UPDATE: NDIA ‘PAUSE’ DEBT RECOVERY FROM PLAN MANAGERS
As Disability Intermediaries Australia (DIA) highlighted on Friday 11th. June, in our article NDIA Automatically Recover Debt From Plan Managers, the NDIA has been automatically raising and recovering debts from Registered Plan Management Providers (RPMPs).
DIA have been engaging heavily with the NDIA over the past weeks in order to achieve a satisfactory solution to this practice. DIA is pleased to advise RPMPs, and the broader disability sector, that following our strong advocacy the NDIA have paused the practice of automatic debt recovery whilst they undertake further discussions and review its policy, practice and governance. The pause extends to claims where the RPMP is not the provider of the direct support or where there is no fraudulent activity suspected.
Commenting on the pause, Disability Intermediaries Australia CEO Mr. Jess Harper said:
“We welcome the decision by the NDIA to pause the current practice of debt recovery, this will facilitate ongoing discussions and review of the policy, practice and governance of the NDIA’s debt recovery practice. We welcome and look forward to continuing our collaborative and positive work with the NDIA in finding a reasonable and sustainable solution.”
Similarly, Martin Hoffman CEO of the NDIA commented:
“We are very keen to get this sorted and clarify expectations all around…I acknowledge that there are complexities and practicalities in this area – we are keen to work with DIA in the interests of the participants and the Scheme.“
DIA will continue to advocate and engage with the NDIA on behalf of Registered Plan Management Providers, and the participants they support. DIA would like thank all RPMPs who contacted DIA with their own experiences of this practice.
If this is a practice you have experienced either firsthand or have heard off since Monday 21st June, please email us directly (info@intermediaries.org.au) and we will have one of our team contact you for further details.
DIA will continue to inform our members and the Intermediaries sector to ensure all intermediary providers are fully informed.
Disability Intermediaries Australia is only able to do this work because of the support of our members. DIA encourages Intermediary providers to consider joining DIA as a member, to ensure we can continue to support our members and the sector.