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What's Behind the Collapse of Australia's 2nd Largest Private Healthcare Provider?
What's Behind the Collapse of Australia's 2nd Largest Private Healthcare Provider?

Epoch Times

time28-05-2025

  • Health
  • Epoch Times

What's Behind the Collapse of Australia's 2nd Largest Private Healthcare Provider?

News Analysis Analysts say the collapse of Healthscope, Australia's second-largest private hospital operator, reveals deeper structural problems with the sector. The decision to put the group into receivership raises concerns about the future of its 37 hospitals, 19,000 staff, and 650,000 annual patients. Dr. Tanveer Ahmed, psychiatrist and medical director at Kellyville Private Hospital, believes the seeds were sown during the pandemic. 'The government was basically holding up the private hospital sector through the pandemic. They effectively became guarantor of the entire system,' he told The Epoch Times. While government support during the pandemic—$1.5 billion through the Private Hospital Financial Viability Payment (FVP)—provided temporary relief, Ahmed said the cost of wages and compliance have continued to surge, while revenues have barely moved. An Issue With How Health Insurers Pay Hospitals A central point of tension lies in the pricing and profit-sharing model between hospitals and insurers. According to available data, health funds contributed over $270 million of revenue in the last two years. Related Stories 2/27/2025 12/1/2024 'The health insurers are actually making quite good profits, while the private hospitals are really struggling,' said Ahmed. The Australian Private Hospitals Association (APHA) has lobbied the government to deal with an alleged funding imbalance where insurance companies can dictate what type of pricing it wants for hospital services. According to Australian Prudential Regulation Authority data, insurers earned over $5 billion in profits over the past three years, while allegedly underpaying hospitals by $3 billion in care costs. Simultaneously, they charge $3.5 billion annually in 'management fees,' which are a portion of the premiums that are paid to insurers each year. The issue is, these fees also eat into the funds that go towards hospitals. 'When you're underpaid for services, more patients or births only increase the shortfall. It's fixable—and doesn't have to cost taxpayers a cent. What's needed is the political will to make insurers pay fairly,' said APHA CEO Brett Heffernan. Maternity Care Costs Driving Mums into Public System One of the most strained services is maternity care. Births at private hospitals have dropped from 30 percent to 19 percent over the past decade, with families preferring public services. Insurance policies frequently exclude obstetric services, even for patients with 'gold' level coverage. Many are shocked to discover they must pay up to $10,000 in out-of-pocket expenses for a childbirth. This hidden coverage gap has pushed many expectant mothers back into the public system, further burdening taxpayers. A Monash University study estimates that the cost of filling this gap could reach $1 billion annually. The federal government has pledged $16 million to support maternity services in Hobart and Gosford after recent closures, but critics argue this is merely a temporary fix. 'Wouldn't a proactive approach to fixing the funding mess in the first place have been a better way to go?' said Heffernan. '$16 million is a very expensive taxpayer band-aid applied after the fact.' Private Hospitals Need to Bear the Consequences: Health Advisor Yet some say private hospitals need to do better at managing their operations. 'A private hospital company is a business. If it can't meet its commercial and financial obligations, it needs to face the consequences,' said Terry Barnes, principal at Cormorant Policy Advice and a former health advisor in the Abbott government. 'It's easy to blame private health insurers by saying they don't pay enough for the health fund members who use private hospitals. But if an operator is in trouble through its own poor management or commercial judgment, policy holders shouldn't be expected to carry the can for what's beyond their control,' Barnes told The Epoch Times. 'Nor should taxpayers be expected to bail out financially troubled operators like Healthscope.' Barnes said the key now was to engage with banks and creditors to keep Healthscope going. Insurers Concerned About Fraud With 'No Gap' Fees Health insurers have, in turn, highlighted issues in the medical profession. In November 2024, allegations surfaced against nearly 50 doctors accused of defrauding Medicare and patients by charging under-the-table fees while claiming 'no gap' billing. 'These allegations are deeply disturbing,' said Dr. Rachel David, CEO of Private Healthcare Australia. 'You do not expect [specialists] to be financially exploiting you at your most vulnerable.' Insurers have urged patients to examine their bills and act if they suspect fraud. In one health fund survey, 31 percent of patients under 'no gap' arrangements were charged fees, and 23 percent of those under 'known gap' terms paid beyond allowable limits. A Broken System Without Transparency In November 2024, the government released a summary of its Private Hospital Sector Financial Health Check. It revealed that between 2018 and 2022, hospital expenses rose by 4.1 percent annually, outpacing revenue growth of just 2.9 percent. Hospital operators argue that the report confirms what they have long warned: the system is unsustainable. Yet the analysis was based on voluntary disclosures, and the full data remains unpublished due to confidentiality concerns. Meanwhile, contract negotiations between insurers and hospitals have dragged on with little progress. Federal Health Minister Mark Butler described Healthscope's situation as 'unique' but admitted that the broader sector faced 'challenges.'

Activist Tanveer Ahmed demands Pakistani Army's immediate exit from PoJK, calls for demilitarisation, justice
Activist Tanveer Ahmed demands Pakistani Army's immediate exit from PoJK, calls for demilitarisation, justice

India Gazette

time08-05-2025

  • Politics
  • India Gazette

Activist Tanveer Ahmed demands Pakistani Army's immediate exit from PoJK, calls for demilitarisation, justice

Muzaffarabad [PoJK], May 8 (ANI): Tanveer Ahmed, a former BBC journalist and prominent activist from Pakistan-occupied Jammu and Kashmir (PoJK), has made a bold appeal for the immediate withdrawal of Pakistani Army troops from the region. As the founder of the JKA Public Agency, Ahmed emphasised the critical need for Pakistan's demilitarisation to restore peace, justice, and democratic rights to the people of PoJK. Ahmed condemned Pakistan's continued military occupation of Jammu and Kashmir, calling it a violation of the region's aspirations. 'The presence of the Pakistani Army is not for our protection -- it is a tool of oppression. It is time Pakistan leaves our land quietly and without further damage,' he said. He also highlighted widespread concerns among residents over systemic corruption in Pakistan, asserting that 'people themselves believe no business in Pakistan can happen without corruption.' Ahmed warned against dragging PoJK into Pakistan's long-standing ideological and political agendas, especially the belief rooted since independence that Muslims must have a separate country. He accused the Pakistani state of using terror tactics, including affecting women and children, to suppress dissent and control the region. Describing Pakistan as 'a burden on earth,' Ahmed reiterated that demilitarisation is the first and most crucial step toward genuine peace and autonomy for the region. 'We cannot allow more innocent lives to be lost in the name of Pakistan's agendas. The people of PoJK have a right to live with dignity, free from military domination.' Ahmed's call has resonated with many in PoJK who are increasingly vocal about the region's need for self-determination and a peaceful future. Grave injustices have been faced by the people of PoJK, including political suppression, lack of basic rights, economic exploitation, and denial of freedom of expression. These injustices have kept the region in a constant state of fear and underdevelopment. The government's militarised control has stifled development and silenced the democratic aspirations of the local population. (ANI)

Former Pakistan cricketer makes shocking claim on IPL, BCCI; says ‘biggest fixing happens…teams are with the fixers'
Former Pakistan cricketer makes shocking claim on IPL, BCCI; says ‘biggest fixing happens…teams are with the fixers'

Mint

time23-04-2025

  • Sport
  • Mint

Former Pakistan cricketer makes shocking claim on IPL, BCCI; says ‘biggest fixing happens…teams are with the fixers'

A day after Rajasthan Royals were accused of match-fixing in the ongoing Indian Premier League (IPL), former Pakistan cricketer Tanveer Ahmed has made a shocking claim that most of teams in the world's richest franchise league belonged to fixers. Ahmed, a former fast bowler, who played just five Tests, two ODIs and a lone T20I for Pakistan admitted that IPL can be the biggest league in the world but is also a hub for match-fixing. Taking to X, Ahmed took a dig at the BCCI and IPL. "BCCI bolta ha humari IPL duniya ke sab say bari league ha han woh tou ha lekin fixing bhi sab say bari hote ha ziyada tar tou team's fixer's kay pass hain (BCCI tells that our IPL is the biggest league in the world. Yes that it is but the biggest fixing also happens and most of the teams are with the fixers)," said the former left-arm pacer. Earlier on Tuesday, Rajasthan Royals were accused match-fixing by the convenor of the ad hoc committee of Rajasthan Cricket Association (RCA), Jaideep Bihani, after their narrow two-run loss against Lucknow Super Giants (LSG) in IPL 2025. Meanwhile, Rajasthan Royals denied all accusations, calling them 'completely false and baseless' and demanded strong action against Bihani. The BCCI also reacted to the matter. 'The RCA is currently dissolved. An ad-hoc committee has been formed, and with the elections approaching, there is a lot of drama. Everyone wants attention,' a BCCI official as quoted as saying to TOI. "The BCCI has an anti-corruption unit working 24x7 to keep bad elements away from the game. There is no truth to these allegations," he added. Stay updated on all the action from theIPL 2025. Check theIPL 2025 Schedule, track the latestIPL 2025 Points Table, and follow the top performers with theOrange Cap andPurple Cap. First Published: 23 Apr 2025, 06:11 PM IST

Trump's aid cut threatens water scheme in sweltering Jacobabad
Trump's aid cut threatens water scheme in sweltering Jacobabad

Express Tribune

time21-02-2025

  • Climate
  • Express Tribune

Trump's aid cut threatens water scheme in sweltering Jacobabad

Listen to article In Jacobabad, one of Pakistan's hottest cities, rising temperatures and dwindling water supplies are pushing the community toward a crisis. Sun-scorched Jacobabad often exceeds 50 degrees Celsius (122 degrees Fahrenheit) during intense heatwaves, leading to critical health issues such as dehydration and heatstroke. Jacobabad's municipal water system, funded in part by a $66 million USAID grant in 2012, provides essential clean water to around 350,000 residents. The project pumps 1.5 million gallons of purified water daily from a canal located 22 kilometers (14 miles) away, helping to alleviate the pressures of severe water scarcity. However, the freeze on US foreign aid, which includes $1.5 million designated for the project's continued operation, now threatens the entire infrastructure, leaving the community vulnerable. HANDS, the Pakistani non-profit overseeing the project, warned that without this critical funding, the water system could shut down within months. 'Since everything is just suspended, we have to withdraw our staff, and the project will likely cease functioning,' said HANDS CEO Shaikh Tanveer Ahmed. The freeze has left the local government in charge, but with little capacity or expertise to manage such an intricate system. Jacobabad's vulnerability to climate change is becoming more severe. Recent weather reports show that rainfall in Sindh province is down 52%, and the city faces a moderate drought in the coming months. For residents like Tufail Ahmed, access to clean water is not just important; it's essential for survival. 'If the water supply is cut off, survival will be challenging,' said Ahmed. 'Water is the most essential thing for life.' The freeze on US aid comes at a time when Jacobabad, like much of Pakistan, is increasingly affected by climate change. Pakistan, which contributes less than 1% of global greenhouse gas emissions, is one of the nations most impacted by rising temperatures and extreme weather events. With heatwaves becoming more frequent and intense, Jacobabad's reliance on water supply systems funded by international aid has never been more critical. Before the city's municipal system, many residents had to rely on private donkey-drawn tankers, which charge up to 10 times more than the local water service. These tankers often deliver water contaminated with harmful substances like arsenic. As 18-year-old student Noor Ahmed recalls, 'Before, our women had to walk for hours to collect water. Now, we have a reliable supply.' However, with the potential end of the water supply looming, Abdul Ghani, a local activist, warned that cutting off the project's funding would have dire consequences. 'If the supply is cut off, it will severely affect the public. We cannot afford alternatives,' he said. This crisis highlights the broader impacts of US foreign policy decisions on global climate adaptation efforts. The aid freeze underscores the fragility of global partnerships, particularly for countries on the frontlines of climate change, like Pakistan. Without continued support, communities in Jacobabad and similar cities may be left to face the devastating effects of climate change without the necessary resources to cope. 'This water supply cannot be stopped,' said Sadruddin Lashari, a 55-year-old local resident. 'Without it, we will struggle to survive the heat.' As Jacobabad fights to maintain its water supply, the urgent need for continued international support is clear. The situation serves as a stark reminder that climate change requires global cooperation, and foreign aid is critical for helping vulnerable communities like Jacobabad adapt and survive.

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