How the new Medicare Safety Net will work
The new Medicare Safety Net will make it easier for patients to understand their entitlements and ensure benefits are targeted to those who need them most
Safety net registration
Individuals do not need to register for the Medicare Safety Nets.
Families need to register to allow Medicare to combine medical expenses for all family members — even if all family members are on the one Medicare card.
Keeping a tally of medical expenses
Medicare will keep track of thresholds and benefit entitlements if patients pay their provider in full.
Medicare usually contacts patients when they are nearing the threshold.
Benefits
Once the safety net threshold is reached, all further out-of-hospital claims for each calendar year will automatically attract a higher benefit because the Government will pay more towards out-of-pocket costs.
How will the thresholds change?
Concessional patients
| Current | New |
|---|---|
| Extended Medicare Safety Net (2016) | (2016) |
| $654.30* | $400 |
Family Tax Benefit Part A family
| Current | New |
|---|---|
| Extended Medicare Safety Net (2016) | (2016) |
| $654.30* | $700 |
General Single
| Current | New |
|---|---|
| Extended Medicare Safety Net (2016) | (2016) |
| $2,050* | $700 |
General family
| Current | New |
|---|---|
| Extended Medicare Safety Net (2016) | (2016) |
| $2,050* | $1,000 |
Medicare Safety Net (2016)
Thresholds of:
- $400 for concessional patients
- $700 for general singles and Family Tax Benefit Part A families.
- $1,000 for general families
Benefit: increases Medicare benefits for out-of-pocket costs above the threshold for the remainder of the calendar year.
* Safety net thresholds and figures are estimates and are subject to indexation by the Consumer Price Index.