Reforms to the two-tier MBS rebate system
As we well know, the MBS system for accessing psychologists is provided through two rebate tiers (the two-tier system). It maintains a higher rebate for psychologists with clinical endorsement and a lower rebate for registered psychologists and psychologists with endorsement in the remaining 8 AoPE. AAPi believes that the two-tier Medicare system is fundamentally flawed and needs to be immediately changed.
AAPi was quoted extensively in the report on this issue:
“...the current system, which has psychologists and clinical psychologists on two different rebate levels, is financially affecting the public, consumers, and making services unaffordable for many”.
AAPi calculated that, given the significant costs for registration, insurance, professional development, supervision, equipment and administration required, the hourly income of a registered psychologist seeing five or six bulk-billing clients per day is approximately $23 per hour.
“AAPi also identified that having a two-tier system has led to professional discrimination across the MBS, employment opportunities, scope of practice and funding. AAPi further contended that:
We see this played out in places like Centrelink, where you need a report from a clinical psychologist to open up a disability support application. We're restricting consumers with a disability to the 30 per cent of psychologists who have clinical endorsement. Rather than allowing them to see someone who might have been treating them for five years to try to overcome their disability and get back into the workforce, we're asking people to go and see a clinical psychologist or psychiatrist for a few sessions and get a report for Centrelink. We see this is as inappropriate, and the best evidence would come from someone who's actively been trying to support them to overcome their issues.”
The Committee questioned the Department of Health on the evidence that was relied upon to establish the two-tier system. The Department of Health explained:
“the two-tier rebate system for clinical psychologists and registered psychologists under the MBS was initially implemented on advice from the psychology profession, as referenced in the 2011 final report of the Commonwealth Parliament’s Senate Community Affairs Reference Committee's Inquiry into Commonwealth Funding and Administration of Mental Health Services.”
In response to question from the committee the APS identified that at present there are not any Australian studies available that compare the outcomes between psychologists with clinical endorsement and other psychologists.
Committee Recommendations:
We are very proud to report that the Committee has recommended that the Australian Government’s evaluation of Better Access, and reform of the system, should focus specifically on:
- the viability of bulk-billing incentives available to general practitioners (GPs) being similarly made available to mental health practitioners
- the two-tier system impacts on treatment access, appropriateness and affordability of psychological care
- including psychologists with other areas of endorsement (non-clinical endorsement) on the higher rebate tier, noting that this will increase access to specialists, address non-clinical endorsement disincentives and support the diversity of the psychological workforce
- the Committee is also concerned by the lack of patient outcome and outcome evaluation for psychologists, psychiatrists and GPs in the delivery of mental health care, to guide policy decision-making and MBS rebate amounts.
- the lack of any recent Australian study proving an outcome disparity, and thus justifying the rebate distinction between clinical psychologists and other psychologists, is a concern.