Gough Whitlam had previously seen and heard of the Medical health scheme systems based at U.K. which he favoured. The constitution was the barrier to introducing a health scheme in Australia, and the civil conscription clause. Medibank and other health schemes were designed to avoid civil conscription and provide healthcare service based on Government finance.
Whitlam's aim in creating this system was to break the connection between healthcare and money. Whitlam wanted to break free from the hindrance of money; he wanted healthcare system based on health needs of people rather than the importance of money requirements.
In 1972, the introduction of universal health insurance system known as Medibank (now Medicare) was born. It provided significant benefits to the population of Australia who had previously not been able to afford sufficient medical care; it declined private medicine and commenced to pay 85% of medical and hospital fees. Medibank provided inexpensive treatment by hospitals and doctors to all permanent citizens of Australia. Medicare is publicly funded tax surcharge that comes under the title of Medicare levy which add to the scheme. People with low income are excluded which follows a good example. People earning a high income pay