Applied and the insurers reckon the cost of private medicine could be reduced by a billion dollars over four years but for the government price list that favours a handful of manufacturers who have dominated the industry for decades.

Brisbane surgeon Andrew Stevenson prefers to use a $99 disposable laparoscopic clip applier manufactured by California-based Applied Medical when he operates.

But his private patients and their health insurers are forced to pay $412 for the device by a federal Department of Health price list – over which Applied is suing Health Minister Sussan Ley.

The clip applier is one of thousands of implanted devices that cost private insurers and their patients as much as $700 million more each year than they do in comparable countries such as France, Britain and the US, health insurers say. 

Backed up by the Harper review of competition, insurers reckon the cost of private medicine could be reduced by a billion dollars over four years but for the government price list, which favours a few manufacturers who have dominated the industry for decades.

For more details, go to: http://www.afr.com/brand/healthcare2-0/medical-implant-reform-could-save-private-patients-millions-20150514-1mvdkb