Private Health - Impact Analysis

Question

1. The IA notes the 'success metric' for the policy is the proportion of the population does not reduce by more 1% over the first two years. 2. How was the 1% figure determined? 3. How many policy holders does this represent? 4. Is this a gross or net figure (i.e. just people dropping or people joining minus people dropping?) 5. If the number of people who drop their cover exceeds 1%, does that constitute a policy failure? 6. What are the Government's plans if this occurs? 7. The IA notes the 1% as been chosen to account for the possible impacts of external factors, such as higher than expected cost of living pressures that differ from the modelled assumptions. a. Did the Department's explicitly include the recent inflation spike in its modelling assumptions? b. Did the Department explicitly include the changes to negative gearing, trusts and capital gains tax in its modelling assumptions?

Answer

Please see the attached answer.

Documents

• Question with answer (PDF) (opens in a new tab)
• DHDA SQ26-002771.pdf (opens in a new tab)