Aged care means assessment – protected person 065-18120742

From the date of entry into care, the value of a care recipient's interest in their principal home is included in the residential care means assessment. This includes any refund amount due to them at a future date when vacating a retirement village.

The means assessment caps the principal home at the value of the First Asset Threshold. The Resources page contains a link to the current threshold (within the Department of Health and Aged Care Schedule of Fees and Charges).
Note: only applies to post 1 July 2014 asset assessments.

A protected person is someone whose continued presence in a home after the owner (or co-owner) moves into residential care has the effect of exempting the home from the assets tests that apply to aged care.

There are 4 categories of protected person. These are:

• partner
• dependent child/student
• carer
• close relative

Further definitions of the above categories of protected persons are held within the Aged Care Act 1997 and the Aged Care (Transitional Provisions) Act 1997. Protected person status will be determined by Services Australia or Veterans' Affairs, whichever is the responsible agency/department.

See the References page for more details.

Note: the Age Pension asset test and aged care means assessment treat former principal home exemptions differently.

For Age Pension details, see Vacation of principal home due to illness.

For aged care means assessment, see Aged care means assessment - home ownership and real estate estimates.

Where a care recipient is a member of a couple, the partner is defined as the care recipient's current partner as at the date of event (DOV). Same sex couples are recognised for aged care assessments.

If a care recipient is not a member of a couple at the DOV, coding of a partner as a protected person is not accepted.

For social security purposes - being assessed as:

• 'living separately and apart'
• 'separated under one roof' for social security purposes, or
• divorced, separated or widowed

This means a care recipient is not partnered.

Note: a protected person carer exemption may apply if the criteria is met.

See Assessment of circumstances for a couple separated due to illness for more details.

A couple cannot have more than one exempt principal home between them.

See Customer owns more than one home for more details.

Where a couple enter permanent residential care (post 1 July 2014) on the same day, the former principal home is an assessable asset for both members of the couple.

Consent to confirm protected person status for partners

Signed consent is not required from the partner to allow Service Australia to confirm protected person status.

At the date of event (DOV), dependent children must:

• be under 16 years of age
• not be in full time work, and
• not be in receipt of an Australian income support payment (ISP)

At the DOV, dependent students must:

• have reached 16 years of age, but be under 25 years of age
• be receiving full time education at a school, college or university
• not be in full time work, and
• not be in receipt of an Australian ISP

The Resources page contains a link to Services Australia website. This site defines which payments are Australian ISPs.

Consent to confirm protected person status for dependent children/students

Signed consent is not required from the dependent child/student to allow the agency to confirm protected person status.

At the date of event (DOV), the carer or close relative must be:

• in receipt of an Australian income support payment (ISP), or
• eligible to receive an Australian ISP

The Resources page contains a link to the Services Australia website. This site defines which payments are Australian ISPs.

Carers

As well as the above criteria about Australian ISPs:

• the carer must have occupied the former principal home with the care recipient for the past 2 years (as at the DOV):
• the 2 year residency criteria may apply to multiple principal homes where the care recipient and the carer have changed address during this time
• the carer does not need to have received:
• (or be eligible to receive) an ISP for the entire 2 year period
• Carer Allowance or Carer Payment
• there is no test on the amount of care provided

Close relatives

A close relative is defined as a care recipient's:

• parent (father or mother)
• sister, brother, child or grandchild

Ex-partners are not considered a close relative. In some circumstances they may qualify as a carer.

As well as the above criteria regarding an Australian ISP, the close relative:

• must have occupied the former principal home with the care recipient for the past 5 years (as at the DOV):
• the 5 year residency criteria may apply to multiple principal homes where the care recipient and the close relative have changed address during this time
• does not need to have received (or be eligible to receive) an ISP for the entire 5 year period

Consent to confirm protected person status for carers and close relatives

Consent to check occupancy details and eligibility for an Australian ISP must be confirmed when a protected person status is claimed for carers and close relatives. When the consent has been provided, occupancy and eligibility details can be confirmed through one of the following:

• The carer and/or close relative's Centrelink record:
• may indicate that the carer or close relative is eligible for an Australian ISP, and has occupied the home for the required period (2 years for a carer or 5 years for a close relative)
• can only be accessed when the carer and/or close relative has provided their verbal consent to access this information or, in the Aged Care Calculation of Your Cost of Care form or, when the Aged Care carer or close relative online task has been completed
• Where no consent is provided or additional information is required, the 'Aged Care Carer or close relative assessment (SA483) form may be provided:
• by a close relative online task
• by sending the SA483 to the care recipient if consent is not provided in the calculation of your cost of care form
• when there is consent in the calculation of your cost of care form or online claim but there is not enough information in the Centrelink record
• to show that the carer or close relative is eligible for an ISP, and has occupied the home for the required period (2 years for a carer or 5 years for a close relative)

See the Resources page for a link to the form.

A protected person status may cease in some circumstances. The impact on the aged care means assessment will depend upon whether the assessment was made under a pre or post 1 July 2014 assessment scheme.

Post 1 July 2014 assessment schemes

Where a protected person no longer meets the eligibility criteria, the former principal home will become an assessable asset from the date protected person status ceases.

Protected person status may cease when the:

• protected person no longer resides in the former principal home, except in circumstances where a partner has sold the principal home and purchases a new property as their principal home
• care recipient is no longer a member of a couple
• protected person (excluding partners and dependent children/students) is no longer eligible to receive an Australian income support payment (ISP)

Protected person status may be regained when the protected person:

• returns to live in the former principal home and remains eligible for an ISP
• is still in the former principal home and has regained eligibility for an ISP

Where a protected person no longer meets the eligibility criteria, the value of the care recipient's share of the principal home will become an assessable asset.

If a partner is a protected person and leaves the former principal home to enter permanent residential care, the principal home will become an assessable asset for both members of the couple from the date of the partner's entry into care.

Pre 1 July 2014 assessment schemes

Where a protected person no longer meets the eligibility criteria, the means assessment does not alter. This is because the assessed asset amount is fixed, based on the care recipient's circumstances at the date of entry into care.

For example, if the protected person is a partner, and later enters permanent residential care, the former principal home:

• remains an exempt asset for first member of the couple to enter care, and
• is an assessed asset for the partner, unless another exemption applied at the date of entry into care, for example: dependent child/carer/close relative

Outcome of a protected person assessment

A protected person may be contacted to confirm their details or to request more details. The outcome of a protected person assessment must not be communicated unless the person also has authority to act on the care recipient's behalf. A protected person does not automatically meet the criteria to release information to them under implied consent.

Where DVA is responsible for completing a means assessment, action may be required from Services Australia to determine if a carer or close relative is a protected person.

If the protected person is not eligible for a DVA payment, DVA will give details of the protected person for further review to be completed by Services Australia.