Aussies parents paying large Gaps for obstetric care 

Australian women who choose to have their baby delivered by an obstetrician at a private hospital are paying alarmingly high out-of-pocket fees, it’s been revealed. 

According to Private Healthcare Australia (PHA), the peak body for the health insurance industry, obstetricians are charging as much as $650 for first consultations, a significantly higher fee than that charged by other medical specialists. Pregnant women cannot claim outpatient obstetrician appointments on health insurance – only the costs of in-hospital care, notes Dr Rachel David, CEO of PHA. 

“Research shows the number one reason people don’t choose a private hospital to give birth is the out-of-pocket fees charged by obstetricians which can be up to $10,000 in major cities,” says Dr David. “Under Australian law, this is a fee that health insurance is not allowed to cover.” 

Private obstetric treatment is only covered on Gold tier policies, the most expensive level of Hospital Cover. The cost of Gold policies, coupled with high out-of-pocket fees for obstetricians, is putting private maternity care out of reach for many Aussie families, says Dr David.   

“When you add the cost of scans and pathology costs, and any out-of-pocket fees charged by an anaesthetist who doesn’t bulk bill, for example, you can see why people are opting for other models of maternity care, including free care in a public hospital during a cost-of-living crisis,” she says.  

“Health funds know the affordability of top tier private health insurance is part of this story. But it’s impossible for health funds to pay hospitals more and reduce premiums at the same time. All players need to take responsibility and look at how we can find savings to deliver more affordable private maternity care.” 

Trudie McConnochie

Writer and Researcher

Knowledge is power – that’s the guiding principle behind everything Trudie writes, and it’s a philosophy she brings to her work at healthslips.com.au. By breaking down complex information into easy-to-understand blogs and stories, she aims to empower Australians to make the best choices and an informed decision around private health insurance.

Trudie understands firsthand some of the complexity of private health insurance having moved to Australia from New Zealand and having to navigate a vastly different public healthcare system and health insurance structure.

Trudie holds a Bachelor of Communication Studies (journalism major) from the Auckland University of Technology.

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