Health-Insurance and Pensions for Australia

Manawatu Times, Volume 62, Issue 236, 5 October 1937, Page 3

Health-Insurance and Pensions for Australia

^ — CONTRIBUTORY BASIS SYDNEY, Sept. 17. xne -Federal Government recently received the report of the English expert on insurance for health, old-age pensions end pensions for widows and orphans m Australia. The scheme ho iropounds covers 1,800,000 people receiving less than £365 a year. Total contributions under both health and old-age pensions schemes would be 3/- a week for men and 2/a week for women. Contributions would be shared equally between employer and employee. These contributions would later b* increased by 1/- in the case of a mar (employer 6d, employee 6d) and by ono-kalf of theso rates for women. Health Benefits, Benefits payable would be:— Free medical attendance and certain ■icdieal and surgical supplies. Sickness benefit for men of £1 a week, women 15/- a wcolc, and an additional allowance of 3/6 a week for each child less than 16. Disablement benefit for men of 15/a week, women 12/6 a week, with 3/(1 dependent allowance. Additional benefits out of valuation surpluses, such as increases in sick ness and disablement benefits, payments for dental and ophthalmic treat ment, and hospital treatment. Sickness and disablement benefits will be payable up to 65 for men and GO for women. Pensions Benefits. Widows' pensions, beginning at 12/6 a week and increasing to 15/-, payable for life or until Temarriage to the widow of an insured man, with an allowance of 3/6 for each child less than 16. Orphan’s pension of 7/6 a week for each dependent child less than 16. Old-age pension (for life). —For men, 20/- a week from 65; for women, 35/a week from 60, with 3/6 a week for each child, less than 16. Old-age pensioners would be entitled to medical benefits for life and supplementary pension would bo paid by the Commonwealth if the insurance benefit were less than the non-contributory invalid or old-age pension to which the pensioner would otherwise be ontitledAll pensions and allowances would bo paid free of means, occupational or nationality tests. Cost to Government. The cost to the Government of tne health insurance section of the schema would be about £900,000 a year for 35 years, after which grants would cease. Cost of the pensions scheme would bo £1,000,000 a year for the first five years, increasing thereafter by £500,000 a year until it reach a maximum of £10,000,000 a year in 1960, at which it would be stabilised. Non-contributory pensions would still cost the Commonwealth up to £16,000,000 a year; but in no one year, apart from the first five, would the cost of contributory and non-contribu-tory pensions to the Commonwealth bo more than if no national insurance scheme were initiated. The report recommends that the health insurance scheme should be administered through approved societies, and that all insured persons be free to join the society of his own choice. It is a vast scheme, with many possible reactions. The Lyons Government makes an appropriation in its Budget for 1937-8 of £75,000 for preliminary expenses.