29 October 2021 - information sent to care home residents and whānau

Dear Care Home residents, families and whānau,

Following the announcement of four community cases of COVID-19 in Christchurch, in an abundance of caution, to make sure we keep our residents safe, we have decided to close our Christchurch Care Homes (including Rangiora) to all external visitors, effective from 11.59pm tonight, Friday 29 October.

The only exceptions are visits to residents in end-of-life or palliative care or visits for compassionate reasons. Please let me know if you’d like to arrange a visit in these circumstances.

The Government continues to gather information on these new cases to identify close contacts and any locations of interest. There have already been 13 Christchurch locations added to the Ministry of Health list. Please regularly check these and if you have attended one of the listed locations during the relevant timeframes, follow Ministry of Health advice.

This decision will be reviewed on Monday 1 November once we have received more information from the Government and have a clearer picture of the outbreak in Christchurch.

We understand this has been sudden and has an impact on our residents, their whānau and our people, however we ask for your understanding and patience as we manage this situation together.

In the meantime, we will have digital devices available for our residents so that they can stay connected with their families.

Please don’t hesitate to reach out to me if you have any questions.

Stay safe. Kia kaha

Revenue 

Underlying profit¹ 

FY 2019 

$8.6 billion 

$294 million 

FY 2018 (CER)² 

$8.3 billion 

$560 million 

% growth (CER) 

3% 

(47%)  

In Australia and New Zealand, difficult market conditions continued from the prior year. Revenue increased by 3% year-on-year to $8.6 billion, while underlying profit decreased by 47% at constant exchange rates, largely as a result of margin pressures in health insurance and challenges in our Australian aged care businesses. In addition, there were non-underlying items of $305 million, including $320 million relating to the impairment of goodwill in our Australian aged care business.  

Revenue in our Australian health insurance business was stable but underlying profit decreased by 32% on 2018. This was largely driven by increased claims inflation and volumes which significantly exceeded government approved premium increases, together with lower growth in younger customers taking up insurance as well as significant investment in information technology to enhance, security, privacy and digital services. The full impact was partially mitigated by cost efficiency initiatives. The full year Combined Operating Ratio (COR) of 94% increased by 2ppts (2018: 92%). Despite this, we maintained our position as one of the largest health insurers in Australia, with 26% market share in domestic lives insured. Customer numbers remained in line with 2018 at 4 million. Net Promoter Scores and customer retention significantly improved as a result of our focus on enhancing customer experiences through process and system changes, and more effective communications. We are committed to delivering value for money for customers, addressing affordability issues and reducing out-of-pocket costs, while also supporting further health insurance reform. Our Health Services business delivered strong year-on-year customer and revenue growth.The new Australian Defence Force contract and continued growth in our dental business through clinic acquisitions and greenfield developments contributed to this result.  

Revenue in our Australian aged care business was down, and underlying profit also decreased significantly, driven by lower occupancy and higher operating expenses. Our closing occupancy rate of 83% was 9ppts lower than the same period last year. The number of care homes operating under regulatory sanction during 2019 decreased from a maximum of 15 to five at the end of the year. We continue to work closely with the Department of Health and the aged care regulator, while investing significantly in improved care and support for our residents and their families. During the year, we engaged with the Royal Commission into Aged Care Quality and Safety, which is examining the entire aged care system to deliver improvements for residents now and in the future. The Commission’s interim report was delivered in October.  

Our New Zealand aged care business performed in line with expectations with our continued investment in new integrated care homes and villages developments. Revenue decreased on last year reflecting the impact of some divestments made in 2018, while lower like-for-like occupancy and higher staffing costs decreased underlying profit. At year end, our occupancy rate was 89%, down 2ppts on last year. 

Click under downloads at the top right of the page to see the results.

¹ Underlying profit includes:
- Amortisation of intangible assets and goodwill arising on business combinations
- Restructuring costs - Gains and losses on disposal of fixed assets, and
- Gains and losses on disposal and transaction costs within underlying profit if immaterial from either a quantitively or qualitative basis 
Underlying profit excludes:
- Impairments of intangible assets and goodwill arising on business combinations
- Net gains/(losses) on disposal of businesses and transaction costs on business combinations
- Net property revaluation gains/(losses)
- Other Market Unit non-underlying items
- Other material one-off non-underlying items
² CER = Constant Exchange Rate

The scholarship valued at $10,000 will contribute to covering the costs associated with completing Trenae’s Bachelor of Exercise Science and a Bachelor of Psychological Science degrees at Griffith University as well as her broader personal development goals.

The Dr. Evelyn Scott Scholarship is awarded annually by Bupa to honour the legacy of Dr. Scott, a resident of Bupa Mt Sheridan and a proud Indigenous leader who spent her life fighting for rights of all peoples.

Like Dr. Scott, Trenae was recognised as a strong advocate and supporter of her community. Along with working as an Indigenous Teacher Aide at Helensvale State High School, Trenae mentors Aboriginal and Torres Strait Islander high school students in the Gold Coast and Logan area through her involvement with AIME. As a mentor she visits local schools once a week to offer academic and social support to students.

Trenae said she will use the scholarship to help her cover the cost of university and support her ambition of volunteering overseas.

"I was in shock when I received the call from Bupa congratulating me. I burst into tears and called my parents straight away. This scholarship means so much to me and will open up a world of opportunities for my personal, educational and professional development."

“The scholarship will also allow me to regularly return to Cairns to visit my family without the stress of managing travel costs from the Gold Coast where I study,” said Trenae.

Trenae has also gained high-level industry experience through the completion of a summer internship at Bupa as part of its indigenous CareerTrackers program.

Bupa Cindy Shay, Bupa’s Director of Health Partnerships & Innovation congratulated Trenae on her outstanding achievements in the community and the workplace.

“Trenae is an outstanding individual who embodies the values of Dr. Scott and we were incredibly grateful to have her intern with us at Bupa.”

“We’re passionate about supporting future female leaders and providing education and employment opportunities for Aboriginal and Torres Strait Islander people. It’s a privilege to be able to honour Dr Scott’s legacy by supporting talented students like Trenae.” said Ms Shay.

This is the second year Bupa has offered the scholarship, with Keisha Nash, a Monash Medical School student, the first recipient in 2019. In addition to supporting the costs associated with study, Keisha used her scholarship to complete a two-week placement at

Thursday Island hospital and has been invited back this year to continue her learning through the John Flynn Rural Placement Scholarship Scheme.

More information on the Dr Evelyn Scott Aboriginal and Torres Strait Islander Higher Education Scholarship is available here.

A launch opening occurred on 2 June, with extended trading hours and activities including a balloon artist and the Tooth Fairy to engage with the local community within the retail centre.

“The purpose of a multi-cultural store like this, is to help deliver a tailored service experience for the culturally and linguistically diverse people of Sunshine,” Ms Honnie Donders, General Manager Bupa Health Insurance, said.

“The store has been designed to feel relaxed and inviting, it includes English and Vietnamese messaging, and the usual Bupa branding has been re-coloured to red to connect with Sunshine’s multi-cultural community.

“Bupa has 15 dedicated Capturing Multicultural Australia retail stores across the country, which are equipped with the knowledge and expertise to deliver on our promise of being a trusted health and care advisor,” Ms Donders said.

The new health insurance store is located at 80 Harvester Road, Sunshine, Victoria 3020 or call 134 135.

The majority of doctors are doing the right thing financially by their patients, but the program has revealed the huge impact of those that aren’t.

Bupa’s Managing Director of Health Insurance Dr Dwayne Crombie says the report highlights the behaviour of a significant minority in the private system. 

“The only way things will change is if consumers put pressure on doctors. They can’t ignore that. People should refuse to patronise those who overcharge.”

Patients should know how much a doctor charges, before a procedure or medical appointment occurs.

These costs should be provided in writing, and in advance by the doctor. Patients should feel encouraged to ask the doctor to explain all costs.

Any out of pocket costs, such as doctors' fees or hospital fees, must be explained in advance.

This is a critical component of informed financial consent.

The out of pocket fees doctors charge for a procedure undermine the value private health insurance provides.

If customers are forced to pay out of pocket gaps because a fee is high, it’s not unreasonable for people to question what benefit insurance provides them, without realising where the cost is coming from and why they are having to pay it.

“Never be afraid to get a second opinion,” says Dr Crombie, “people shouldn’t be emotionally pressured when they are sick and vulnerable.“

As the program explained, private health insurance is legislated as to what it can cover and charges outside of this framework leave patients annoyed.

What can you do?

Check first.

Health insurers like Bupa list No Gap providers on their websites.

Don’t be afraid to talk money. It’s yours after all.

Speak to your doctor or specialist prior to any procedure. If you think a quoted out of pocket cost is too high, ask why.

If you’re not happy with the response to your questions, you can speak to other doctors, or call your health insurer.

In a randomized clinical trial of 824 women, the rate of live births was 18.3% among women who received acupuncture vs 17.8% among women who received a sham acupuncture control, showing no significant difference in birth rates between the two groups of women.

This statistic suggests acupuncture had no significant effect.

The trial, published in the Journal of the American Medical Association (JAMA) was conducted in Australia and New Zealand by Caroline Smith, Professor Clinical Research, Western Sydney University, Robert Norman, Professor of Reproductive and Periconceptual Medicine, University of Adelaide and Michael Chapman from IVF Australia.

 Professor Chapman told Australian Doctor, IVF clinics should review their marketing of acupuncture.

“Fertility patients are very vulnerable to any suggestion of anything that might improve their chances of pregnancy.”

“There are substantial numbers of acupuncturists in the community that are advertising themselves as fertility specialists and this study, along with many others, is not supportive of that.” 

Professor Chapman says as many as 15% of women undergoing IVF are getting acupuncture, which is only covered by Medicare when administered by a medical doctor. It is also covered by many private health insurance extras policies.

"These findings do not support the use of acupuncture when administered at the time of ovarian stimulation and embryo transfer to improve the rate of live births."

Study limited

"Fertility services can already be a financial burden on couples hoping to conceive. There is no sense adding to those expenses when the evidence is that acupuncture doesn’t help” suggested Dr Stan Goldstein of Bupa.

However Dr Goldstein also clarified that there are a number of health problems for which there is good evidence that acupuncture is helpful; this study was only about whether or not you could use acupuncture to improve fertility outcomes.

"For this reason, any protests from acupuncturists relating to the broader potential for acupuncture are not helpful and somewhat misleading in this discussion.

"There should be no problem in accepting that it is a treatment that works for some things, but not for everything."

Stress reduction shown

Experiencing infertility and undergoing fertility treatment can be a stressful time for women. Acupuncture has been shown to improve mental and emotional wellbeing, increase relaxation and improve psychological coping during IVF treatment.

Previous research has also found an association between acupuncture and lower levels of stress and anxiety and increased pregnancy among women undergoing IVF.

Acupuncturists back its benefits

The Australian Acupuncture and Chinese Medicine Association rejects suggestions the industry promotes false hope.

AACMA President Waveny Holland questioned the efficacy of the study telling The Australian, acupuncture has many physical and psycho-social benefits.

"Acupuncture itself is very powerful and strong and it has been shown to actually increase blood flow to the endometrial lining of the uterus and therefore create a better lining for the placenta to grow and flourish." 

Acupuncture long accepted by WHO

The World Health Organization has long recognised acupuncture as an effective treatment, and established a methodology for locating acupuncture points on the human body, as well as the locations of 361 acupuncture points.

The Standard is applicable for teaching, research, clinical service, publication, and academic exchanges involving acupuncture.

Since 1997, the National Institutes of Health in the US has accepted acupuncture as a valid treatment strategy.

Talking to the role of acupuncture more broadly, an NIH Consensus Development Conference on Acupuncture concluded;

“There is sufficient evidence of acupuncture's value to expand its use into conventional medicine and to encourage further studies of its physiological and clinical value.”

Subsequently calls for more sound research trials have exercised a note of caution.

How did acupuncture come to play a role in fertility treatment?

Writing in The Conversation, the report's authors outlined the history of acupuncture in modern fertility treatment.

An adequate blood flow to develop immature eggs, and the endometrium (the lining of the uterus), is important to female fertility and pregnancy.

Studies on a stronger form of acupuncture, electro-acupuncture, found it may influence central sympathetic nerve activity, and may increase blood flow in parts of the body, including improved blood flow and oxygenation to ovarian and uterine tissue.

However it is important to note the difference between a theoretical possibility, and what is learned from observing almost 100 women on treatment, because that possibility doesn’t seem to have resulted in the desired effect.

This in turn suggests that couples should be looking to other options rather than place their hopes in a therapy that doesn’t seem to significantly change fertility rates for infertile couples.

Read more health news

Speaking to Bupa Media, Mr Wyatt says training and retaining people to work in aged care services is a challenge for the government.

“I had a concern when I first came into the role about the way in which workers for a Certificate III were trained. You can’t train somebody online and say to them, ‘you’ve got a job in four weeks’ time’.“

“It lacks the logic of in situ experience, training and understanding.”

Mr Wyatt was visiting one of Bupa’s aged care facilities at Windsor, in Melbourne’s inner south, and was impressed with the level of commitment he saw in the staff to residents.

"I think your leadership is a strength that gives impetus to that. And certainly, in talking with Lisa (Myers, GM Windsor) I can see why there is that vibrancy here.”

The way staff members at the home are assigned a specific number of people to look after was something the minister noticed.

“I can see the staffs’ level of interaction- the way that they’re given a group to look after and that’s their group when they’re on that shift, not everybody, they’ve got five or six. It means you can form a relationship with another individual, it means you can spend time with them and care about them whilst you’re at work.”

A rewarding career

One of the ways to attract people to work for aged care providers, Mr Wyatt says, is to better explain the opportunities that are available.

“I think we’ve got to get in and talk to high school kids. We’ve got to talk to them about how great it is to have time in an aged care facility, that there are jobs. In aged care, we talk about nurses and we talk about care workers.”

“What we don’t talk about is the whole gamut of jobs from the gardener through to hospitality through to administration and some of the leadership roles. And that’s a message that we’ve got to turn around and change.”

The potential for growth in aged care throughout Asia is something Mr Wyatt says should provide opportunity for organisations like Bupa.

“The free trade agreement with China opens up tremendous opportunities to provide aged care. To train local, Chinese workers will take time. So in the interim, you’re going to have this pressure point of a very skilled workforce being encouraged to go (to China) and assist with that set up and start up process.”