Digital & Innovation
Virtual psychology clinics: A lifeline or a band-aid for Australia’s mental health crisis?

The nation’s largest private health insurer has launched virtual psychology services aimed at enhancing mental health accessibility for all its customers. This move comes in response to a survey by the Australian Psychological Society (APS) revealing that over 40% of psychologists cite cost as the primary barrier to patient access.
With lengthy psychologist waitlists and soaring out-of-pocket expenses for mental health care, Medibank’s new initiative promises “timely and affordable” support from qualified psychologists.
The challenges of ensuring equitable access to mental health care have been brought into sharper focus following the Inquiry Report on ‘Equity, accessibility, and appropriate delivery of outpatient and community mental health care‘. While the NSW Government has endorsed most of the recommendations, stakeholders remain frustrated by the lack of significant new investments or commitments to tackle the widening gap in mental health services.
Dr Pramudie Gunaratne, Chair of the Royal Australian and New Zealand College of Psychiatrists (RANZCP) NSW Branch, said “If our mental health system was buckling before, it is broken now. For many people with mental illness in the state, there is literally nowhere to turn for help.
“Demand for mental health services is skyrocketing. Our wards are full, forcing us to send patients home prematurely to make room for others. Community teams are overwhelmed and can only accept the most severely unwell.”
Medibank’s Chief Medical Officer and practicing psychiatrist, Dr Andrew Wilson, underscored the significance of the Virtual Psychology Clinic in improving accessibility.
“With 2 in 5 Australians experiencing a mental health condition in their lifetime, it’s important that health companies such as ours, do all we can to help people with their mental health,” he affirmed.
Under this new service, Medibank customers with a Mental Health Care Plan (MHCP) can secure an initial 50-minute psychologist appointment without any out-of-pocket costs, with subsequent sessions priced at $60 – a considerable reduction compared to current market rates.
Dr Wilson further highlighted, “Medibank customers across Australia will be able to talk to a registered psychologist through the Virtual Psychology Clinic typically within a week, and at much more affordable rates than the majority of claims that we are seeing at the moment, and in the comfort of their own home.
“The Virtual Psychology Clinic can be accessed anywhere around Australia, which is crucial for those living in rural and remote areas where health services are limited.”
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