<\/span><\/h3>\nThe Health Insurance (Amendment Act) 2007 provides that a risk equalisation scheme is to apply to registered health insurance providers and providers that have ceased to be registered providers.\u00a0 The former three-year exemption from risk equalisation for new entrants to the market is repealed,<\/p>\n
The Health Insurance (Miscellaneous Provisions)Act \u00a02009 followed the Supreme Court judgment that found the risk equalisation scheme to be outside the powers of the Authority under the legislation.\u00a0 The result was that the market was vulnerable to different prices for persons in different risk categories.<\/p>\n
This was perceived to fail to support intergenerational solidarity.\u00a0 Insurers were incentivised to design products attracted only to persons with healthier lives, which was perceived to undermine solidarity and the protection of the common good.<\/p>\n
The legislation reaffirmed the objectives of the Health Insurance Acts, including ensuring access to medical insurance coverage for all consumers without differentiation in respect of age or health status, enhancing intergenerational solidarity, community-rated health insurance and related measures.<\/p>\n