The Age Related Residential Care Services Agreement [PDF, 503 KB] details contracted care services. The maximum contribution fee covers these services. The contract is managed locally by District Health Board funding managers.

Maximum contribution

Maximum Contribution is the agreed rate of payment for rest home level of care in each District Health Board (DHB). It  is GST inclusive and rates [PDF, 85 KB] vary according to land value. Rates increase on the first day of July each year. If agreed, a private paying resident can be charged a premium room fee on top of the Maximum Contribution rate.

For high levels of care such as hospital or dementia level care, the cost is greater than maximum contribution. This cost difference is covered by Top-Up subsidy, which applies to all needs assessed clients requiring a high level of care, including those paying privately. Application is made on their behalf by the needs assessor and payment is made directly to the provider, no action is required of the resident or agent.

Care facilities cannot charge for services included in the DHB contract. This applies regardless of how care is funded. Extra can be charged for items or services outside of the contract by negotiation. Additional charges must be specified in the Admission Agreement.

Services covered by contracted care / maximum contribution:

  • Accommodation, meals, cleaning and laundry
  • Nursing and other care
  • Doctor / nurse practitioner visit on admission, then once a month and as clinically indicated, or every 3 months at the doctor’s discretion
  • All prescribed medication costs (Pharmac approved), plus packaging, e.g. blister packs
  • All dressings and supplies used in treatments
  • Continence products to meet assessed need
  • Equipment and mobility aids for communal use
  • Activities that are part of the regular programme
  • Dietician advice, physiotherapy, speech therapy and podiatry if prescribed by a doctor / nurse practitioner
  • Temporary absences - in any year, subsidy continues to be paid during a brief absence: up to 14 days at a time to a maximum of 28 days, or  21 days if you are admitted to a public hospital, longer if approved by needs assessment
  • Transport for health reasons e.g. to and from local public hospital
  • Someone to accompany a resident to a health appointment if no family or friends are available

Services outside the contract:

This is not a complete list.  It includes items and services for which facilities often charge extra:

  • Premium rooms e.g. large room or one with ensuite. 
  • Items like vitamin supplements, unless prescribed by the doctor / nurse practitioner and Pharmac approved
  • Services of dentists, opticians, audiologists
  • Private specialists, x-rays
  • Private medical appointments you have made without the knowledge of the rest home / hospital
  • Personal items such as hairbrushes, razors, TV, radio, cigarettes and batteries. 
  • Personal clothing and dry-cleaning
  • Basic toiletries such as soap, shampoo, toothpaste, toothbrush, talcum powder
  • Hairdressing
  • Wheelchair for exclusive use of one resident
  • Insurance of personal belongings
  • Entrance fees to shows, concerts etc
  • Private telephone, toll calls, internet or Sky TV