Please note that there are upcoming changes to the Aged Care Act 1997 (Cth) that may impact the content of this article.
In the realm of in-home aged care services in Australia, engaging third parties to provide essential services to aged care consumers has become a common practice. As the demand for quality aged care and home care continues to rise amid staffing shortages, you, as a provider, may often find it necessary to collaborate with external third parties to meet the diverse care needs of your care recipients. However, you remain legally responsible for services any third parties provide on your behalf. This article considers the legal requirements, challenges and best practices for engaging third parties for in-home aged care services in Australia.
Legal Framework
The legal framework in Australia governs the aged care sector. It ensures the safety, well-being, and rights of older Australians receiving care. As a provider, you must adhere to the Aged Care Act 1997 (Cth) and associated regulations, standards and frameworks. As an approved provider of aged care, when engaging third parties for services, you must understand the requirements outlined, including those related to:
- quality and safety standards;
- accreditation;
- consumer rights; and
- whether your engagement with a third party prevents you in any way from meeting your legal obligations.
Quality and Safety Standards
Providers must uphold stringent quality and safety standards when engaging third parties to deliver services to in-home aged care participants. The Aged Care Quality and Safety Commission (ACQSC) plays a crucial role in monitoring and enforcing these standards. Before entering into agreements with external service providers, you must ensure that these third parties comply with the Quality Standards set out by the ACQSC. You should aim to conduct regular audits and assessments to verify ongoing compliance of these third party service providers to safeguard the well-being of care participants.
Your Responsibilities
As an approved aged care provider, you must ensure that any third-party service providers meet all obligations under the Aged Care Act. You are responsible for the services delivered by a third party. You cannot contract out of this responsibility. In particular, you are responsible for:
- ensuring quality of care;
- resolving issues or complaints;
- monitoring care recipient outcomes;
- confirming the services meet all requirements under law; and
- checking that their key personnel are suitable.
In addition, you should make sure that their workers meet all the required aged care worker screening requirements, such as obtaining police checks and NDIS Worker Screening Checks, and that their workers are appropriately qualified. The third-party service provider must also assist you in meeting any reporting obligations.
Costs
As an approved provider, you must include third-party service costs in your service fee and not charge your clients separately. You can usually recover these costs through care management and package management charges. However, you should cover the costs of the third-party service instead of passing them on to the customer.
Consumer Rights
The Aged Care Quality Standards emphasise the importance of respecting and promoting the rights of aged care recipients. When third parties are involved, you must protect the rights of in-home aged care clients. This includes the right to:
- receive safe and high-quality care;
- be treated with dignity and respect; and
- participate in decisions about their care.
You should engage an experienced aged-care lawyer to help you carefully craft your agreements with third parties to uphold these rights and foster a consumer-centred approach.
Challenges and Considerations
Engaging third parties can improve the range and quality of services you provide to in-home aged care consumers. However, it also presents challenges that require careful consideration.
One significant challenge is maintaining continuity of care and communication between you, as the primary provider, and your third-party service providers. To address this, implement clear communication channels and well-defined roles and responsibilities.
Another challenge is managing potential conflicts of interest. You may encounter situations where competing interests or obligations arise between your third-party service providers or your consumers. Prioritise the well-being of your consumers when managing and disclosing any potential conflicts of interest.
Best Practices
When engaging third-party service providers for in-home aged care services, providers must navigate challenges and complex legal and regulatory environments. We have set out five best practices below to help guide providers.
Due Diligence
Before entering into agreements, you should conduct thorough due diligence on potential third-party service providers. This includes assessing their compliance with quality standards and reputation in the industry.
Clear Service Agreements
You should also seek legal assistance in drafting detailed and comprehensive service agreements that clearly outline the roles, responsibilities, and expectations of both you, as the primary provider, and the third party.
Communication Protocols
You must establish robust communication protocols to secure collaboration between you, as the primary provider, and your third-party service providers. This may include regular updates, shared care plans, and collaborative decision-making processes.
Consumer-Centric Approach
As an aged care provider, you must always prioritise the well-being and interests of your consumers. You should design services to improve their experience and involve them actively in decision-making processes.
Regular Audits and Monitoring
You should implement systems of regular audits and monitoring to assess the ongoing compliance of any of your third-party service providers with quality and safety standards. This will help you identify and address issues before they escalate.
Key Takeaways
Engaging third parties for in-home aged care services in Australia requires a nuanced understanding of the legal framework, potential challenges, and best practices. This means that you must continue to adhere to your responsibilities under the law, uphold quality and safety standards and maintain transparent and consumer-centric practices. In doing so, the aged care sector can continue to evolve and meet the growing demand for high-quality in-home aged care services in Australia.
If you need assistance with reviewing or drafting your aged care service agreements, our experienced aged care lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.