Senate rejects health rebate means-test

The federal government's bid to means test the 30 per cent private health insurance
rebate has been rejected by the Senate.

Labor's bill proposed to means test and reduce the rebate for individuals earning
more than $75,000 a year and couples earning more than $150,000 a year.
A Senate vote on the legislation was tied 34 votes to 34.
In the event of a tie, a bill is defeated.
Family First senator Steve Fielding and independent senator Nick Xenophon sided with
the coalition to quash the bill.
Senator Fielding said means testing the private health insurance rebate would be a
burden on many families' budgets.
"I won't be voting in favour of this bill unless more is done to help families
rather than undermine them," he told parliament on Tuesday.
Labor frontbencher Kim Carr said if Australians wanted to enjoy access to
world-class health care, there had to be major changes to the system.
"The cost of the rebate has ballooned over the past decade from about $1.5 billion
in 1999 through to 2000, to $4 billion last year," he said.
"It is the government's view that such an increase is unsustainable."