‘Insurance industry’s best hope for a turnaround’
AUSTRALIA’S insurance industry is hoping the Federal Government will act to keep insurers honest and to allow them to be more competitive with new competitors.
Key points:The Federal Government is working with the industry to address problems that arose from the coronavirus pandemicInsurers have been working to fix issues that were caused by coronaviruses in the pastInsurers are trying to find a solution that can better protect their customers from coronavireasesThere have been concerns the Government is slow to react to the pandemicThe Coalition has also been working with insurers to try and help them reduce the cost of covering their customers with a new policy that would be more cost-effective.
But the industry has warned it is facing significant challenges in meeting the new standards.
It has been working for months with the Department of Health to address some of the issues raised by the Australian Medical Association (AMA) in a report released on Monday.
In particular, the AMA raised concerns that coronavirotic illnesses could pose risks to patients’ health.
The AMA said it has asked the Department to ensure the industry can meet the standards set out by the Federal Health Insurance Scheme (HIS).
The AMA has also expressed concerns that insurers are working to address issues that arose during the coronivirus pandemics.
In July, it issued a call for information on coronaviral illness and related conditions in Australia.
The AMA has been asked to provide information on the coronvirus outbreak.
The Department of Prime Minister and Cabinet has already been consulting with the AMA, and has been seeking to work with insurers and other stakeholders to find solutions.
Health Minister Peter Dutton said on Monday that he is aware of the AMA’s concerns and is working to support the industry.
“As a responsible employer, we have to take all reasonable measures to prevent any disruption to our business, and to minimise any impact on customers,” Mr Dutton told the ABC.
“I’m also aware that our Government is currently working with some of our insurance companies on this issue.”‘
It’s a challenge to get insurers to work together’In a submission to the AMA earlier this year, insurers called for more information on what they were doing to improve patient care and safety.
The insurers have also asked the Federal government to act quickly to provide them with better data to assist them with coronavillae safety standards.
“Insurers need to have an accurate and comprehensive picture of the coronovirus situation in Australia, and that is where the best chance for effective collaboration lies,” the submission read.
“The AMA wants more clarity about what the industry is doing to mitigate the potential risks from coronoviruses.”