Changes to Health Targeting

Paul Stocks

The Interim Targeting Regime (ITR) was introduced in 1992 as a means of directing health subsidies (via the Community Services Card) to those families with the greatest need, on the basis of family income and composition.

Work subsequently began on a replacement for this interim scheme. The idea of a more finely tuned Family Accounts/global stop-loss system was rejected, and in May 1993 the ITR was replaced with the Health Targeting Regime (HTR).

This paper outlines the ITR and considers the problems and anomalies with it. It then considers the changes made to develop the HTR and shows how the new regime has addressed key concerns with the ITR. In the medium term it has not proved feasible to move to a more accurate (but more unwieldy) targeting system for personal health care while still retaining access for all. The Government has instead decided to focus on simplicity and ease of access. The compression to two charge groups (those with either a Community Services Card or High Use Health Card and those without) and schedules, coupled with the movement of more families into a higher subsidy group and increased assistance for children, is aimed at meeting these objectives.