Government Delays and Expands Transition for New Medicare Assignment of Benefit System

Government Delays and Expands Transition for New Medicare Assignment of Benefit System

22 Jun 2026

The Assignment of Benefit system is designed to digitise Medicare billing by replacing existing paper-based processes with electronic options. The goal is to improve transparency for patients and strengthen the integrity of Medicare payments.

In response to concerns raised by stakeholders, including Primary Health Networks, the Department of Health, Disability and Ageing has confirmed regulatory changes to support a 12-month transition period.

Under the updated arrangements, verbal consent will be accepted across all healthcare settings for one year from the start date, allowing providers additional time to adjust to the new system.

The Government has also brought forward the introduction of “enduring” assignment of benefit agreements for eligible patients. From 1 July 2026, this option will be available to MyMedicare-registered patients, aged care residents, and patients attending Aboriginal Community Controlled Health Organisations, instead of the previously planned April 2027 rollout.

Patients attending Aboriginal Community Controlled Health Organisations will also be able to enter into enduring agreements across multiple sites.

The Department has advised that providers and software vendors already preparing for digital changes should continue their work. It also confirmed that compliance activity will not begin until the updated regulatory framework is fully in place.

During the transition period, the Government says it will focus on education and support for healthcare providers while working to reduce administrative burden and maintain Medicare system integrity.

The Department of Health continues to update its Frequently Asked Questions document to clarify how the changes will operate in practice.

Government Delays and Expands Transition for New Medicare Assignment of Benefit System

Source: Department of Health, Disability and Ageing