Health and Other Services (Compensation) Care Charges Act 1995
Act No. 131 of 1995 as amended
This compilation was prepared on 3 October 2003
taking into account amendments up to Act No. 84 of 2003
The text of any of those amendments not in force
on that date is appended in the Notes section
The operation of amendments that have been incorporated may be 
affected by application provisions that are set out in the Notes section
Prepared by the Office of Legislative Drafting,
Attorney‑General’s Department, Canberra

  

Contents
1	Short title [see Note 1]	1
2	Commencement [see Note 1]	1
3	Interpretation	1
4	Application of this Act to events occurring before the commencement of the Health and Other Services (Compensation) Act 1995	1
5	Charge on compensation in respect of reimbursements for professional services	2
6	Charge on compensation amounts in respect of past payments of medicare benefit	2
7	Charge on compensation in respect of reimbursements for nursing home care or residential care	5
8	Charge on compensation in respect of past payments of nursing home benefit or residential care subsidy	6
Notes	9

An Act relating to charges in respect of certain compensation payments

1  Short title [see Note 1]
		This Act may be cited as the Health and Other Services (Compensation) Care Charges Act 1995.
2  Commencement [see Note 1]
		This Act commences on the day on which the Health and Other Services (Compensation) Act 1995 commences.
3  Interpretation
		Unless the contrary intention appears, expressions used in this Act have the same meanings as in the Health and Other Services (Compensation) Act 1995.
4  Application of this Act to events occurring before the commencement of the Health and Other Services (Compensation) Act 1995
	(1)	This Act only applies in relation to an amount of compensation fixed by a judgment or settlement if the judgment or settlement is made on or after the day on which the Health and Other Services (Compensation) Act 1995 commences.
	(2)	This Act only applies in relation to an amount of compensation payable under a reimbursement arrangement if the reimbursement arrangement was made on or after the day on which the Health and Other Services (Compensation) Act 1995 commences.
	(3)	This Act applies in relation to such a judgment, settlement or reimbursement arrangement even if it is made in respect of an injury that occurred before that day.
	(4)	In its application in respect of an injury that occurred before that day, this Act is capable of applying in relation to a particular payment of an eligible benefit whether the payment was made before, on or after that day.
5  Charge on compensation in respect of reimbursements for professional services
	(1)	This section applies if:
	(a)	a reimbursement arrangement has been made in respect of an injury to a compensable person; and
	(b)	the person is entitled, under the reimbursement arrangement, to compensation by way of reimbursement of expenses as those expenses are incurred, being expenses relating to the professional services rendered to the person in the course of treatment of, or as a result of, the injury.
	(2)	If:
	(a)	medicare benefit has been paid in respect of a professional service rendered to the person; and
	(b)	under the reimbursement arrangement, the person is entitled to reimbursement of the whole or any part of the amount payable for the service;
there is payable to the Commonwealth a charge, in respect of the compensation, of an amount equal to the medicare benefit.
	(3)	The charge is payable by the person entitled to the reimbursement.
	(4)	This section has effect only so far as it is a law imposing taxation or dealing with the imposition of taxation within the meaning of section 55 of the Constitution.
Note:	So far as this section would not be a law imposing taxation or dealing with the imposition of taxation, see section 7 of the Health and Other Services (Compensation) Act 1995.
6  Charge on compensation amounts in respect of past payments of medicare benefit
	(1)	Subject to subsections (2), (3), (6) and (9), if:
	(a)	an amount of compensation is fixed under a judgment or settlement made in respect of an injury to a compensable person; and
	(b)	medicare benefit has already been paid in respect of a professional service rendered to that person in the course of treatment of, or as a result of, the injury; and
	(c)	a liability has not already arisen under section 5 in respect of that payment of medicare benefit;
there is payable to the Commonwealth a charge, in respect of the compensation, of an amount equal to the medicare benefit.
	(2)	Subject to subsection (3), if:
	(a)	the judgment or settlement fixes the amount of compensation on the basis that liability for the injury should be apportioned between the compensable person and the compensation payer; and
	(b)	as a result, the amount of compensation is less than it would have been if liability had not been so apportioned;
the amount payable to the Commonwealth under subsection (1) is reduced by the proportion corresponding to the proportion of liability for the injury that is apportioned to the compensable person by the judgment or settlement.
	(3)	If:
	(a)	the amount of compensation is fixed by a judgment that specifies an amount (the past medical care component), being a portion of the amount of compensation, to be a component for the medical expenses already incurred relating to the injury; and
	(b)	the amount that, apart from this subsection, would be payable to the Commonwealth under this section exceeds the past medical care component;
the amount payable under subsection (1) is taken to be the past medical care component.
	(4)	The charge is payable by the compensable person.
	(5)	This section has effect only so far as it is a law imposing taxation or dealing with the imposition of taxation within the meaning of section 55 of the Constitution.
Note:	So far as this section would not be a law imposing taxation or dealing with the imposition of taxation, see section 8 of the Health and Other Services (Compensation) Act 1995.
	(6)	Subject to subsections (7) and (8), and section 37 of the Health and Other Services (Compensation) Act 1995, this section does not apply if:
	(a)	the notifiable person in relation to the claim for compensation concerned has entered into a bulk payment agreement with the Commission; and
	(b)	the notifiable person has complied with all the conditions of the bulk payment agreement; and
	(c)	an amount of compensation is fixed under the judgment or settlement during the period of the bulk payment agreement; and
	(d)	the judgment or settlement determines all the outstanding liability of the compensation payer in relation to the claim.
	(7)	Subsection (6) does not apply in relation to a judgment or settlement of a kind referred to in that subsection if:
	(a)	an amount of compensation was fixed under the judgment or settlement during the period of the bulk payment agreement; and
	(b)	at the time the judgment or settlement was made, it purported to determine all the outstanding liability of the compensation payer in relation to the claim; and
	(c)	another judgment or settlement in respect of the claim is made after the end of the period of the bulk payment agreement.
	(8)	Subsection (6) does not affect the validity of a payment of money pursuant to a notice under section 24 of the Health and Other Services (Compensation) Act 1995 if the payment occurred before the amount of compensation was fixed under the judgment or settlement referred to in that subsection.
	(9)	This section does not apply if:
	(b)	the amount of compensation fixed by the judgment or settlement is a small amount; and
	(c)	the amount of compensation so fixed is the entire amount of compensation for the injury to which the claim relates.
Note:	For small amount see section 38 of the Health and Other Services (Compensation) Act 1995.
7  Charge on compensation in respect of reimbursements for nursing home care or residential care
	(1)	This section applies if:
	(a)	a reimbursement arrangement has been made in respect of an injury to a compensable person; and
	(b)	the person is entitled, under the reimbursement arrangement, to compensation by way of reimbursement of expenses as those expenses are incurred, being expenses incurred in respect of nursing home care or residential care provided to the person in the course of treatment of, or as a result of, the injury.
	(2)	If:
	(a)	nursing home care or residential care has been provided to the person; and
	(aa)	nursing home benefit or residential care subsidy has been paid in respect of the nursing home care or residential care; and
	(b)	under the reimbursement arrangement, the person is entitled to reimbursement of the whole or any part of the amount payable for the nursing home care or residential care;
on payment of the nursing home benefit or residential care subsidy, there is payable to the Commonwealth, in respect of the compensation, a charge of an amount equal to the nursing home benefit or residential care subsidy.
	(3)	The charge is payable by the person entitled to the reimbursement.
	(4)	This section has effect only so far as it is a law imposing taxation or dealing with the imposition of taxation within the meaning of section 55 of the Constitution.
Note:	So far as this section would not be a law imposing taxation or dealing with the imposition of taxation, see section 9 of the Health and Other Services (Compensation) Act 1995.
8  Charge on compensation in respect of past payments of nursing home benefit or residential care subsidy
	(1)	Subject to subsections (2), (3), (6) and (9), if:
	(a)	an amount of compensation is fixed under a judgment or settlement made in respect of an injury to a compensable person; and
	(b)	nursing home care or residential care has been provided to that person in the course of treatment of, or as a result of, the injury; and
	(ba)	nursing home benefit or residential care subsidy has already been paid in respect of that nursing home care or residential care; and
	(c)	a liability has not already arisen under section 7 in respect of that payment of nursing home benefit or residential care subsidy;
there is payable to the Commonwealth a charge, in respect of the compensation, of an amount equal to the nursing home benefit or residential care subsidy.
	(2)	Subject to subsection (3), if:
	(a)	the judgment or settlement fixes the amount of compensation on the basis that liability for the injury should be apportioned between the compensable person and the compensation payer; and
	(b)	as a result, the amount of compensation is less than it would have been if liability had not been so apportioned;
the amount payable to the Commonwealth under subsection (1) is reduced by the proportion corresponding to the proportion of liability for the injury that is apportioned to the compensable person by the judgment or settlement.
	(3)	If:
	(a)	the amount of compensation is fixed by a judgment that specifies an amount (the past care component), being a portion of the amount of compensation, to be a component for the nursing home care expenses or residential care expenses already incurred relating to the injury; and
	(b)	the amount that, apart from this subsection, would be payable to the Commonwealth under this section exceeds the past care component;
the amount payable under subsection (1) is taken to be the past care component.
	(4)	The charge is payable by the compensable person.
	(5)	This section has effect only so far as it is a law imposing taxation or dealing with the imposition of taxation within the meaning of section 55 of the Constitution.
Note:	So far as this section would not be a law imposing taxation or dealing with the imposition of taxation, see section 10 of the Health and Other Services (Compensation) Act 1995.
	(6)	Subject to subsections (7) and (8), and section 37 of the Health and Other Services (Compensation) Act 1995, this section does not apply if:
	(a)	the notifiable person in relation to the claim for compensation concerned has entered into a bulk payment agreement with the Commission; and
	(b)	the notifiable person has complied with all the conditions of the bulk payment agreement; and
	(c)	an amount of compensation is fixed under the judgment or settlement during the period of the bulk payment agreement; and
	(d)	the judgment or settlement determines all the outstanding liability of the compensation payer in relation to the claim.
	(7)	Subsection (6) does not apply in relation to a judgment or settlement of a kind referred to in that subsection if:
	(a)	an amount of compensation was fixed under the judgment or settlement during the period of the bulk payment agreement; and
	(b)	at the time the judgment or settlement was made, it purported to determine all the outstanding liability of the compensation payer in relation to the claim; and
	(c)	another judgment or settlement in respect of the claim is made after the end of the period of the bulk payment agreement.
	(8)	Subsection (6) does not affect the validity of a payment of money pursuant to a notice under section 24 of the Health and Other Services (Compensation) Act 1995 if the payment occurred before the amount of compensation was fixed under the judgment or settlement referred to in that subsection.
	(9)	This section does not apply if:
	(b)	the amount of compensation fixed by the judgment or settlement is a small amount; and
	(c)	the amount of compensation so fixed is the entire amount of compensation for the injury to which the claim relates.
Note:	For small amount see section 38 of the Health and Other Services (Compensation) Act 1995.

Notes to the Health and Other Services (Compensation) Care Charges Act 1995
Note 1
The Health and Other Services (Compensation) Care Charges Act 1995 as shown in this compilation comprises Act No. 131, 1995 amended as indicated in the Tables below.
For all relevant information pertaining to application, saving or transitional provisions see Table A.
Table of Acts
Act	Number 
and year	Date 
of Assent	Date of commencement	Application, saving or transitional provisions	
Health and Other Services (Compensation) Care Charges Act 1995	131, 1995	14 Nov 1995	1 Feb 1996 (see Gazette 1996, No. GN2)		
Aged Care (Compensation Amendments) Act 1997	113, 1997	7 July 1997	(a)	—	
Health and Other Services (Compensation) Legislation Amendment Act 2001	150, 2001	1 Oct 2001	Schedule 2: 1 Jan 2002 (see Gazette 2001, No. GN49) (b)	—	
Health Legislation Amendment Act (No. 1) 2003	84, 2003	23 Sept 2003	Ss. 1–3 and Schedule 1: Royal Assent	Sch. 1 (item 48)	

(a)	Section 2 of the Aged Care (Compensation Amendments) Act 1997 provides as follows:
	2	This Act commences immediately after the commencement of the Aged Care Act 1997 (other than Division 1 of that Act).
	The Aged Care Act 1997 (other than Division 1) commenced on 1 October 1997 (see Gazette 1997, No. GN37).
(b)	The Health and Other Services (Compensation) Care Charges Act 1995 was amended by Schedule 2 only of the Health and Other Services (Compensation) Legislation Amendment Act 2001, subsection 2(1) of which provides as follows:
	(1)	Subject to subsections (2), (3), (4) and (5), this Act commences on a day to be fixed by Proclamation.

Table of Amendments
ad. = added or inserted     am. = amended     rep. = repealed     rs. = repealed and substituted	
Provision affected	How affected	
S. 6		am. No. 150, 2001; No. 84, 2003	
Heading to s. 7 		am. No. 113, 1997	
S. 7		am. No. 113, 1997	
Heading to s. 8		am. No. 113, 1997	
S. 8		am. No. 113, 1997; No. 150, 2001; No. 84, 2003	

Table A
Application, saving or transitional provisions
Health Legislation Amendment Act (No. 1) 2003 (No. 84, 2003)
Schedule 1
48  Application
The amendments made by this Part apply in relation to an amount of compensation fixed by a judgment or settlement if the judgment or settlement is made after the day this item commences.