Short answer: Medicare does not pay for laser eye surgery, ICL or refractive lens exchange (RLE) when they’re done to correct your glasses prescription. The Medicare items for lens surgery and corneal laser specifically exclude “surgery performed to correct a refractive error” (MBS item 42702; MBS item 42810). Medicare does cover eye surgery that treats disease: cataract surgery for a genuine cataract (item 42702), pterygium removal (item 42686), YAG laser for clouding after cataract surgery (item 42788), and laser treatment of corneal scars or disease, such as recurrent erosions (item 42810).
What Medicare covers at a glance
| Procedure | Medicare? | MBS item |
|---|---|---|
| LASIK, Ray Tracing LASIK | No | None |
| PRK, TransPRK to correct your prescription | No | None |
| CLEAR, SMILE | No | None |
| ICL (implantable contact lens) | No | None |
| Refractive lens exchange (RLE) | No | 42702 excludes surgery to correct a refractive error |
| Cataract surgery for a genuine cataract | Yes | 42702 |
| Pterygium removal | Yes | 42686 |
| YAG laser capsulotomy after cataract surgery | Yes, up to 2 treatments per eye in 2 years | 42788 |
| Laser for corneal scarring or disease (phototherapeutic keratectomy), such as recurrent corneal erosions | Yes | 42810 |
| Laser fine-tuning after cataract surgery or RLE | No (free at Focus Vision for two years if your surgery was with us) | None |
Source: MBS Online, schedule fees from 1 July 2026.
Why Medicare doesn’t cover laser eye surgery, ICL or RLE
Medicare pays for services listed in the Medicare Benefits Schedule (MBS). The eye surgery items are written to cover disease, and each one that could apply to vision correction excludes it in its own wording:
- Lens surgery (item 42702): “Lens extraction and insertion of intraocular lens, excluding surgery performed to correct a refractive error” (MBS item 42702). The same exclusion is in the item for inserting a lens on its own (MBS item 42701).
- Corneal laser (item 42810): “Phototherapeutic keratectomy, by laser, for corneal scarring or disease, excluding surgery for refractive error” (MBS item 42810).
Because the surgery has no Medicare item, the anaesthetist’s fee attracts no Medicare rebate either: Medicare generally pays for anaesthesia only when it is given for an eligible, listed service (MBS note TN.10.2). And because private hospital cover is built around Medicare items, it generally doesn’t pay for vision correction surgery either.
Laser eye surgery: LASIK, PRK, TransPRK and CLEAR
There is no Medicare item for laser eye surgery to correct short-sightedness, long-sightedness or astigmatism. That applies to every type: LASIK and Ray Tracing LASIK, TransPRK and CLEAR.
What can help with the cost:
- Some extras policies. A few health funds pay a set amount towards laser eye surgery from extras or a top combined policy, usually after a waiting period of one to three years. See which health funds cover laser eye surgery, does Bupa cover laser eye surgery? and does Medibank cover laser eye surgery?
- Interest-free plans. At Focus Vision, 24-month interest-free plans start at $34 a week. See paying for laser eye surgery.
- All-inclusive pricing. TransPRK is $3,500 per eye and LASIK or CLEAR $4,250 per eye, including your assessments, 12 months of follow-up and free enhancements for two years. Prescribed eye drops are extra. See costs.
When laser on the cornea is covered
Laser treatment of the cornea is covered when it treats disease rather than your prescription. Phototherapeutic keratectomy (PTK) uses the same type of laser as PRK to smooth or remove damaged tissue on the surface of the cornea, for example corneal scars or recurrent corneal erosions, where the surface layer keeps coming loose. That is MBS item 42810, which excludes surgery for refractive error (MBS item 42810).
ICL (implantable contact lenses)
ICL surgery to correct your prescription has no Medicare item, so there is no Medicare rebate for the surgeon or the anaesthetist, and hospital cover generally doesn’t pay. At Focus Vision, ICL is $7,000 per eye, including the anaesthetist. See ICL cost in Australia.
Refractive lens exchange (RLE)
Refractive lens exchange is the same operation as cataract surgery: your natural lens is replaced with an artificial one. But when it’s done to reduce your need for glasses, Medicare doesn’t pay, because item 42702 excludes “surgery performed to correct a refractive error” (MBS item 42702). At Focus Vision, RLE is $6,000 per eye, including the anaesthetist. See RLE cost.
If you have a genuine cataract that is affecting your vision, the operation is cataract surgery, and item 42702 applies, even if you also want to be less dependent on glasses afterwards. Your surgeon assesses this at your consultation.
Cataract surgery
Cataract surgery is covered by Medicare when you have a genuine cataract (MBS item 42702).
- As a public patient in a public hospital, it costs you nothing, although there is usually a wait (Medical Costs Finder). See public vs private cataract surgery.
- As a private patient, Medicare pays 75% of the schedule fee for your surgeon’s and anaesthetist’s fees, and your health fund pays the other 25% if your policy covers it (privatehealth.gov.au). For item 42702, the schedule fee is $910.35, so the Medicare rebate is $682.80 per eye (MBS item 42702). Doctors can charge more than the schedule fee, which is where a gap comes from.
- Hospital cover that includes the Cataracts category pays the hospital and the lens, whichever lens you choose (privatehealth.gov.au). Without health insurance, you pay the hospital and lens costs yourself, and Medicare still pays its rebate on the surgeon’s and anaesthetist’s fees.
For our fees and what they include, see cataract surgery cost.
The MBS item also covers lens surgery in one narrow situation that isn’t a cataract: when, after cataract surgery on your first eye, the difference in prescription between your two eyes is more than 3 dioptres (MBS item 42702).
Pterygium surgery
Removing a pterygium is MBS item 42686, so clinically indicated pterygium surgery attracts a Medicare rebate (MBS item 42686). See pterygium surgery.
YAG laser after cataract surgery
If the capsule behind your lens implant clouds over, a YAG laser capsulotomy clears it. Medicare covers it under MBS item 42788, for up to 2 treatments per eye in 2 years (MBS item 42788). At Focus Vision, the YAG laser is free, with no time limit, if your cataract surgery or lens replacement was with us. See YAG laser after cataract surgery.
Get a written quote
Whatever your procedure, you receive a written quote at your surgeon consultation that shows every part of the cost, and, for Medicare-eligible surgery, what Medicare and your fund pay. Start with a free optometrist assessment to explore your suitability. Every patient proceeding to surgery then has a paid consultation with a specialist surgeon to confirm suitability, discuss their procedure and plan surgery. The consultation fee is deducted from the surgery price for every procedure. See consultation and pricing details.
References
- Australian Government Department of Health. Medicare Benefits Schedule, Item 42702 (lens extraction and insertion of intraocular lens). MBS Online. www9.health.gov.au
- Australian Government Department of Health. Medicare Benefits Schedule, Item 42701 (intraocular lens, insertion of). MBS Online. www9.health.gov.au
- Australian Government Department of Health. Medicare Benefits Schedule, Item 42810 (phototherapeutic keratectomy). MBS Online. www9.health.gov.au
- Australian Government Department of Health. Medicare Benefits Schedule, Item 42686 (pterygium, removal of). MBS Online. www9.health.gov.au
- Australian Government Department of Health. Medicare Benefits Schedule, Item 42788 (laser capsulotomy). MBS Online. www9.health.gov.au
- Australian Government Department of Health. Medicare Benefits Schedule, Note TN.10.2 (anaesthesia: eligible services). MBS Online. www9.health.gov.au
- Australian Government. Out of pocket costs. privatehealth.gov.au. privatehealth.gov.au
- Australian Government. Clinical categories. privatehealth.gov.au. privatehealth.gov.au
- Australian Government Department of Health, Disability and Ageing. Medical Costs Finder: Cataract surgery (2023-24 data). medicalcostsfinder.health.gov.au