FED:Cost of disability scheme under question

AAP General News (Australia)
04-08-2011
FED:Cost of disability scheme under question

By Susanna Dunkerley

CANBERRA, April 8 AAP - Lawyers have questioned the political will of governments to
deliver a national disability insurance scheme, estimated to cost taxpayers $12.5 billion
a year.

The Law Council of Australia, which represents more than 55,000 legal professionals,
says the actual cost of a no-fault scheme for severely disabled Australians is likely
to be threefold.

The council raised the concerns during a public hearing into the Productivity Commission's
draft proposal to change the current disability support system which it says is not working.

The commission has suggested two schemes to cover the cost of care and medical treatment
for people born with disability, or who acquire it through injury, accident or illness.

The National Injury Insurance Scheme will cover people who acquire catastrophic injury
from an accident, similar to state compensation schemes for people injured in motor vehicle
accidents.

While the larger, Medicare-style National Disability Insurance Scheme (NDIS) will cover
people born with significant disability, including the cost of care, respite, accommodation
and therapy.

The commission estimates 360,000 people will be covered under the scheme, which will
require at least a doubling of the $6.2 billion already spent by governments on disability
each year.

The Law Council of Australia welcomes a comprehensive national disability scheme, but
says it has a more "pragmatic" approach when it comes to the likelihood of implementation.

"Regrettably we are (not) currently in a (political) environment where there is attraction
for big ideas (or) grand schemes," the council's deputy chair Bill Redpath told the hearing
in Canberra.

The council suggests the smaller scheme be dumped, with all states and territories,
instead, be required to establish comprehensive no-fault injury arrangements.

The NDIS should then be extended to cover people not eligible for state-run schemes.

Mr Redpath questioned the commission's costings, noting that NSW spent $38 million
in 2010 supporting 390 people who had acquired severe disabilities through road accidents.

"If the cost of the NDIS is even close to that ... the required funding would be more
than triple what is estimated."

The Australian Lawyers Alliance, which advocates the rights of people injured through
the negligence of others, raised concerns about the "limited" rights of review under the
scheme.

ACT branch president Mark Blumer told the hearing an independent avenue of appeal,
for decisions on people's eligibility, was needed.

He also suggested people with mental illness be covered, regardless of how short-term
their impairment may be.

The Productivity Commission will hold further public hearings around the country in
April, before handing down its final report to government in July.

AAP sld/sb/apm

KEYWORD: DISABILITY

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