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What are service agreements under the NDIS?

When you agree to use your NDIS budget to pay a provider for supports, this is called a service agreement.


Service agreements are common in many industries where they may be called contractors agreement.


In a nutshell, a service agreement is a negotiation and agreement between you and your provider which clearly outlines what each party has agreed to. For example, a participant agrees to pay a certain amount for a specific support from the provider.


Want to know more? We’ve compiled everything you need to know about service agreements below!




What are service agreements under the NDIS?


Understanding all of the elements of a service agreement


It’s important to have a clear understanding of all the aspects that need to be considered and agreed upon within your service agreement. We’ve listed some below:

  • What supports are provided

  • The responsibilities of your provider

  • The length of the agreement

  • Your responsibilities

  • The cost of the supports

  • A clear conflict resolution process



Prioritise a written service agreement

The NDIS requires that a written service agreement is created for Specialist Disability Accommodation (SDA), however they are not a requirement for other supports.


Despite it not being required, it’s encouraged to have your service agreements in writing to ensure there are no misunderstandings and you are able to reference the agreement if there are any issues.



Important things to note

  • A service agreement is covered by Australian Consumer Law

  • The language of a service agreement should be clear and understandable for all parties

  • Your provider may have a standard agreement template that you can use, or you can create your own tailored to you!

Service agreements are an important element of the NDIS as they ensure both participants and providers are protected under the law.


Do you have questions about service agreements? Or maybe you’d like help managing your NDIS plan and invoices? The Bright Plan Management team is here to help!


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