill) amends the Private Health Insurance (National Joint Replacement Register Levy) Act 2009 (PHI NJRR Act) to reflect the renamed Private Health Insurance (Medical Devices and Human Tissue Products) Rules that will made under the PHI Act. This Bill also addresses an incorrect reference to a Ministerial determination in the PHI NJRR Act.
    Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) explanatory memorandum
  2. joint replacement device means a medical device (within the meaning of the Private Health Insurance Act 2007) that:
    Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Act 2023 final Act text
  3. Omit “prosthesis is currently listed in the Private Health Insurance (Prostheses) Rules”, substitute “device is currently listed in the Private Health Insurance (Medical Devices and Human Tissue Products) Rules”.
    Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Act 2023 final Act text
  4. Omit “section 6”, substitute “section 8A”.
    Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Act 2023 final Act text
  5. The measures in this bill do not change any current requirements or obligations which enable the funding of our world renowned National Joint Replacement Register through an industry levy.
    Minister's second reading speech

Broader context for this bill

After more than four years of work on reforming the private health insurance Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them., the 2021-22 federal budget funded a first tranche of changes to modernise how medical devices and human tissue products are listed and paid for. This bill was introduced alongside that package in December 2022 to keep the National Joint Replacement Register levyA charge collected under law to fund the register that tracks joint replacement outcomes and related device information. law aligned with the renamed rulesThe renamed rules that now set out which medical devices and human tissue products can be listed for private insurance benefits. and to fix a mistaken cross-reference, then passed Parliament in March 2023 and received Royal AssentThe final step that turns a passed bill into an Act of Parliament. days later.

  1. 2018 to 2023

    Government and stakeholders work on major Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them. reforms

    Senate debate said the March 2023 bills followed more than four years of detailed work with medical technology, hospital, insurer and consumer stakeholders on reforming the Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them..

    Hansard ↗
  2. 2021-22

    Federal budget funds Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them. modernisation

    Speakers said the 2021-22 federal budget committed $22 million over four years for the first stage of modernising and improving the private health insurance Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them..

    Hansard ↗
  3. 01 Dec 2022

    Government introduces a three-bill private health insurance package

    The minister said this bill was introduced with related legislation to reflect the new name of the medical deviceOn this page, a product that may be eligible for listing and private insurance payment if it fits the new legal definition. and human tissue productOn this page, a product made from human tissue that may be included in the private insurance listing rules. rules and correct an error in the levy Act.

    Hansard ↗
  4. 07 Mar 2023

    Parliament passes the bill

    Both houses passed the bill in the same form, completing the legislative step needed to align the joint replacement levy law with the broader Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them. reform package.

    Parliamentary timeline ↗
  5. 16 Mar 2023

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. makes the changes law

    Royal AssentThe final step that turns a passed bill into an Act of Parliament. turned the bill into an Act, finalising the consequential updates to the National Joint Replacement Register levyA charge collected under law to fund the register that tracks joint replacement outcomes and related device information. legislation.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 01 Dec 2022

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 01 Dec 2022

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 07 Feb 2023

The bill reached this recorded parliamentary step.

Sent to Federation Chamber for debate 07 Feb 2023

The bill reached this recorded parliamentary step. For this bill, the Federation Chamber reported back later the same day and the House then completed its remaining formal steps that day.

Referred to Federation Chamber

Federation Chamber debate 07 Feb 2023

The bill reached this recorded parliamentary step.

Second reading debate

House second reading agreed 07 Feb 2023

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Returned from Federation Chamber without amendment 07 Feb 2023

The bill reached this recorded parliamentary step. The official House record shows the referral out and return both happened on the same day, before the House moved to its final formal votes.

Reported from Federation Chamber

House third reading agreed 07 Feb 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 08 Feb 2023

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 08 Feb 2023

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 07 Mar 2023

The bill reached this recorded parliamentary step.

Senate second reading agreed 07 Mar 2023

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Committee of the Whole debate 07 Mar 2023

The bill reached this recorded parliamentary step.

Senate third reading agreed 07 Mar 2023

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 07 Mar 2023

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 16 Mar 2023

The Governor-General gave Royal AssentThe final step that turns a passed bill into an Act of Parliament., turning the bill into an Act.

The main case against this bill

The main criticism was that this machinery bill was being passed before Parliament had enough detail about the subordinate rules, cost recoveryA system where the people who use the listing process pay fees that help cover the government's administration costs. and bundling arrangements that would determine its real effect. Coalition speakers, including Anne Ruston, supported the package progressing but warned that Parliament and stakeholders had not yet seen enough of the practical detail; crossbenchers also sought stronger scrutiny and transparency.

Criticism focused on missing detail and oversight, not on the bill’s basic objective.

Too much left to later rules

Critics said the bill itself was only technical on its face, while important practical details about subordinate rules, cost recoveryA system where the people who use the listing process pay fees that help cover the government's administration costs. and bundling arrangements were still unresolved. They argued the government should provide those settings before asking Parliament to finish the package.

Raised by Coalition MPs and senators, especially Julian Leeser, Melissa McIntosh, Paul Scarr and Anne Ruston Source ↗

Need for stronger scrutiny and proof of consumer savings

Some supporters warned that without extra transparency, oversight and compliance measures, promised savings from the broader prostheses reforms might not be passed on to consumers. They wanted clearer reporting and enforcement rather than relying on the reforms to work as intended.

Raised by David Pocock, Rebekha Sharkie and other crossbench voices seeking stronger transparency safeguards Source ↗

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices. The counted divisions below were about amendments or procedure, not final passage.

Passed

House passed the bill

House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

07 Feb 2023

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Passed

Senate passed the bill

Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

07 Mar 2023

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Amendments at a glance

Recorded amendment and procedural votes grouped by chamber. Expand a vote to see the party breakdown.

Senate

Defeated

Call for more public health funding

Aye 13 No 26

Defeated 13 to 26. Support came from Greens, Jacqui Lambie Network, and minor parties and independents. Opposition came from Labor, Liberal Party, and Nationals.

07 Mar 2023

The Senate rejected a Greens second-reading amendment that criticised private health insurance as costly and unequal while still allowing the bill package to proceed.

Party Recorded votes Aye / No
Labor 0 / 21
Greens 10 / 0
Liberal Party 0 / 3
Jacqui Lambie Network 2 / 0
Nationals 0 / 2
Independent 1 / 0
Defeated

Call for ACCC review of private health

Aye 14 No 30

Defeated 14 to 30. Support came from Greens, Jacqui Lambie Network, and minor parties and independents. Opposition came from Labor, Liberal Party, and Nationals.

07 Mar 2023

The Senate rejected David Pocock’s second-reading amendment for extra ACCC reporting on private health insurance practices and whether prostheses savings reached consumers.

Party Recorded votes Aye / No
Labor 0 / 21
Greens 10 / 0
Liberal Party 0 / 6
Nationals 0 / 3
Independent 2 / 0
Jacqui Lambie Network 2 / 0

These are amendment votes, not the final passage vote on the bill itself. The bill passed both chambers on the voices.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Ged Kearney

Australian Labor Party • MP 01 Dec 2022

Kearney supports the bill, saying it makes technical consequential amendments to reflect the new name of the related legislative instrument and fix an incorrect reference.

Read in Hansard ↗
Lead supporting voice Supports

Anne Ruston

Liberal Party • Senator 07 Mar 2023

Ruston says the Coalition supports the process and progression of the private health insurance bills, but criticises the government for asking Parliament to proceed before stakeholders have seen enough detail about subordinate rules, cost recoveryA system where the people who use the listing process pay fees that help cover the government's administration costs. and bundling arrangements.

Read in Hansard ↗
Lead non-major voice Supports

David Pocock

Independent • Senator 07 Mar 2023

Pocock supports the bill, but says it should come with stronger scrutiny so the savings from the prostheses deal are actually passed on to consumers.

Read in Hansard ↗
Lead voice Supports

Mike Freelander

Australian Labor Party • MP 07 Feb 2023

Freelander supports the bill and says it will make device pricing more transparent, help lower costs for private hospitals and insurers, and encourage people to keep private health insurance.

Read in Hansard ↗

All speeches by bloc

Labor

5 speakers · 6 contributions · 5 support

  1. Jerome Laxale Laxale supports the bill and says it is part of needed reform to modernise the Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them., improve value for money, and help bring down private health insurance costs.
    “I rise to support these bills as they seek to implement and modernise and improve the private health insurance Prostheses List. We know that the proposed legislation would amend private health insurance legislation to better define the items for which set benefits are paid by private health insurers so that these benefits are only payable for medical devices or human tissue products that meet specific definitions.”

    Australian Labor Party • MP • 07 Feb 2023

    Read the full speech in Hansard ↗
  2. Anthony Chisholm Chisholm supports the bill, saying it is a technical update that aligns references with a renamed instrument and fixes an incorrect ministerial reference without changing existing funding requirements or obligations.
    “The measures in this Bill do not change any current requirements or obligations which enable the funding of our world renowned National Joint Replacement Register through an industry levy.”

    Australian Labor Party • Senator • 08 Feb 2023

    Read the full speech in Hansard ↗
  3. Jenny McAllister McAllister supports the bill as a machinery-only set of consequential changes that does not alter current obligations, and says it is part of broader administrative and cost-recovery reforms that should help keep private health insurance premiums down.
    “The third bill is the Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Bill 2022, which is machinery in nature only and does not change any current requirements or obligations.”

    Australian Labor Party • Senator • 07 Mar 2023

    Read the full speech in Hansard ↗

Coalition

4 speakers · 4 support

  1. Paul Scarr Scarr says the coalition supports the bill, but argues it is too vague and too much of its practical effect will be left to unseen regulations, which could affect how private hospitals operate.
    “The coalition, of course, supports this legislation. It reflects much of the work that was done by the coalition government. This is an example of an orderly transition in our democratic government, with policies which were introduced by a prior government being continued under the next government where they're in the best interests of the Australian people. It is something we should acknowledge.”

    Liberal Party • Senator • 07 Mar 2023

    Read the full speech in Hansard ↗
  2. Melissa McIntosh McIntosh says the coalition supports the bill, but criticises the government for leaving key details to later regulations and for asking Parliament to pass it without enough substantive information.
    “We are supportive of this bill, but we're putting the government on notice: they cannot continue to expect us to pass bills without seeing any of the substantive detail. I urge the government to address the significant challenges the industry faces, and to engage with them and to provide in a timely way those details that are currently missing. It's a critical industry and it's also critical that this industry understands how items on the list will be costed, setting in place a process to reduce the gap between the cost of medical devices in the public and private health sectors. It will be the patients of Australia who will suffer if this isn't done with the utmost concentration on the provision of details. I know the medtech industry is behind it, ready to support and help, but we do urge the government to please provide those details as this legislation comes forth. Thank you.”

    Liberal Party • MP • 07 Feb 2023

    Read the full speech in Hansard ↗
  3. Julian Leeser Leeser says the coalition supports the bill as part of the reform package to modernise the Prostheses ListThe schedule of devices and products that private insurers must pay set benefits for when a patient uses them., because it should improve value, affordability and access for private health insurance patients.
    “We are supportive of this bill, but we're putting the government on notice that they cannot continue to expect us to pass bills in this place without seeing any of the substantive details. Modernising and improving the Prostheses List is an important reform process, and the patients who would benefit from the reforms deserve to have the details properly considered.”

    Liberal Party • MP • 07 Feb 2023

    Read the full speech in Hansard ↗

Greens

1 speaker · 1 support

  1. Jordon Steele-John Steele-John says the Greens will support the bill, but argues private health insurance is too expensive and that the money should be shifted into public healthcare instead.
    “I want to start by indicating that the Australian Greens will be supporting the Private Health Insurance Legislation Amendment (Medical Device and Human Tissue Product List and Cost Recovery) Bill 2022, the Private Health Insurance (Prostheses Application and Listing Fees) Amendment (Cost Recovery) Bill 2022 and the Private Health Insurance (National Joint Replacement Register Levy) Amendment (Consequential Amendments) Bill 2022. We do so while recognising that private health insurance is out of reach for too many people in Australia, and we acknowledge that the subsidy that this government provides to private health insurance corporations would be better spent and would better achieve health outcomes if we invested that money into the public healthcare system.”

    Australian Greens • Senator • 07 Mar 2023

    Read the full speech in Hansard ↗

Minor parties and independents

2 speakers · 2 support

  1. Rebekha Sharkie Sharkie supports the bill as part of the wider reforms to medical deviceOn this page, a product that may be eligible for listing and private insurance payment if it fits the new legal definition. and prostheses pricing, saying it will help reduce costs for private health consumers.
    “Private Healthcare Australia is of the view that until the legislation is amended to include penalties for false and misleading statements in relation to the list, health funds and their members will continue to pay millions of dollars more in benefits each year than they should. I am therefore pleased to hear that the government is currently exploring future work on a more robust compliance framework, and I encourage the government to move as quickly possible on this to further reduce health insurance premiums and lower the cost of living for millions of Australians. I commend this bill to the House, and I support it.”

    Centre Alliance • MP • 07 Feb 2023

    Read the full speech in Hansard ↗

Full record

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