Why do you need a Service Agreement?

Some NDIS providers assume that they are not required to have a Service Agreement with their participants and are often commencing support work without written agreement.

While there is no directive under the NDIS Act to enter into a Service Agreement, the Terms of Business do stipulate that providers should enter into service agreements with participants. 

A service agreement is an agreement between you and your provider that makes it clear what you have both agreed to. It is covered by Australian Consumer Law.

The NDIA recommends having a written service agreement, so participants and providers are clear about what each party has agreed to. For example, what supports will be delivered and how they will be delivered.

Making a service agreement is a negotiation between you and your provider. You can ask another person to help you do this, such as a family member or friend.

Your provider may have a standard service agreement that you may like to use, or you can create your own” Source

Providing supports to your participants without a Service Agreement can be problematic, as it sets out the rights and responsibilities of you as the provider and the participant, as well as the costs you as the provider will charge your participants’ package. This agreement is how your participants agree to these important aspects of your working relationship.

A crucial aspect of a Service Agreement is to record the participant’s consent (either directly or through their authorised representative) to receive the supports. It’s essential to note that providing supports involving any form of physical contact without valid consent can be a criminal offence.

Service Agreements also play a vital role in adhering to privacy laws. They typically serve as the method for the provider to obtain the participant’s consent for the collection, use, and disclosure of their sensitive personal information.

NDIS providers who choose not to enter into a written agreement with participants are more exposed in a range of ways including:

  • Potential compliance action for failing to comply with the Terms of Business;

  • Claims for the refund of fees;

  • Breach of privacy claims.

Source

Here is a link to a downloadable Service Agreement Template that you can edit to meet your business requirements.

Feel free to reach out if you have any questions – joannaevansart@gmail.com

Jo

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