Introduction:

Navigating the world of the National Disability Insurance Scheme (NDIS) requires more than just providing services—it demands integrity, transparency, and strict compliance with governance standards. Among the most critical, yet often misunderstood, areas is conflict of interest (COI).

Whether you're a support coordinator, service provider, or plan manager, understanding how conflicts of interest work—and how to avoid them—is essential not just for compliance, but for delivering fair and ethical services to NDIS participants.

🔍 What Is a Conflict of Interest in the NDIS?

A conflict of interest arises when a provider’s personal, financial or organisational interests could compromise—or appear to compromise—their impartiality, integrity, or decision-making when delivering services to a participant.

This doesn't mean something illegal is happening. But even the perception of unfair influence can damage trust, lead to poor participant outcomes, and put providers at risk of breaching the NDIS Code of Conduct or the NDIS Practice Standards.

🎯 Key Examples in Practice

• Support Coordinator refers participant only to their own organisation’s services.
• A provider owns multiple businesses (e.g. plan management and core supports) and does not disclose this relationship.
• Family-run businesses where personal relationships influence service delivery.
• Undisclosed financial incentives or referral fees between providers.

In each case, the participant’s ability to make an informed, independent decision is compromised—whether knowingly or not.

🏛️ What the NDIS Commission Says

The NDIS Quality and Safeguards Commission outlines clear expectations under the NDIS Code of Conduct and NDIS Practice Standards:

“Providers must act with integrity, honesty and transparency, and manage conflicts of interest to ensure participants are not disadvantaged.”

– NDIS Commission, Managing Conflict of Interest Guidelines

Key requirements include:

• Full disclosure of potential conflicts
• Transparent documentation and participant consent
• Ensuring participants are informed of all available options, not just in-house services
• Ensuring support coordination is clearly separated from other service delivery functions

(See: NDIS Provider Governance and Operational Management)

💼 Real-World Case Study

Case: Coordinated Supports Pty Ltd

A medium-sized NDIS provider operating support coordination and therapy services under one roof was flagged during an audit. Auditors found:

• Coordinators were exclusively referring clients to in-house therapists
• No formal COI policy or participant disclosures were in place

Outcome:

They received a Corrective Action Notice and were required to:

• Create a COI management policy
• Train staff in ethical referral practices
• Show evidence of diverse referral pathways

✅ How Providers Can Manage Conflicts of Interest

Here’s a step-by-step approach to maintaining compliance and trust:

1. Develop a Clear Policy

Your policy should define what constitutes a conflict, provide examples, and outline reporting procedures.

2. Train Staff Across the Board

From admin to frontline workers, everyone should understand what to look for and how to respond.

3. Disclose, Always

If you refer participants to related services (e.g., owned by the same director), disclose this relationship in writing and obtain informed consent.

4. Offer Choices and Support Decision-Making

Empower participants by offering a list of multiple providers or service options. Don’t pressure or imply that your in-house option is superior.

5. Separate Functions Internally

Avoid dual roles—don’t allow staff to deliver both support coordination and direct supports to the same participant.

📊 Tools and Templates

Assist Providers recommends providers use:

• Conflict of Interest Register
• Referral Disclosure Forms
• Participant Consent Templates
• Annual COI Staff Declarations

These tools protect you in audits and foster participant trust.

⚖️ Legal & Ethical Implications

Failing to manage COIs can lead to:

• Breaches of the NDIS Code of Conduct
• Audit non-compliance and penalties
• Suspension or revocation of NDIS registration
• Loss of participant confidence

In the worst-case scenario, unmanaged conflicts may contribute to exploitation, which is considered reportable conduct.

🧭 Final Word: Transparency Builds Trust

Participants deserve to make decisions based on clear, unbiased information. For NDIS providers, managing conflict of interest isn’t just ticking a compliance box—it’s about upholding the dignity, safety and independence of the people you serve.

By taking a proactive approach, you position your organisation as a trustworthy, ethical leader in the sector. And at Assist Providers, we’re here to support you every step of the way.