What is the role of the Independent Health and Aged Care Pricing Authority (IHACPA)?

Learn about IHACPA’s authority in aged care accommodation pricing, including maximum payment approvals, decision reviews, and independent pricing.

Key areas covered:

  • What authority does IHACPA have over accommodation payments in aged care?
  • Can IHACPA’s decisions be challenged or reviewed?
  • What role does IHACPA play in accommodation pricing reviews?
IHACPA aged care pricing authority – IHACPA's Role in Australian Aged Care Accommodation Pricing & Reviews

What authority does IHACPA have over accommodation payments in aged care?

IHACPA (Independent Health and Aged Care Pricing Authority) has the power to approve or reject higher maximum accommodation payment amounts requested by registered providers. They must consider applications, make decisions, and notify providers in writing of their determinations. For new constructions or refurbishments, IHACPA must include specific conditions prescribed by the rules.

Can IHACPA’s decisions be challenged or reviewed?

Yes, IHACPA’s decisions are reviewable. Affected entities can request reconsideration of decisions within 28 days of notification (or 90 days for specific decisions). These requests must be made in writing with stated reasons. The System Governor, Commissioner, or Complaints Commissioner may extend these timeframes upon request.

What role does IHACPA play in accommodation pricing reviews?

IHACPA contributes to the broader review of accommodation pricing under the Aged Care Act. An independent review must be conducted and reported to the Minister, with findings to be tabled in Parliament by July 1, 2026, ensuring transparency and oversight of pricing mechanisms.

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