Jump to content

Aged Care Services


scotchnice

Recommended Posts

Scummo only called a royal commission on aged care because 4 corners tonight starts a two part special on the aged care sector and he wants to get ahead of the story. According to the ABC when 4 corners put out a call for anecdotes about abuse in aged care facilities they were overwhelmed with the number of responses.

 

The thing is a politican should never ask a question that they don't know the answer to, and I think that once the horror stories start coming out on a daily basis from the rc the government will be put on the defensive. Maybe the plan is to have the election before the rc gets underway.

Link to comment
Share on other sites

  • Replies 44
  • Created
  • Last Reply

Top Posters In This Topic

Not sure an RC is really needed. No doubt the sector is riddled with horror and corruption. But what good is airing the dirty laundry gonna do?

 

What happened to the old days of announcing a 6 month task force, and then a 7 point plan and some funding?

 

Trouble is, in western societies when your old and poor, no-one cares: That's one of my rich mates quotes, and a huge part of what drove him to chase wealth.

 

A few percent of the population are taking note of the Banking RC which shows average people being ripped off left right and centre: Are they really gonna care about the RC for old folk? Nah.

 

If it's liberals attempt to build some credibility, they fail.

If it's the lib's attempt to destroy their brand, they succeed.

Link to comment
Share on other sites

my two bobs on this things

 

ageing issue is like ticking bomb for most of country not just aussies.

Govt. needs private money to help them to tackle this problem

the rc is try to gives bit of knock to those whom abuse the system badly, but no way Govt will intent to destroy it---they simply can not for it. lib or lab.

it's only my view though.

 

i'm little biased as i hold little bit of EHE .

 

 

Link to comment
Share on other sites

  • 6 months later...
As the aged care royal commission rolls on across the country, the troubled sector has received a rare positive signal. The unmistakeable trend of falling property prices, which are down 10-20 per cent Australia-wide, is set to affect costs in aged care.

 

Many people have to sell their family home to pay the infamous Refundable Accommodation Deposits, so it stands to reason that if the family home is worth 20 per cent less than it was last year, RADs become commensurately more expensive.

 

The range of RADs is enormous, varying between different facilities, aged-care providers, locations, even between different rooms within the same facility. So far, RADs have not changed to reflect falling house prices, but we can expect changes soon.

 

Since July 2014, the Minister for Aged Care has had the power to set the RAD threshold under the Aged Care Act. That threshold is currently $550,000. When an aged-care provider wishes to set the RAD above this threshold, it must apply to the Aged Care Pricing Commissioner for approval. (No approval is required if the proposed RAD is less than $550,000).

 

Once a higher RAD has been approved by the commissioner, it remains valid and canâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢t be changed (except for annual CPI increases) for four years, after which it lapses. The aged-care provider must then reapply for a further approval.

 

A wide range of factors determine how much an aged-care facility wishes to charge as a RAD.

 

In their application to the commissioner, providers are required to include details such as quality, condition, size, and amenity of rooms and common areas, business case supporting the proposed pricing, and the cost and value of the facility. Part of the calculation is assessing median house prices and historical bond levels by locality and comparing the proposed RADs to historical bond levels.

 

In theory at least, the commissioner has the power to demand a lowering of RADs in times of falling house prices.

 

Perhaps the most encouraging sign came from listed retirement accommodation provider Aveo, whose business includes mainly retirement villages but an increasing proportion of aged-care services.

 

Aveo management recently acknowledged that the residential property market is posing challenges for its business, including a longer gap between clients signing for rooms, selling their homes and moving in.

 

Aveo is one of the smaller listed aged care operators. When the royal commission was announced last September, shares in the three largest listed companies âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â‚¬Å¡Ã‚¬Ãƒâ€šÃ‚ Regis, Estia and Japara âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â‚¬Å¡Ã‚¬Ãƒâ€šÃ‚ were smashed. All fell at least 20 per cent.

 

All have recovered a little since these lows, but they are still well below the performance of the All Ordinaries index. All reported their interim results last month and all were largely uninspiring.

 

The drop in share prices does not mean that the companies are now cheap. Regis and Japara shares are now on 18 times earnings while Estiaâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s shares are on 15 times earnings.

 

Of course there are two sides to the story. Retirees looking to enter a retirement village must now factor in lower expected proceeds from the sale of a house and possibly longer times to sell those houses.

 

Hopefully, the Aged Care Pricing Commissioner will do the right thing and lower RADs.

 

While the process for entering residential aged care is different to entering a retirement village, the property market downgrades will put pressure on both types of aged-care providers, as well as those entering both types of facility.

 

One effect of lower house prices will be that families will look at lower-priced rooms or different quality facilities.

 

In addition, people are delaying their entry into aged care for as long as possible, and more of them are opting for home care as an alternative to aged care. The government is happy about the latter trend, as it means a smaller funding requirement. Regis recently offered to waive the basic daily care fee for anyone moving into its facilities before June 30.

 

One thingâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s for sure, people and their families looking at aged care should negotiate very hard with the aged-care providers on the RAD, which is, after all, a maximum advertised price that can be negotiated down. If the facility is keen to fill beds, they are often willing to come to the party and agree to a reduction in the RAD.

 

Sooner or later, falling property prices will affect RADs, whether aged-care providers like it or not.

https://www.theaustralian.com.au/business/w...79624b341978d72

Link to comment
Share on other sites

Killing it: Australian Unity takes its elderly Home Care customers to the cleaners

Mar 24, 2019 | Business, Featured

extract

âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’…âہ“Thanks for your enquiry. Australian Unity declines to comment to (sic) your enquiry or respond to the report you refer to (sic)âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’‚ÂÂ.

 

Thatâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s a pity because it would appear that Australian Unity has been exploiting frail and elderly Australians and the governmentâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s home care system as well. Of course, a âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’…âہ“no commentâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’‚ does not constitute proof of guilt; but it surely gives rise to suspicion.

 

Australian Unity is a large private health insurer. It also runs retirement villages and has burst onto the Home Care scene, profiteering from its elderly customers and, like the banks in the Royal Commission, charging for services which were never provided.

 

Not just overcharging a little either. According to sources, Australian Unity charged one elderly customer âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’…âہ“over $600 per month for case management during the period (18 months) when the client had no case managerâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’‚ÂÂ.

 

Another client was charged more in âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’…âہ“administrationâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’‚ and âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’…âہ“case managementâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’‚ fees ($1,276.50) than the cost of providing the actual home care service ($1,251.46).

 

These, amid a litany of other things. Australian Unity is believed to be Provider M in this report to the Aged Care Royal Commission from Dr Sarah Russell of Aged Care Matters.

 

read more - https://www.michaelwest.com.au/killing-it-a...o-the-cleaners/

Link to comment
Share on other sites

  • 6 months later...
Eureka Group Holdings Limited (EGH) is a property asset manager of senior independent living communities in Australia.

 

EGH focuses on flexible guest and care services with 32 owned villages and 9 villages under management representing 2,182 units.

- EGH seems to have stabilised after the widespread selloff across the sector 2017-18

Eureka Business Model

âÅâہ“âہ“ Owner/Operator of independent rental accommodation with a focus on independent retirees who are completely or primarily supported by the Australian Government pension

âÅâہ“âہ“ Target market represents a significant portion of the growing retirement population

âÅâہ“âہ“ Objective to grow and scale the business, through acquisition of traditional villages and development of existing assets. Portfolio and greenfield developments to follow at a later stage

Link to comment
Share on other sites

i agree. EHG has figured out the traditional village model. The rental income is stable at $15.8 Mn, with 91% occupancy.

 

They are looking at four new acquisition targets to recreate this village model: Terranora, Wynnum, Gympie, and Townsville.

 

I like the solidity and the plan for growth. It's everything the existing management team can handle.

 

https://www.eurekagroupholdings.com.au/wp-c...-30-08-2019.pdf

Link to comment
Share on other sites

  • 4 months later...
According to an industry benchmarking report to be released next week by leading aged care consultancy StewartBrown, a staggering 56 per cent of the 1100 individual homes surveyed are already losing money at an operational level.

 

Experts suggest that if the coronavirus hits Australia as hard as some models predict, and occupancy falls further, then some community aged care and smaller for-profit operators will be pushed to the brink âââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â‚¬Å¡Ã‚¬Ãƒâ€¦Ã¢â‚¬Å“ at a time when everything needs to go right in Australiaâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s health system.

 

"Inside one of Australiaâââہ¡Ãƒâ€šÃ‚¬ÃƒÆ’¢Ã¢Ã¢â€š¬Ã…¾Ãƒâ€šÃ‚¢s big listed aged care firms, the attitude is to prepare for the worst and hope for the best."
Link to comment
Share on other sites

do you have any more infos nipper??

 

currently i sit on a big loss { nearly 20%] on both EHE JHC. bought them too early after i did deep check on their balance sheets and assets backing .

at their current price if someone jump in for a take over, that would be huge bargain given the assets they've got .

i thought by 2023 23% of australian population will be over 60's that would be a huge tail win for these stocks, but that freaking virus seems ruined my { smarty pants] :weirdsmiley:

 

if you know bit more inside news please share it here nipper or any other readers.

 

 

Link to comment
Share on other sites

Howdy Eb,

Unlike most Asian families, older people are seen as a bit of a burden.

The kids/ grandkids are waiting for the old folks to pass on so they get their oldies assets passed on.

For every hard luck story on Tv where family members complain about lack of care, there are a hundred others where the family bicker over the costs of what little service is provided.

When my wife owned a pharmacy, she did a lot of webster packs and home medication reviews, she cane across the greedy side of people.

There were descendants who would argue over a pack of tissues provided for the residents.

So while there is continual pressure on the homes by the uncaring greedy bastards, nothing will change.

Mick

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×
×
  • Create New...