More help with health and energy needed for pensioners ‘living in poverty’, seniors group says

A new special concession card offering cheaper energy and discounted health care should be offered to pensioners living in poverty using an assets and income test that precludes wealthier pension recipients, a peak advocacy group says.

Poorer pensioners need more targeted government support in areas like healthcare and energy, National Seniors Australia says.

A new special concession card offering cheaper energy and discounted health care should be offered to pensioners living in poverty using an assets and income test that precludes wealthier pension recipients, a peak advocacy group says.

National Seniors Australia says the targeted “Pensioner Concession Card Plus” it proposes could be tightly targeted at poorer pensioners, with some age pensioners receiving payments despite having high wealth through assets.

National Seniors chief advocate Ian Henschke said for many older Australians, the current Age Pension, at just under $1100 per fortnight, doesn’t cover basic necessities.

“It’s particularly dire if you’re a woman, single and rent,” Mr Henschke said.

“According to the latest OECD figures more than 20 per cent of people older than 66 are living in poverty in Australia.

Ian Henschke, chief advocate, National Seniors.

“For men it‘s 21 per cent, but for women it’s 26.2 per cent, a startling difference,” he said, noting women have lower superannuation balances and are far more likely to have no superannuation at all.

The idea of a PCC+ card, with additional benefits on top of the current Pensioner Concession Card, is a way to offer some targeted help to this cohort, National Seniors say, and also appeal to older people who value concessions as a practical measure to help ease cost of living pressure.

“Pension Concession Card Plus holders could use the new card to access extra benefits such as higher energy concessions and more affordable healthcare, including dental,” Mr Henschke said.

“An assets and income test is already used to determine pension payments. This information could be used to determine eligibility for PCC+.

“The government could give more assistance at low cost because not every pensioner would receive these benefits, only those living in poverty,” he said.

An example would be a seniors’ dental care program, with good dental health being a key to broader health outcomes. This was a recommendation of the Aged Care Royal Commission.

If government support of $500 per year for dental care was extended to all pensioners and Commonwealth Seniors Health Card holders it would cost the budget around $1.5bn a year, but if it was targeted at those who may be eligible for the Pensioner Concession Card Plus the additional cost could be as little as $250m a year, Mr Henschke said.