Topic - aged care
Govt considers cap on home care administration fees – claims fees up to 45% being charged

A Government committee is weighing up a possible cap to address the “problem” of high administration fees, according to Community Care Review.

“One of the discussions for the group, including with consumers, has been on the nature of administration fees – do you make them transparent and let the market engage with that  … or do you cap – that’s part of the discussion that has been taking place within that group,” Group Manager at the Department of Social Services, Fiona Buffinton said.

Greens senator Rachael Siewert told a Senate Estimates Committee last month that she had an invoice with a 38% administration fee and had heard of fees up to 45% being charged.

Home care fees are currently capped at $14.95 a day or $5,446.43 a year for recipients below the income threshold of $52,036.40. For those who earn more, the daily cap is $29.92 or $10,892.89 annually.

As we covered here, Minister for Aged Care Ken Wyatt sent a letter to providers back in July requesting approved providers immediately publish their current pricing schedules amid consumer complaints about excessive charges.

All home care providers are now required to publish their current pricing information on MyAgedCare by the end of this month, while information comparing prices is due to be published on the site from April 2019.

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