The changes set to revolutionise the aged care industry

As you might have read, the Federal Government has made a number of changes to the way aged care services such as home care are delivered.

The changes, which came into effect on Monday, look set to revolutionise the way care is delivered.

From now on, when you’re assessed as eligible and approved for a government-supported home package, you’ll have a lot more choice in your care.

Not only will you be able to choose your provider/carer, you’ll also be able to have great transparency in where your home care package funds are being spent.

Martin Warner, the owner of home care provider Home Instead Senior Care, said the sector was changing from provider driven to consumer driven.

“What it means is the industry has to respond to seniors’ needs – if they don’t the senior can say ‘thank you very much’ and they’ll get it from elsewhere,” he told Starts at 60.

“I think it will be a fundamental and significant change, it brings in the element of competition and those not stepping up to the plate and providing the care seniors’ need will ultimately go out of business.”

Mr Warner has pointed to two elements of the home care changes, which he believes will revolutionise the delivery of aged care services.

He points to the choices and transparency of home care packages under the changes as the big game changers.

“Now they have a choice under the home care packages for what provider they want,” he said.

“There’s also greater transparency over their package – how their package is being spent.

“Previously funding went to a provider, there was no obligation for the provider to be transparent about how money is being spent.

“Now the client can choose their provider, there’s a more transparent process – if they’re not happy with how the money from their package is being spent or the consistency of care, they can talk to their provider or change providers.”

Providers like Mr Warner expect the changes will have a positive impact on pricing.

He said while in the past some providers could charge high administration fees, greater transparency will see those fees fall and increase competition between costs.

“It (the changes) will force organisations to be more competitive and transparent,” he said.

“That means better value for seniors, and better value for taxpayers, who ultimately foot the bill for the home care packages.”

In announcing the start of the changes on Monday, Minister for Aged Care Ken Wyatt said the changes represented a “major cultural change” in the delivery of aged care.

“Consumers and their carers will be looking for an aged care business that best understands their needs,” he said.

“Providers will need to adapt and innovate to meet this challenge and grasp the opportunities that go with it.”

The changes have been welcomed by industry bodies such as Aged & Community Services Australia, who described them as “significant”.

CEO Pat Sparrow said it was another step on the roadmap of aged care reform, and called for the government to go even further by merging the Commonwealth Home Support Program and Home Care Packages Program to create an “integrated care at home system”.

“It will be important now that we keep a close eye on the implementation and impacts so that older people are treated equitably across the country and that aged care providers can continue to operate and offer the services older people want and need,” she said.

“If there are issues that need to be addressed to achieve those outcomes ACSA will have no hesitation in raising them and working to have them resolved.”

The home care changes are just one element of widespread aged care reform underway across the country.

Last week the Minister for Aged Care held roundtable discussions with more than 100 aged-care consumers and providers to consider the Government’s next steps in the reform of Australia’s $16 billion aged care sector.

The plan is for aged care to be reformed to a “market-based” model, with a focus on giving you more choice about your care and a greater standard of care.

But as with any government decisions or policy, there has been some disagreement.

The Shadow Minister for Ageing Julie Collins claimed “poor implementation and underinvestment” could undermine the benefits of the reforms.

“The Turnbull Liberal Government has done nothing to address wait times of more than six months for ACAT assessments, which are necessary to receive home care,” she said in a statement.

 “The Government also has no idea whether the supply of home care packages is sufficient for the growing demand of older Australians.

 “A lack of regulation around exit fees for consumers who change providers and the lowering of accreditation standards for aged care providers may also threaten the reforms.”

What do you think? Does the aged care system need reforming?