What is the ‘No Worse-Off’ Policy?

Change can feel unsettling, especially when it comes to the care you rely on every day.

If you’ve been receiving a Home Care Package, you may have questions about the new Support at Home program which has replaced it.

The transition introduced new ways of organising and funding home care, but protections were put in place to support people who were already receiving services.

In this article we’ll cover:

• What the “no worse-off” principle means
• How it protects you
• What “grandfathered” status means
• How Brightwater can support you through these changes.

What is the “no worse-off” principle?

The “no worse-off” principle is a protection introduced by the Australian Government when the Support at Home program replaced Home Care Packages.

Fern Raynham, Brightwater’s Service Leader, explains that the principle means people who were receiving a Home Care Package before the new system began will not pay higher personal contributions for the same types of support when moving to Support at Home.

In simple terms, your personal contributions under Support at Home will be the same as, or lower than, what you paid under the Home Care Packages Program for the same kinds of support.

“It’s essentially a protection that’s been put in place by the Federal Government to ensure that people who are transitioning from Home Care Packages to Support at Home aren’t disadvantaged personally,” Fern said.

Why was this policy introduced?

When creating the new Support at Home system, the Australian Government recognised that many people had built their lives and budgets around their existing arrangements. The “No Worse-Off” policy was introduced to help make the move to the new system smoother for people who were already receiving support.

“It means if you were receiving a Home Care Package before the changes came into effect, your personal contributions will be protected and you’ll continue under your existing contribution arrangements unless you choose to opt into the new Support at Home arrangements,” Fern said.

The aim was to provide stability during the changeover and support clients in getting the most out of their funding.

You can read more about the aged care changes that were introduced on 1 November 2025 here.

Am I protected by “grandfathered” status?

You have “grandfathered” status if:

• You were receiving a Home Care Package as of 12 September 2024, or
• You were approved for a Home Care Package as of 12 September 2024.

This status is automatically applied to your care. You don’t need to apply for it or fill out any special forms. If you were in the system on those key dates, you’re covered.

How do these policies support me?

Here’s what to expect if you are “grandfathered”.

Your personal contributions remain the same or lower

This means your personal contributions towards your care will remain the same as, or lower than, for the same types of supports.

You maintain control

The transition to Support at Home won’t happen overnight. Your current services will continue. Any changes to your care will be made with your involvement and consent.

No unexpected contribution increases

Your personal contributions won’t increase simply because the aged care system has moved to Support at Home.

Under Support at Home, the price of each service now includes the full cost of delivering that service, including administration and management costs.

This means the service price represents the total cost of providing that support, and your budget is only charged for the services you receive.

Support at Home pricing also makes it easier to see exactly how much care you have received and how much of your budget has been spent.

What happens if my circumstances change?

If you need to be reassessed because your circumstances change, you will transition to the Support at Home program. However, the protections around your personal contributions will still apply.

Your funding may remain similar or increase if your care needs increase. Any unspent funds in your Home Care Package will carry over to the new system and be used in line with the Support at Home rules.

Case studies of the transition to Support at Home

Let’s look at some examples of the transition to the new system in action.

Margaret’s Story

Margaret:

• Is 78 years old
• Receives a Level 2 Home Care Package since early 2024
• Gets help with cleaning, shopping, personal care twice weekly, and medication management
• Pays an income-tested care fee (otherwise known as ITF).

What happened:

• When Support at Home launched, Margaret was automatically grandfathered, meaning the no worse-off principle applied to her personal contributions (the amount she pays towards her care based on her income, previously calculated through the ITF)
• Margaret’s Care Partner worked with her to develop a budget that aligned with her care goals and the services she was already receiving

The result:

• With a few small service adjustments, Margaret continued receiving regular services from Brightwater
• As a result, her care remained consistent and her personal contributions stayed the same.

Robert’s Story

Robert:

• Is 82 years old
• Approved for Level 3 Home Care Package in August 2022
• Package allocated in early 2023
• Full pensioner.

What happened:

• Robert's health gradually declined and he needed more frequent assistance
• As Robert was a full pensioner, he was not required to make personal contributions under his Home Care Package.

The result:

• When Brightwater helped him transition to Support at Home, they adjusted his services to better match his current needs
• He continued to pay no personal contributions
• Robert was later reassessed and moved to Support at Home Level 5, and still was not required to pay any personal contributions due to his grandfathered status.

The Chen Family’s Story

The Chen family’s situation:

• Mrs Chen is 85 years old
• She receives a Level 4 Home Care Package
• Her daughter Lin manages care coordination
• Lin was worried about losing services or facing higher costs.

What happened:

• Lin contacted Brightwater with her concerns
• Brightwater reassured her that Mrs Chen's grandfathered status protected her personal contributions under the no worse-off principle
• The team also explained what would remain the same and the timeline for any changes.

The result:

• The family felt relieved knowing Mrs Chen's personal contributions would remain protected
• With Brightwater's guidance, the family and the Brightwater team worked together to redesign services so they could continue supporting Mrs Chen's goals under the new Support at Home program.