NOTICE OF TERMINATION OF AHSA CONTRACT

Macquarie Hospital Group has issued the Australian Health Service Alliance (AHSA) to terminate the Business Partnership Agreement between the two parties. A list of private health insurers who are AHSA member funds is detailed below.

Macquarie’s contract with AHSA will end at midnight on 16 March 2026 unless the parties reach a new agreement. Patients booked before this date will not be affected. Macquarie will continue to accept AHSA member fund benefits for approved treatment in accordance with the transition requirements under the Business Partnership Agreement and as required by law. After the transition period, AHSA patients will need to pay an upfront amount on admission covering the difference between AHSA’s statutory default benefit and Macquarie’s treatment costs.

Macquarie Hospital Group Chief Executive, David Wenkart said that Macquarie had not reached agreement on new contractual arrangements, which may affect members of AHSA funds seeking access to Macquarie hospitals.

Macquarie was left with no viable alternative after AHSA repeatedly refused to recognise the substantial cost increases facing Macquarie hospitals and the private hospital sector, and to fairly compensate Macquarie’s full network of facilities. AHSA’s position places unreasonable pressure on Macquarie at a time when private hospitals are under substantial strain.

Mr. Wenkart said “Macquarie is doing everything possible to remain stable amid unprecedented cost escalation, workforce shortages and rising demand. Every other health fund has negotiated responsibly and collaboratively. Unfortunately, AHSA has adopted a hostile and rigid approach that is out of step with sector expectations.”

“Macquarie still hopes to reach agreement with AHSA prior to the contract termination date.”

Macquarie has agreements with all other major private health insurers and will keep AHSA patients informed and outline their options, including the ability to change health funds under portability rules.

For any questions, please contact [email protected].

AHSA Member Funds

About Macquarie Health Corporation Macquarie Health Corporation is one of Australia’s leading boutique private hospital groups, operating 12 facilities across New South Wales and Victoria. Specialised in rehabilitation, surgery, and mental health, Macquarie Health is committed to a “patient-first” model characterised by high staffing ratios and state-of-the-art technology.

Affected Facilities: