In a significant development for the Australian healthcare sector, the country’s first “no-gap” private hospital officially opened its doors in Melbourne earlier this year.
Adeney Private Hospital, a pioneering facility, aims to advance private healthcare by offering patients high-quality medical care without the burden of additional out-of-pocket costs. With its innovative approach, Adeney Private Hospital is positioned to make private healthcare more accessible and affordable for Australians.
Who Are Adeney Private Hospital?
Adeney Private Hospital, located in Kew, is the first hospital in Australia to offer a true “no-gap” fee model for its private patients. This means that patients will not be required to pay out-of-pocket expenses beyond what their health insurance covers.
The hospital is a collaboration between Medibank, one of Australia’s largest private health insurers, and a range of healthcare professionals committed to delivering high-quality care at affordable prices. The ownership is split with 51% owned by 42 medical professionals and 49% owned by Amplar Health which is Medibanks health service delivery business.
Adeney Private Hospital specialises in short stay services as patients prefer to recover at home (with additional support) which assists in keeping costs down. They offer a vast set of services and support, just like any other major hospital, including: surgeries and procedures, rehab and recovery programs, chemotherapy and medical infusions, orthopaedics, ENT (ear, nose and throat), radiology, pathology and pharmaceutical care. They also provide WiFi, food and beverages as well as a dedicated lounge for family and support persons.
The hospital’s opening marks a significant milestone in the Australian healthcare system, where rising costs in private healthcare have been a growing concern for many families. With its no-gap model, Adeney Private Hospital aims to provide an alternative to the often expensive and confusing nature of private hospital charges. The facility promises transparency, quality, and a fresh approach to private healthcare.
The History Behind Adeney Private Hospital
The journey to the establishment of Adeney Private Hospital has been a long one. It all started with Medibank’s recognition of the increasing strain on families and individuals when it came to private hospital expenses. For many Australians, private healthcare premiums and additional costs were becoming unaffordable, which was leading to people delaying necessary treatments or opting for public healthcare instead.
In response to these growing challenges, Medibank partnered with a group of medical professionals, hospital administrators, and healthcare innovators to develop a hospital that would remove financial barriers to quality private healthcare. The idea was to create a facility where people could get the best possible care without facing unexpected bills for doctors and specialists.
“This new facility is a significant personal investment by specialist doctors and by Medibank in the Australian Healthcare System. The joint venture is committed to delivering new short stay models of care minimising out-of-pocket costs for the patient, where clinically appropriate, across numerous modalities,” says Board Director of Adeney Private Hospital, vascular surgeon and former President of the Royal Australasian College of Surgeons, Professor Michael Grigg AM.
Construction of the hospital began in 2022, and after many months of planning, development, and investment, the hospital officially opened in early 2025.
Why Is This Significant?
“We are proud to be part of this, original development that sets a new benchmark in Australian healthcare, aligning the interest of patients and operators and creating more cost-effective and care-oriented outcomes. Centuria has worked closely with the operator to design a fit-for-purpose property that caters to modern healthcare procedures including specifically curated operating theatres and recovery spaces to maximise operational efficiency,” says Andrew Hemming, Managing Director of Centuria Healthcare, from the organisation responsible of the property development of Adeney Private Hospital.
Adeney Private Hospital is not just a hospital; it’s a game-changer in the Australian healthcare system. For many Australians, private healthcare has traditionally come with the sting of unexpected costs, causing barriers to accessing medical care. Whether it’s an anaesthetist’s fee, a specialist’s consultation, or the cost of a particular procedure, these additional charges can quickly add up.
In this context, Adeney Private Hospital’s approach offers a much-needed solution. By removing the uncertainty surrounding medical bills, the hospital is making private healthcare more accessible and predictable for its patients. For those with Medibank health insurance and any other health insurance companies that have signed on (such as Bupa), the no-gap policy ensures that they won’t be surprised by additional charges when they receive treatment.
This is a massive and progressive step forward in innovative healthcare as the introduction of this new model represents addressing the growing concerns over healthcare affordability in Australia. It can serve as a blueprint for changes in future healthcare solutions while also placing pressure on existing hospitals to re-evaluate and improve their current systems.
People Above Profit
Adeney Private Hospital’s opening marks the beginning of a new chapter in Australian private healthcare. The hospital’s innovative approach could serve as a way to help reduce the financial strain on patients while maintaining high-quality care.
As the first no-gap private hospital in the country, Adeney Private Hospital’s success could be a defining moment in the evolution of Australian healthcare, offering hope for a more sustainable, transparent, affordable, and accessible future.
