“Bupa Aged Care ordered to pay $6 million for services not provided, Federal Court rules”

With headlines like these Providers might rightly ask whether there is a future for Extra Services (ES) or Additional Services (AS) in Residential Aged Care.

When you get into the detail of the BUPA case, it is clear there is a future, but only for Providers who understand and manage the risks.

At Pride Living we want to help you make decisions with confidence; this Insight uses the Bupa case to highlight issues Providers should be aware of where they provide ES or AS to their residents.

A summary of our analysis is presented below. The long form Insight can be downloaded here.

JAMES SAUNDERS
Partner – Finance & Operations

Where it all went wrong

“what let it – and the affected residents down was that it had “insufficient” compliance systems in place to monitor the delivery of the extra services for which residents had paid…. Bupa’s systems must have been highly inadequate.”

“notwithstanding the existence of those systems and controls, Bupa Aged Care accepts that they were not sufficient to enable Bupa Aged Care to ensure that the Relevant Extra Services were in fact provided to the applicable residents on a consistent basis and were therefore inadequate”.

“the availability of extra services was not incorporated into Bupa Aged Care’s register of compliance obligations.”

It is clear that the provision of Aged Care has accountability much broader than the Aged Care Act. The reality is the ultimate regulator is “the court of public opinion”. The best proxy for this is validated customer satisfaction.

Systems need to be in place to ensure that consumers see value in services you are providing.

Managing the risks

Federal Court has identified four great pointers on how to manage the risks when introducing and operating an AS or ES offer in your facility.

If you follow these simple steps you can have confidence you will not incur the wrath of the ACCC;

Tailor the program to the facility
Deliver what you promise
Be open to feedback and continuously monitor customer satisfaction
Independently verify the efficacy of policy and procedures

Our long form insight provides further details of common risks associated with implementing ES and AS and mitigation strategies which work.

How can we help?

Implement Additional Services with Confidence

At a time when it is acknowledged that increases in Govt revenue are insufficient to offset increases in costs and consumer expectations, generating additional revenues are key for Providers to deliver higher standards of service demanded by consumers.

At Pride Living, we are proud of the Additional Service’s Program we have developed and deployed to ensure our clients meet their obligations to regulators while providing excellent value to their customers and reaping high satisfaction rates with their Additional Services Programs

To find out more on how we can help you, contact James Saunders on 02 9239 9004 or email james.saunders@prideliving.com.au