Plans to means-test the private health insurance rebate have come under fire from allied health professions.

There are concerns the Federal Government’s budget measure to phase out the 30 percent rebate for singles earning $75,000 or more a year, or couples earning more than $150,000, could have a negative impact on allied health providers, from dietitians to occupational therapists.

Research shows 1.6 million Australians could drop their private health cover within five years under the plan, creating increased pressure on the public health system.

Dietitians Association of Australia CEO Claire Hewat said if widespread numbers stop taking private cover or drop their levels to save money, it could impact on both the private and the public health systems along with the entire community.

"This could potentially impact dietitians in the private sector in terms of their business and could impact on public sector dietitians in the form of longer waiting times," she said.

"If private practice dietitians cannot afford to continue to provide services this will not be good for Australians struggling with obesity and chronic disease issues."

Ms Hewat labelled the current system "inequitable" and said the proposed system was no better.

"Australians should not have to rely on paying private health insurance to access the range of health professionals they need – as always those who need it least are likely to be the ones most able to afford the care," she said.

"If the Medicare system and the private rebate systems were more equitable and designed to provide access to the right practitioner, at the right time, in the right place, based on the evidence of most clinically and cost effective treatment rather than on who provides it, then those who need the care most might have a chance of getting it.

"This is the kind of major reform we need."