If a charitable or welfare organisation has an annual turnover of more than $3 million, then it will be covered by the new private sector legislation. Many smaller charitable or welfare organisations are also likely to be covered for various reasons, for example, because they are related to a larger organisation or because the counselling service they provide is a health service and holds health information. For more detail on whether such organisations might be covered, see Information Sheet 12 -2001

A "health service" includes activities which are intended or claimed - either by the individual receiving the service or by the person performing it - "to assess, record, maintain or improve" the individual's health. For more information about what is a "health service" and what is "health information", see section 6 of the Privacy Act 1988. The Federal Privacy Commissioner takes a broad view of "health". This means that "health" may include not merely an individual's physical health, but also his or her psychological, emotional and mental health.

To the extent that a counsellor makes assessments, takes personal histories and records information about an individual's health in this broad sense - with the purpose of assessing, maintaining or improving the individual's health - the counsellor is providing a health service and is holding health information within the meaning of the Act, and will be subject to the new private sector provisions.