The threshold has been reduced from $5000 to $1000 for people to receive compensation under the commonwealth's no-fault vaccine claims scheme.

Those who have experienced demonstrable reactions to the vaccine will be able to claim the money to cover lost work and care costs.

The reduction was made as part of a government agreement with rebel coalition senator Gerard Rennick.

Senator Rennick had threatened to withhold his support from coalition legislation unless the government removed state-based vaccine mandates.

Following the deal, the Queensland senator said he would support senate procedural motions, but indicated he would still abstain on legislation.

Health Minister Greg Hunt said the threshold lowering would provide greater certainty to those still yet to get the COVID-19 vaccine.

"The government has been considering this policy change for a number of weeks now," Mr Hunt said in a statement.

"This provides additional support and confidence for Australians as part of the vaccine rollout."

It come as the health minister urged the Queensland government to scrap a rule banning its residents from taking short trips interstate when borders reopen.

Upcoming COVID-19 restrictions in the state will require interstate travellers to return a negative COVID-19 PCR test with 72 hours of arriving in Queensland.

The rules will come into effect when Queensland hits 80 per cent fully vaccinated or from December 17 at the latest.

However, Premier Annasatacia Palaszczuk closed a potential loophole to the rules, which would allow for Queenslanders to go interstate for less than three days and return without the need for a test.

Mr Hunt said while the Queensland government had backed off from requiring travellers to foot the bill for the mandatory PCR tests, he wanted the ban on short-term trips overturned.

"We've made progress, but these short-term visits, that's the next thing," Mr Hunt told the Seven Network.

"There was someone I spoke with last night who couldn't visit her mum who has cancer for a 24-hour visit."

The commonwealth and Queensland governments had been in dispute over whether travellers would need to pay $150 for the PCR tests to enter the state.

The health minister indicated travellers who get the tests at state-based clinics would not have to foot the bill, with costs being shared by the commonwealth and state government.

Mr Hunt said travellers would be able to enter Queensland by showing a text message confirming their negative test, rather than a formal certificate.

Ms Palaszczuk had been calling for the federal government to enable a Medicare rebate for the tests they were conducted at a private clinic.

NSW recorded 248 new cases of COVID-19 in the past reporting period, with two deaths.

In Victoria there were 1196 new infections and three deaths.

The ACT reported 15 cases, while three cases were detected in the Northern Territory on Tuesday.

There were zero infections in Queensland, which has three active cases - the lowest number this year.

Australian Associated Press