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1
EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Health and Aged Care
Health Insurance Act 1973
Health Insurance (ALK Gene Testing) Determination 2017
Subsection 3C(1) of the Health Insurance Act 1973 (the Act) provides that the Minister may,
by writing, determine that a health service not specified in an item in the pathology services
table (the Table) shall, in specified circumstances and for specified statutory provisions, be
treated as if it were specified in the Table. This Table is set out in the Health Insurance
(Pathology Services Table) Regulation which is remade each year.
Purpose
The purpose of the Health Insurance (ALK Gene testing) Determination 2017 (the
Determination) is to remake the Health Insurance (ALK Gene Testing) Determination 2015 to
amend item 73341 to reflect the listing on the Pharmaceutical Benefits Schedule (PBS) of
ceritinib to treat locally advanced or metastatic non-small cell lung cancer (NSCLC). Item
73341 funds a fluorescence in situ hybridisation (FISH) test for patients with NSCLC.
Specifically, the test is for the anaplastic lymphoma kinase (ALK) gene rearrangement, to
determine eligibility for treatment with crizotinib according to the PBS restriction. The
amended item will provide for ALK gene testing to help determine eligibility for treatment
with either crizotinib or ceritinib on the PBS. This change was recommended by the Medical
Services Advisory Committee (MSAC) at its meeting in November 2016.
Details of the Determination are set out in the Attachment.
This Determination commences on 1 February 2017.
This Determination is a legislative instrument for the purposes of the Legislation Act 2003.
Consultation
Consultation was undertaken for the original listing of item 73341 in the Health Insurance
(ALK Gene Testing) Determination 2015. The creation of the new item was considered and
agreed to by MSAC and informed by clinical experts from the Pathology Clinical Committee.
MSAC reviews new or existing medical services or technology, and the circumstances under
which public funding should be supported through listing on the MBS. This includes the
listing of new items, or amendments to existing items on the MBS. As part of the MSAC
process, consultation was undertaken with the Royal College of Pathologists of Australasia.
No consultation was undertaken on this Determination as it does not make any clinical
change to MBS item 73341 for patients or healthcare providers. The only change is to allow
testing for access to an additional medicine, ceritinib, under the PBS.
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ATTACHMENT
Details of the Health Insurance (ALK Gene Testing) Determination 2017
Section 1 – Name of Determination
This section provides for the Determination to be referred to as the Health Insurance (ALK
Gene Testing) Determination 2017.
Section 2 – Commencement
This section provides that the Determination commences on 1 February 2017.
Section 3 – Authority
This section provides that the Determination is made under subsection 3C(1) of the Health
Insurance Act 1973.
Section 4 – Definitions
This section defines terms used in the Determination.
Section 5 – Treatment of relevant services
This section provides that a clinically relevant service provided in accordance with the
Determination shall be treated, for relevant provisions of the Health Insurance Act 1973 and
National Health Act 1953, and regulations made under those Acts, as if it were both a
professional service and a medical service and as if there were an item specified in the
pathology services table for the service. The pathology services table is a table of pathology
services prescribed under section 4A of the Health Insurance Act 1973.
Schedule 1 – relevant services
This Schedule creates Medicare item 73341 for the payment of a Medicare benefit for a
genetic test to determine a patient’s eligibility to access crizotinib or ceritinib for treatment of
locally advanced lung cancer or metastatic lung cancer.
Schedule 2 – repeals
This Schedule repeals the Health Insurance (ALK Gene Testing) Determination 2015, which
created Medicare item 73341 for the payment of a Medicare benefit for a genetic test to
determine eligibility to access crizotinib for treatment of locally advanced lung cancer or
metastatic lung cancer.
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Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Health Insurance (ALK Gene Testing) Determination 2017
This Legislative Instrument is compatible with the human rights and freedoms recognised or
declared in the international instruments listed in section 3 of the Human Rights
(Parliamentary Scrutiny) Act 2011.
Overview of the Legislative Instrument
This Determination remakes the Health Insurance (ALK Gene Testing) Determination 2015
to add ceritinib to the list of Pharmaceutical Benefits Schedule (PBS) subsidised medicines
which are available for patients with locally advanced or metastatic lung cancer containing
certain genetic indicators as determined by the ALK genetic test. Currently only the medicine
crizotinib is available under the PBS as treatment in this clinical situation. This change was
recommended by the Medical Services Advisory Committee (MSAC) at its meeting in
November 2016.
The Determination takes effect from 1 February 2017.
Human rights implications
The regulations engage Articles 9 and 12 of the International Covenant on Economic Social
and Cultural Rights (ICESCR), specifically the rights to health and social security.
The Right to Health
The right to the enjoyment of the highest attainable standard of physical and mental health is
contained in Article 12(1) of the ICESCR. The UN Committee on Economic Social and
Cultural Rights (the Committee) has stated that the right to health is not a right for each
individual to be healthy, but is a right to a system of health protection which provides
equality of opportunity for people to enjoy the highest attainable level of health.
The Committee reports that the ‘highest attainable standard of health’ takes into account the
country’s available resources. This right may be understood as a right of access to a variety
of public health and health care facilities, goods, services, programs, and conditions
necessary for the realisation of the highest attainable standard of health.
The Right to Social Security
The right to social security is contained in Article 9 of the ICESCR. It requires that a country
must, within its maximum available resources, ensure access to a social security scheme that
provides a minimum essential level of benefits to all individuals and families that will enable
them to acquire at least essential health care. Countries are obliged to demonstrate that every
effort has been made to use all resources that are at their disposal in an effort to satisfy, as a
matter of priority, this minimum obligation.
Analysis
This Determination will advance rights to health and social security by increasing access to
publicly subsidised health services which are clinically effective and cost-effective.
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Conclusion
This Determination is compatible with the human rights recognised in the Human Rights
(Parliamentary Scrutiny) Act 2011.
Michael Ryan
A/g Assistant Secretary
Medical Specialist Services Branch
Medical Benefits Division
Department of Health