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In May 2025, Services Australia revealed that approximately 960,000 Australians are owed over $260 million in unclaimed Medicare refunds, with an average payout of $265 per person. Some individuals are entitled to refunds exceeding $10,000.
These unclaimed funds are primarily due to outdated or incorrect bank details linked to Medicare accounts.
Understanding the Unclaimed Medicare Refunds
Medicare refunds are reimbursements for out-of-pocket expenses incurred when accessing medical services covered under the Medicare Benefits Schedule (MBS).
Typically, these refunds are deposited directly into a patient’s nominated bank account. However, if bank details are outdated or incorrect, the refunds remain unclaimed.
Reasons for Unclaimed Refunds
Several factors contribute to these unclaimed Medicare refunds:
- Outdated Bank Details: Changes in bank accounts without updating Medicare records.
- Unlinked MyGov Accounts: Failure to link Medicare to MyGov accounts.
- Uncashed Cheques: Paper cheques issued but never deposited.
- Incorrect Billing Information: Errors in billing details during medical visits.
- Inactive Accounts: Refunds directed to closed or inactive bank accounts.
State-wise Breakdown of Unclaimed Refunds
Below is a table detailing the distribution of unclaimed Medicare refunds across Australian states and territories:
| State/Territory | Estimated Affected Individuals | Total Unclaimed Amount | Primary Reason for Non-Claim |
|---|---|---|---|
| New South Wales (NSW) | 285,000 | $81 million | Incomplete bank details |
| Victoria (VIC) | 220,000 | $64 million | Unlinked MyGov accounts |
| Queensland (QLD) | 180,000 | $51 million | Expired Medicare cards |
| Western Australia (WA) | 100,000 | $30 million | Missed email notifications |
| South Australia (SA) | 70,000 | $19 million | Change in residential address |
| Tasmania (TAS) | 40,000 | $10.6 million | Bank errors during rebate processing |
| Australian Capital Territory (ACT) | 30,000 | $7.95 million | Overdue Medicare profile updates |
| Northern Territory (NT) | 25,000 | $6.6 million | Missed SMS verifications |
How to Check and Claim Your Medicare Refund
To determine if you’re owed a Medicare refund:
- Log in to your MyGov account.
- Link your Medicare account if not already linked.
- Navigate to the ‘Medicare’ section.
- Select ‘Bank account details’ to verify or update your information.
- Check the ‘Payment history’ for any unprocessed or returned payments.
- Submit a claim update if necessary.
Once updated, any owed funds should be deposited into your account within three business days.
Deadline to Claim: June 30, 2025
Services Australia has set a deadline of June 30, 2025, for individuals to claim their unclaimed Medicare refunds.
Post this date, unclaimed funds may be transferred to consolidated revenue, making future claims more complex and time-consuming.
Additional Unclaimed Funds
Apart from Medicare refunds, Australians might have other unclaimed funds due to various reasons such as uncashed cheques, refunds, dividends, bill overpayments, or lost superannuation.
To check for such funds, visit the respective state or territory’s unclaimed money portal or the federal government’s ASIC Unclaimed Money search tool.
With over $260 million in unclaimed Medicare refunds, it’s imperative for Australians to verify their eligibility and update their bank details promptly.
A few minutes on the MyGov portal could lead to a significant financial return, especially crucial during times of rising living costs.
FAQs
Is the Medicare refund taxable?
No, Medicare refunds are not considered taxable income.
Can I claim a refund on behalf of a deceased relative?
Yes, legal representatives or executors can claim refunds on behalf of deceased individuals, provided they have the necessary documentation.
What if I no longer have access to my old bank account?
You can still claim your refund by updating your current bank account details in your Medicare profile through MyGov.