The state government is set to almost double the rebates for people in regional areas who need to travel for medical treatment.
It has allocated an extra $149 million in Tuesday's budget for the Isolated Patients Travel and Accommodation Scheme (IPTAAS).
The changes mean the rebate will increase from 22 cents to 40 cents per kilometre for patients who drive in their car more than 100 kilometres for treatment.
The subsidy for a one- to seven-day stay away from home will be boosted from the current $43-$60 to a $75 flat rate. And rising to a $120 flat rate when patients spend more than seven nights away.
The government said it means a person travelling for cancer treatment over a 12-month period will go from getting $2,931 back to $5,365 on average.
"What this announcement does is put families and people at the centre of this program to make sure they can get the access to services that they need," Minister for Regional Health Bronnie Taylor said.
The shortcomings of the scheme were raised in the parliamentary inquiry into rural and regional health services.
Earlier this year, it recommended the scheme should be reviewed as a "matter of priority".
Ms Taylor said the increase in funding directly relates to the findings.
"This has been a long-standing issue," she said.
The charity Can Assist, which provides assistance to cancer patients, welcomed the announcement.
"At Can Assist we deliver $2 million worth of assistance every year, about half of that is in travel and accommodation costs," the charity's Majella Gallagher said.
"So clearly IPTAAS hasn't been enough to help people."
Ms Gallagher said the extra funding will also allow charities to redirect their money to other support services.
"It'll mean we will be able to help more people across different requests — whether that be utilities, food, out-of-pocket pharmaceuticals," she said.
Last year, 26,000 people in NSW accessed the rebate scheme, but the government wants to increase those numbers to more than 45,000 by expanding the criteria.
The government has also included specialised treatments such as high-care dental services and foot treatments for diabetics in the scheme and for patients undergoing clinical trials.
People living in Broken Hill, Inverell and Tamworth have used IPTAAS the most in the past.
Jon and Dani Anderson from Cootamundra know too well the financial cost of lifesaving treatment away from home.
Eighteen months ago, Jon was diagnosed with brain cancer and has spent long stints in Sydney for surgery and treatment.
"Nobody is sitting around with big fat bank accounts to cover everything," Mr Anderson said.
Wife Dani said they thought they would have to sell their house.
"We were sitting there all of a sudden thinking we've got a $30,000 treatment bill," she said.
But they received financial support from Can Assist and IPTAAS.
"Can Assist and the government funding is as much a lifesaver as the treatment is," she said.
"Personally it was really everything," Mr Anderson said.
"It enabled us to afford treatment we wouldn't be able to afford otherwise."