Health Minister Peter Dutton says he is negotiating in good faith over the controversial GP co-payment.
The government is aiming for a $7 co-payment to start from July next year, saving the budget around $3.5 billion over the next four years.
Mr Dutton will meet billionaire MP Clive Palmer in Queensland on Thursday to discuss the Palmer United Party's concerns about the co-payment's inequity.
The minister says the government wants to protect people who are most vulnerable but at the same time ensure the budget can sustain the growing demand on the health system.
"We are negotiating in good faith," he says.
Mr Palmer says he has concerns about the impact of the co-payment on pensioners.
But even if exemptions are agreed following the talks, he fears the government could always remove them down the track.