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Residential Aged Care – Be Informed!

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From 1 July 2014 changes to care and services for residential aged care services came into effect, applying to the care of new and continuing residents. These changes are accompanied by changes to the fees payable for aged care.

Aged care services provided before 1 July 2014 will not be subject to the fee changes. However, if the type of service being received changes, than it is likely that the changes resulting from the Government’s ‘Living Longer Living Better’ reforms, will apply.

It is predicted that as a result of the reforms to fees, the cost of aged care services and residential aged care will be more expensive with higher total fee payments applicable than under the former arrangements.

Contemplating a move to residential care or making care decisions can be both confronting and difficult. Coupled with the financial implications of the decisions made, it is important to be informed and familiar with your rights and care options available to you.

If you are considering a move into residential aged care including a short respite stay, an aged care home will offer a Resident Agreement. The Resident Agreement will form the legal contract between you and your aged care home.

 A Resident Agreement should set out your rights and responsibilities and those of the aged care home. A separate Accommodation Agreement might be provided setting out the costs of care and payment.

Committing to a Resident Agreement is a significant decision. Whilst there is an obligation on the aged care provider to help you to understand the terms of such an agreement, it is important to remember that the advice is not independent or directed to protecting or considering your individual circumstances and needs including, providing advice about what issues are not dealt with or should form part of the agreement.


If JV Legal can assist you with advising on or negotiating your aged care agreement or for more information about this article, please contact us on 8860 9477.



Author: Jo-Anne Chong

The information in this article is of a general nature and is not intended to address the circumstances of any particular individual or entity and does not constitute specific legal advice.


Jo Chong

About the Author:

MBus (Fin Services).BA.LLB (Hons)., ANZIIF Fellow., NSW Law Society Member

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