The current state of Australia’s dental system and how it could impact you

Australia’s dental care system is at the centre of scrutiny with millions of people unable to access essential services. Despite significant funding, questions remain about how resources are allocated and why so many are left behind.

With over a billion dollars in federal funds, the current system reportedly fails to address the growing inequality, leaving millions of citizens without adequate oral health care. Placing a heavy financial burden on patients, the system reportedly creates a deep divide between those who can afford dental services and those who cannot.

The Grattan Institute’s health program director, Peter Breadon, has highlighted the stark reality of this disparity. As dental costs become increasingly unaffordable, many are forced to delay or forgo treatment altogether.

‘It is a big problem, and it is a growing problem as the impact of missing out on care builds up and as our population gets older,’ he said.

Unlike other health services covered by Medicare, dental care is largely excluded, resulting in patients shouldering a disproportionate share of the costs.

According to their research, the cost borne by patients for dental care is ninefold higher than for general practitioner visits and fivefold higher than for medications under the Pharmaceutical Benefits Scheme.

‘And that is why more than 2 million people say they delay or skip dental care,’ explained Breadon.

Moreover, the Australian Institute of Health and Welfare (AIHW) reports that the nation spends over $12 billion on dental services annually. Of this, individuals bear 61 per cent of the cost, health insurance funds cover 19 per cent, and the federal and state governments contribute 11 per cent and 8 per cent, respectively.

This distribution of costs has resulted in over 80,000 people resorting to hospital dental procedures in the last year alone, ‘many of which could have been avoided with good access to dental care.’

A 2023 Senate inquiry has called for a radical overhaul of the system, advocating for universal access to dental healthcare. This would involve integrating dental care into Medicare or a similar scheme, addressing the two-tiered system where only half of Australians have satisfactory oral health and access to services.

The federal government’s spending on dental services is also under scrutiny. Of the $1.36 billion allocated in 2022-23, a significant portion – approximately $825 million – reportedly went towards subsidising private health insurance premiums.

While these rebates, which accounted for more than a third of spending, are intended to alleviate the public health system, they often fail to benefit low-income individuals who cannot access public dental services.

As a result, ‘people experiencing social disadvantage are punished twice,’ says Dr Ankur Singh, the chair of the University of Sydney’s Lifespan Oral Health.

The remaining federal funds are distributed across various programs, including the Department of Veterans’ Affairs’ dental scheme, the Child Dental Benefits Schedule (CDBS), and support for state and territory public dental services.

However, even with these programs in place, there is a significant underutilisation of available resources, particularly among rural children, First Nations children, and children with disabilities.

dental costs are high
A CDBS spokesperson said ‘Work is under way to further promote the CDBS to eligible families to encourage increased take up of the scheme.’

In the 2023-24 financial, only 39.2 per cent of more than 2.4 million eligible children reportedly utilised the scheme.

Moving forward, experts like Breadon argue that the country must transition towards a universal dental scheme. While initial estimates suggest that a comprehensive plan could cost upwards of $20 billion annually, strategic exclusions and targeted investments could reduce this figure to around $7 billion.

‘Skimping on dental care is a false economy. It does lead to these long-term costs that involve people going to [the] hospital for expensive treatments that could have been avoided,’ he explained.

Meanwhile, the Department of Health and Aged Care has acknowledged the need for improvement and said that it is developing a new national oral health plan for 2025-34 to enhance oral health outcomes and reduce inequalities across the population.

In the meantime, the government continues to support dental care through funding agreements, the National Health Reform Agreement, and grants to services like the Royal Flying Doctors.

We invite our YourLifeChoices readers to share their experiences with dental care. Have you or your loved ones faced challenges accessing affordable dental services? What changes would you like to see in the system? Join the conversation below and let us know your thoughts.

Also read: Advocates slam government’s lack of action on dental report 

Floralyn Teodoro
Floralyn Teodoro
Floralyn covers different topics such as health, lifestyle, and home improvement, among many others. She is also passionate about travel and mindful living.

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