The Federal Government has announced new protections aimed at shielding older Australians from excessive charges under the Support at Home aged care program, as concerns grow around pricing transparency and affordability across the sector.
The measures include stronger enforcement powers for the Aged Care Quality and Safety Commission, expanded consumer advocacy funding and new public reporting requirements designed to give families greater visibility over the prices charged by aged care providers.
The package follows consultation with older Australians, advocacy organisations and providers, with the Government saying it wants to improve confidence in the Support at Home program while broader aged care reforms continue to roll out.
Among the changes, the Aged Care Quality and Safety Commission will be able to order refunds where providers are found to have overcharged consumers. The regulator will also be able to take action against providers that fail to issue monthly statements to clients, while investigations and enforcement outcomes will be publicly reported on a regular basis.
A quarterly National Summary of Support at Home Prices will also be introduced, allowing older Australians and their families to compare pricing across providers. The report will publish median prices as well as pricing ranges across the market.
Among the changes, the Aged Care Quality and Safety Commission will be able to order refunds where providers are found to have overcharged consumers
The Government said it would closely monitor personal care pricing as services such as showering, dressing and continence support transition into the Clinical Care category under the program.
Providers will also be encouraged to limit price increases to no more than twice each year to give older Australians greater certainty when budgeting their care packages.
A new working group involving the Older Persons Advocacy Network, Council on the Ageing Australia, Ageing Australia and the Aged Care Quality and Safety Commission will examine what constitutes “reasonable” pricing in aged care services.
The group will also continue consultation on the proposed multi-provider model and develop additional support for older Australians who choose to self-manage their care packages.
Extra funding will be provided to the Older Persons Advocacy Network to expand financial advocacy services, while COTA Australia will receive funding to improve education around consumer rights, service agreements and price comparisons within the aged care sector.
The Government said the package builds on existing protections already contained in legislation, including requirements that pricing reflect the cost of delivering services and the ban on entry and exit fees.
Formal price caps for Support at Home services have been deferred while the Government continues to assess pricing behaviour across the sector.
The Government said price caps would need to balance affordability for consumers with the financial sustainability of aged care providers, particularly as broader economic pressures continue to affect operating costs.
Minister for Aged Care and Seniors Sam Rae said older Australians had called for stronger safeguards around pricing.
“Older Australians and their families told us they need stronger protections against rogue market prices when it comes to Support at Home. We’ve listened, and we’re acting.”
Mr Rae said the Government would continue refining the program as further pricing data becomes available.
“We’ll keep working methodically, in the interests of older people, to make sure Support at Home delivers what it promised: quality care, at fair prices, close to home.”
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