Understanding the Inequity Between Registered and Unregistered Providers

The NDIS marketplace operates with two distinct provider categories: registered and unregistered. While this dual system was designed to offer flexibility, it has created significant inequities that impact both providers and participants.

The Registration Divide

Registered providers must meet stringent quality and safeguarding requirements, undergo regular audits, and maintain comprehensive documentation. Unregistered providers face no such requirements.

Financial Implications

The cost of maintaining registration can be substantial: - Annual audit fees ranging from $5,000 to $30,000 - Compliance staff and systems - Training and professional development - Quality management overheads

Market Distortions

This creates an uneven playing field where: - Unregistered providers can operate with lower overheads - Registered providers bear regulatory burden without corresponding premium - Participant choice becomes influenced by price rather than quality

The Path Forward

Addressing these inequities requires: - Reviewing pricing models to account for compliance costs - Strengthening oversight of unregistered providers - Creating clear value propositions for registration

The NDIS must evolve to ensure quality and safety without penalizing providers who commit to higher standards.