What is a service agreement?
When you agree to use your NDIS budget to pay for supports, you are entering into a contract with your provider.
A service agreement is an agreement between you and your provider that makes it clear to what you have both agreed to. It is covered by Australian Consumer Law.
The NDIA recommends having a written service agreement so participants and providers are clear about what each party has agreed to. For example, what supports will be delivered and how they will be delivered.
Making a service agreement is a negotiation between you and your provider. You can involve another person, such as a family member or friend. Your provider may have a standard service agreement that you may like to use, or you can create your own.
Providers should support you to understand any service agreement using the language and way of communicating you understand.
A written service agreement must be in place for Specialist Disability Accommodation (SDA) supports under the NDIS. For other supports, the NDIA does not require a written service agreement.
The NDIA is not a party to service agreements between providers and participants. We will take action if the agreement doesn’t align with the NDIS Act 2013 and the NDIS Pricing Arrangements and Price Limits.
Things to consider when making a service agreement
When you negotiate a service agreement, you should understand things like:
- what supports are being provided
- the cost of the supports
- responsibilities of your provider
- your responsibilities
- how long the agreement goes for and how it can be changed
- dispute resolution process.
Things to think about when making a service agreement (PDF 182KB) and Making a Service Agreement: Things to think about – Easy Read (PDF 4MB) can help you when you are thinking about what to include when making a service agreement.
For more information about service agreements, contact us. Other information is also available from these organisations:
NDIS Quality and Safeguards Commission
The NDIS Quality and Safeguards Commission (NDIS Commission) is responsible for regulating providers. More information about service agreements is available on the NDIS Quality and Safeguards Commission website .
The Australian Competition and Consumer Commission
The Australian Competition and Consumer Commission (ACCC) has information about entering into a contract and information for consumers with a disability. More information about your rights under Australian Consumer Law is available on the ACCC website .
Australian Taxation Office (ATO)
Many, but not all, NDIS supports provided to NDIS participants are GST-free. You can find further information about the NDIS and GST on the ATO website .