Modernising The Benefit Assignment Process

What’s changing? 

The Department of Health, Disability, and Ageing (DoHDA) are streamlining Medicare billing for bulk billed services and simplified billing services, with amendments made to the Health Insurance Act 1973.  

Under the Act, for a service to be bulk billed, the patient must agree to give their Medicare benefit to the clinician, and this be recognised as full payment for the service. This agreement, known as an Assignment of Benefit, has been required to be captured on a standardised paper form (generated in Bp Premier when clicking ‘Print’ on a bulk-billed invoice) up until 1 July 2026. 

The following changes are taking place: 

• • The existing workflow for the paper-based Assignment of Benefit processes will have an electronic replacement 

• • An updated paper-based workflow will be made available 

• • Additionally, pre- or post-assignment of benefits will be enabled, meaning that a patient does not need to assign their benefit during the attendance. 

When is this change coming? 

The commencement of the new Assignment of Benefit processes for all Medicare bulk-billed and simplified billing services will take effect 1 July 2026. 

These processes represent some of the most significant changes to Medicare since it’s inception, and are set to modernise and streamline the bulk bill claiming processes for now and into the future. 

Why is it occurring? 

In short, the current system is less than perfect. Providers must store large volumes of records, patients only have the option to sign forms physically, and the existing Assignment of Benefit process is not fit for purpose anymore.  

In addition, you may recall that during the pandemic some temporary guidelines were issued for doctors on MBS telehealth items. These guidelines stated that patients could verbally consent to assign a benefit during their consultation with their doctor in certain situations. 

While necessary for the unique situation at the time, upon review by the Australian National Audit Office in 2023, many potential legal defects were exposed in the requirements for patients to give a physical signature since the widespread adoption of telehealth during the pandemic. 

This prompted a deeper dive into the process and how it could be modernised and improved for today’s practices. 

What does this change hope to achieve? 

Modernising the Assignment of Benefit process has multiple goals: 

• • To enhance patient awareness of bulk billing 

• • To digitise the current manual and paper-based processes 

• • To improve record keeping and audit trails 

• • To increase the accuracy of Medicare claims. 

In the words of DoHDA, ‘The new benefit assignment process will reflect modern practices while still protecting Medicare’s integrity’.  

What changes for me? 

As a Bp Premier user, whether you are a provider, a nurse, a practice manager, or administrative staff, the changes coming on 1 July 2026 will have an impact on the way you conduct bulk billing.  

This means that an additional step may be added to some bulk billing workflows. Electronic forms will be generated and sent from Bp Premier for patients to assign their benefit electronically instead of only being able to do so on paper. 

Critically, when reconciling bulk bill batches with rejected services, you may need to collect a new Assignment of Benefit from the patient, when changing an MBS item number for a service, for example. 

DoHDA does note that work is ongoing on regulations to support ‘bulk billed enduring assignment agreements’, which are designed to reduce the number of times patients will need to give consent. 

Keep an eye on communications from Bp in the coming months as these workflow changes will be making their way to your inbox. 

What’s changing in Bp Premier? 

Best Practice is currently working on the templates that will be sent electronically to patients, allowing the patient to assign their benefit via SMS or email.  

If an electronic assignment of benefit is set as the practice’s default generation channel, patients will receive an SMS or email, open the form via the browser on their device, and assign their benefit. Simple as that.  

An updated paper-based workflow is coming in the near future, with more information to be provided nearer to the commencement date. 

How can I learn more about the changes in Bp Premier? 

As the changes move through development and testing, our Knowledge Base will be updated regularly. Bookmark this page to keep it within reach as more information develops.