Aged care means assessment – protected person 065-18120742

Item

Description

1

What does 'eligible to receive an income support payment (ISP)' mean?

If a carer or close relative had lodged an appropriate claim, and at the date of event (DOV) they would have qualified for an Australian Government income support payment (ISP). This includes ISP granted at a zero rate.

The ISP only needs to be payable at the DOV, not for the entire period (prior 2 or 5 years) the carer or close relative has lived in the principal home.

There is no requirement for a carer or close relative to lodge a claim to test their ISP eligibility where it is only for aged care protected person purposes.

A carer does not have to receive Carer Payment or Carer Allowance to be considered a carer for aged care purposes.

2

Is a protected person eligible for Carer Payment when the care recipient enters care?

A protected person only has to be eligible to receive a Carer Payment at the DOV, not receive the payment.

Eligibility for Carer Payment continues for 14 weeks from the date that the care recipient enters residential care, however a Carer Allowance payment is cancelled effective from the care recipient's date of entry. As long as the protected person remains qualified during this 14 week period, the protected person status applies.

When the 14 weeks has passed, the protected person must be eligible to receive another income support payment for the former principal home exemption to continue.

3

What supporting documents can be supplied to verify residency in the care recipient's former home?

Documents showing the carer or close relative has lived in the care recipient's former home for the required time periods such as:

• bank account statements
• utility bills
• receipts showing the address

Note: a protected person and care recipient may have resided together at multiple properties.

4

What happens when the care recipient (or nominee) cannot get the signature/consent of protected person?

A care recipient may advise they cannot get the carer or close relative to:

• sign the means assessment form
• complete an Aged Care Carer or close relative assessment (SA483)

There may also be reasons that they do not wish to ask the carer or close relative to complete a task, such as when there is an Apprehended Violence Order (AVO) preventing contact.

Can I accept a statutory declaration as evidence?

A statutory declaration can be accepted by an APS4 and above as evidence, when no other evidence is available.

Services Australia should follow statutory declarations requirements as set out in the Federal Register of Legislation - Statutory Declarations Regulations 2023.

To accept a statutory declaration, it needs to:

• be on the correct Commonwealth legislated form (not an individual state form)
• be witnessed by persons before whom a statutory declaration may be made
• address the eligibility criteria and why they cannot provide the required documents

Make sure appropriate evidence is supplied with the statutory declaration, for example, account statements, utility bills or receipts showing the address/es

If a determination cannot be made, escalate to Local Peer Support.

Note: make a referral to the social worker where there are allegations of misuse of nominee arrangements.

See Obligations of nominees for more details.

5

How is the residency criteria assessed when there are multiple carers/close relatives?

The legislated 2 year (carer) or 5 year (close relative) occupancy period applies to each carer or close relative.

If a care recipient has had:

• continuous care with multiple carers
• at least one carer must meet the 2 year occupancy rule to gain protected person status
• multiple close relatives occupying the home
• at least one close relative must meet the 5 year occupancy rule to gain protected person status

For example:

• Carer A has lived in the care recipient's home for 2 years
• Carer A permanently moves out of the home
• Carer B moves into the care recipient's home with no break in care
• Within 12 months of Carer B moving in, the care recipient enters residential care
• Carer B continues to live in the former principal home
• Although Carer A lived in the home for 2 years and provided care, Carer B is not a protected person. Carer B was not residing in the home for the 2 years prior to the care recipient entering care
• The care recipient's former principal home is not exempt from the means assessment

6

How do temporary absences (of the protected person) from the principal home affect the exemption?

To exempt a home from the aged care means assessment, it must be occupied (at the assessment's DOV) by the care recipient's:

• partner
• dependent child/student
• carer (occupancy 2 years), or
• close relative (occupancy 5 years)

The care recipient's former principal home is occupied if:

• the protected person physically occupies the home, and
• it is their principal place of residence

Situations exist where a temporary absence from the principal home is not because of an intention by the protected person or the care recipient to change living arrangements. These temporary absences from the home do not result in losing the protected person status. For example, the protected person enters:

• respite care
• hospital
• mental or psychiatric institution
• fulltime study at a boarding school
• incarceration:
• Protected person status is not automatically lost because of incarceration
• While incarceration for life is not considered a temporary absence, lesser periods of incarceration are assessed on a case by case basis.
  For these cases, more escalation is needed for policy advice. See Tier 0 technical support - self-sufficiency

The care recipient's former principal home is not exempt from the aged care means assessment if the protected person temporarily moves out of the home for other reasons. For example, the protected person moves out of the home during renovations. If the protected person re-occupies the home after renovations are completed, the home is again exempt from means assessment.

7

Does the partnered protected person status apply if living separately and apart?

Under the provisions of living separately and apart, the individuals are deemed to be single and paid a single rate of income support payment. The single income and assets test provisions apply to the individuals assessed as living separately and apart.

This means that the protected person partner exemption is not applicable. A protected person carer exemption can still apply if the criteria is met.

8

When is a self-contained living area or dual occupancy dwelling considered a principal home?

Where the care recipient indicates the principal home is a dual occupancy or has a self-contained living area, further assessment is required to determine home ownership and protected person status.

See Determining homeowners and non-homeowners for more details.

If the carer lives in a separate dual occupancy dwelling they paid for, it is their asset. They are considered to be living in their own home, not the home of the aged care recipient. In these scenarios, they do not meet the protected person criteria. This is assessed when documents are provided.

Where a carer lives in a self-contained living area attached to the care recipient's home, if the carer paid for the extension, they may have an interest in the home similar to a part owner. When documents are lodged, refer these to a Complex Assessment Officer for assessment.

See Identifying and making suitable referrals to the Complex Assessment Officer (CAO).

9

Do new principal home exemptions apply when transferring aged care homes?

When a care recipient transfers from one aged care service to another and has a new means assessment, the former principal home cannot become exempt for the first time under the carer or close relative protected person status criteria.

Example:

• Close relative starts living in the care recipient's principal home in March 2006
• In March 2007 the care recipient entered residential aged care and their home was not exempt (for aged care) because the close relative had not occupied the care recipient's home for the required 5 years
• In March 2012 the care recipient applies for a new means assessment because they plan to move to a new aged care service
• In March 2012 their close relative has now occupied the care recipient's former home for more than 5 years
• The home is not exempt from the new means assessment as the home was not exempt under the close relative rule at the date of the original assessment

By contrast, a partner or dependent child can gain a protected person status if the care recipient transfers from one aged care service to another.

Example:

• Single non-homeowner care recipient entered residential aged care in 2007
• in 2009 they married a person who owns their own home and who is not in residential care
• In 2012 the care recipient in care completes a new means assessment because they plan to move to a new aged care service
• At the date of effect of the new means assessment the care recipient is a member of a couple and their partner is living in the home that is owned by the couple, which makes it exempt for the new means assessment

10

If a care recipient changed facilities, will a previously approved protected person exemption continue?

Yes, as long as the protected person still resides in the care recipient's former home and would still be eligible for an income support payment (ISP), the exemption can be continued.

This will also be the case if there was a break in care between changing facilities, as long as the exemption had previously been granted.

11

What happens to the aged care principal home exemption if a couple enter care on the same day?

Pre 1 July 2014 means assessments

The principal home exemption is retained for both members of the couple if:

• both members of the couple had an assets assessment completed prior to entering care, and
• they enter care on the same day

Post 1 July 2014 means assessments

The former principal home is not exempt for either care recipient if both members of a couple enter care on the same day (even if they have a pre-entry means assessment that exempts the home).

12

What happens to the aged care principal home exemption when a couple enter care on different days?

If a couple enter care on different dates:

Pre 1 July 2014 means assessments

The asset assessment completed at the date of entry into care does not update due to the change in circumstances.

Post 1 July 2014 means assessments

• The home is exempt for the first member of the couple into aged care
• If the remaining partner enters aged care, the former home is no longer 'protected'
• The former home is assessed from the date the last partner vacates (even if they had a pre-entry means assessment that exempts the home)
• It is possible the first member of the couple is assessed 'low means' and the partner assessed as 'not low means'

Note: if a couple receive an income support payment, the 2 year home exemption for both partners commences from the date the last partner leaves the home.

See Vacation of principal home due to illness for more details.

13

How is the principal home assessed when the partner moves to a new home after the care recipient enters care?

There is no requirement in the legislation for the aged care recipient to have resided in the principal home occupied by the partner.

The aged care recipient is a homeowner if either they or their partner (not in care) has a right or interest in one residence that is the partner's principal home, and this the right of interest gives the partner a reasonable security of tenure in the home.

When a care recipient and partner sell the principal home and the partner intends to remain in the community and purchase a new principal home, disregard the proceeds of the sale for:

• 12 months when date of sale was prior to 1 January 2023, or
• 24 months when date of sale was on or after 1 January 2023

The care recipient and partner are considered homeowners during this time.

See Sale of principal home for more details.

14

Does the principal home exemption continue if the carer or close relative moves to a new home?

When a carer or close relative moves into a new property after the care recipient has entered care, the protected person home exemption no longer applies, even if the property is purchased in the care recipient's name.

The protected status is not applicable to the new home because:

• it is not the care recipient's principal home
• the care recipient is no longer a homeowner for aged care means testing purposes
• the value of the property is assessed as a real estate investment

Note: when assessing the initial protected person eligibility, if the care recipient has changed address during the relevant 2 or 5 year period, a home ownership exemption may apply as long as the carer or close relative has continued to live with them.

15

Can the principal home exemption apply if the carer or close relative has maintained a separate address as their principal home?

Carers and/or close relatives who have not updated their address to the care recipient's address will be treated as residing at the address of the property they own/rent, not the address of the care recipient.

Organisations that have addresses may also require updating to include state licencing agencies (drivers licence), Medicare, Electoral Commission and other government agencies or commercial enterprises.

Address verification is required for the entire period of time applicable for the assessment for the following periods/categories:

• 2 years - carer
• 5 years - close relative
• 10 Years - aged care hardship assistance

Field

Text

To

Workload management - Aged Care

Subject

Request for Status of Protected Person <Surname - CRN>

Message

Hello

The authority for seeking this information is contained in the relevant means assessment form. The carer/close relative has signed the Consent by carer or close relative to allow use of this information for means assessment purposes.

Care Recipient Details:

• Full name:
• Date of Birth:
• Care Recipient ID:
• Centrelink CRN:
• DVA UIN/DVA Ref no:

Carer or close relative details:

• Full name:
• Date of birth:
• Centrelink CRN:
• Address:
• Phone Number/contact:
• Relationship to care recipient: <Carer/Close Relative>

Requested by:

• DVA Contact officer:
• Email:
• Phone:

Information required:

The <carer/close relative> with CRN <CRN>:

(remove not applicable)

• Is receiving or has been assessed as eligible to receive and income support payment from Centrelink
  OR
• Is not eligible to receive an income support payment from Centrelink due to <reason>
  OR
• Did not reply to Request for Information issued on <DD/MM/YY> and eligibility could not be established
  OR
• Did not give consent for DVA request

Address verification:

(remove not applicable)

• Address on record does match address provided with start date of <DD/MM/YY>
  OR
• Address currently on record does not match address provided

Information provided by:

• Centrelink Service Officer:
• Email:
• Date: