Medicare Assignment of Benefit - get ready for change!

In this episode of Medicubes, hosts Chris, Kim, and Riwka are joined by Jess White (Chief Technology Officer at Best Practice) and Bec Bland (Assistant Director of Partnerships, Commercial at Best Practice) to discuss the upcoming changes to the Medicare Assignment of Benefit (AOB) process.

Providing a clear overview of what Medicare AOB is, why these legislative changes are being implemented, and how they will affect general practices.

Key Points:

• Changes to Responsibility: From 1 July, practices must securely retain evidence of patient consent for bulk billed Medicare services (AOB), making consent tracking an auditable requirement.
• Moving to Digital: Electronic and pre-assignment processes are now permitted, allowing practices to capture and store consent digitally, replacing previous rigid paper forms.
• Service Buckets: Pre-consent is tied to “basic service description” buckets (groupings of Medicare items). Only one bucket can be selected per assignment. If the billing item changes, a new assignment of benefit is required.
• Practical Impact: Practices will need to update workflows, train clinicians to finalise billing at the time of service, and set up clear patient communication, especially about responding to electronic consent requests.
• Exception Handling: Software features will help identify and manage cases where new AOBs are needed, but unreturned patient consent may delay processing and affect payment timelines.
• Recommendations: Practices can start with paper forms if needed and phase in digital solutions, focusing first on ensuring team and patient understanding and robust exception processes.

Recent changes:

• From July 1, verbal consent will be available in all settings for 12 months.
• Enduring assignment of benefit will be an option for all MyMedicare registered patients, residents of aged care facilities and patients attending Aboriginal Community Controlled Health Organisations (ACCHOs) from 1 July 2026 – brought forward from April 2027.
• Patients attending ACCHOs will be able to have enduring assignment at multiple sites.
• Providers and software vendors that have already prepared or are preparing for the new arrangements, including through digital solutions, should continue that work.
• Compliance will not commence until regulatory changes are complete and will begin with prevention and education.
• There will be a 12-month transition period, during which there is a commitment to work with the profession on the changed approach and explore other options to further reduce the administrative burden on both GP practices and patients while ensuring the integrity of Medicare is maintained.

Links & Resources:

• https://bestpracticesoftware.com/blog/modernising-the-assignment-of-benefit-process/
• https://try.hotdoc.com.au/aob-changes-2026
• https://www.health.gov.au/our-work/improving-the-assignment-of-benefit-process?language=en
• https://www.cubiko.com.au/resources/preparing-your-practice-for-the-new-assignment-of-benefit-changes/
• https://www.racgp.org.au/advocacy/advocacy-resources/assignment-of-benefit-and-signature-requirements?fbclid=IwY2xjawSgPl9leHRuA2FlbQIxMABicmlkETFvNzRiU3IwWnQ4Ym50Qncxc3J0YwZhcHBfaWQQMjIyMDM5MTc4ODIwMDg5MgABHmigQFWPBc2MrnXMi0XMdG4d_H1EGVPjav6rwvh3CglzMhcxPW1Tpxlpoy04_aem_nxOqB8--oSozjRj0i87ptA

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