Why Do Some Doctors Charge a Gap Fee?

It can be frustrating when you hear a GP charges extra, but there’s a reason.

What’s a gap fee?

The gap fee is simply the difference between what your doctor charges and what Medicare gives back.

For example:

  • GP charges $106.
  • Medicare pays $45.05.
  • You pay the “gap” of $60.95.

Why is there a gap?

  • Medicare rebates haven’t kept up with the real cost of running a clinic.
  • GPs need to cover staff wages, rent, equipment, and rising costs.
  • Many doctors charge a gap so they can spend more time with each patient and offer better care.

What does this mean for you?

Paying a small gap often means you get more thorough, unhurried care. Some patients — like kids or concession card holders — may still be bulk billed.

Tip: Ask your clinic if you’ll have a gap fee before your visit.

FAQs

Q: Why don’t all doctors bulk bill?
A: Bulk billing pays doctors only the Medicare rebate, which hasn’t kept up with rising costs. Many clinics charge a gap to cover expenses.

Q: What is the average gap fee in Launceston?
A: Usually between $50–65 for a standard consult, depending on the clinic.

Q: Can pensioners or children still be bulk billed?
A: Yes, many clinics offer bulk billing for these groups, but it varies. Always check with your clinic.

How billing works at Health Nexus Launceston

Health Nexus Launceston is a mixed-billing practice. Children aged 12 and under, pension card holders over 65 and DVA Gold Card holders are bulk billed for consultations on weekdays between 8am and 5pm. Everyone else is privately billed, with the Medicare rebate claimed on the spot, and other concession card holders and students pay a discounted fee. See our current fees or book an appointment.

Why do some doctors charge a gap fee