Ministers urged to take action over visa insurance issue

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Created on Monday, 20 August 2012 09:09

Written by Editorial staff

Some public hospitals across Australia are expressing concerns that 457 visa holders and international students are taking advantage of the public system, with state governments urging that the federal government enforce the insurance requirements of this type of visa.

In a report published in today's edition of The Australian (August 20), writer Sean Parnell revealed that the issue will likely "come to a head" later in the year.

Already, public hospitals in Queensland, Victoria and New South Wales have provisions in place to prevent themselves from being taken advantage of by migrant workers - but according to documents obtained by the newspaper under Freedom of Information laws, health minister Tanya Plibersek had been told by some international students that state responses to the treatment of non-residents was "racially biased".

This was especially thought to be the case when the students met their health insurance requirements or were eligible for Medicare under a reciprocal agreement with their home country.

Now, the Australian reports, the Victorian government is calling on prime minister Julia Gillard to take measures to ensure that all foreign individuals who need private health cover meet their minimum insurance requirements.

Victoria has been addressing the issue by charging upfront fees for any patient who is not eligible for Medicare. It is now preparing a report for all state health ministers on the potential for insurance and immigration reforms - and a spokeswoman for Victorian health minister David Davis is calling for intervention at the vederal level.

It is thought that the dispute over migration-related healthcare costs could add complications to the federal government's response to calls to ease immigration restrictions for foreign nationals who have health conditions.

Anyone who holds a 457 visa - including primary applicants, their partners and their dependents - who are not eligible to access Medicare via a reciprocal agreement, are required under condition 8501 to maintain "adequate" health insurance for the length of their entire stay in Australia.

According to the Department of Immigration and Citizenship, this cover "must be at least as comprehensive as the minimum level of coverage required under the subclass 457 visa program" - or in other words, equivalent to at least the minimum Medicare standards.

Migration agents will be aware that 457 visa applicants must provide evidence that they have arranged for adequate private health insurance cover, which usually takes the form of a letter from their insurer.