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Risk prevention and management in aged care: A complete guide for Australian providers.

Australia’s aged care sector is in the middle of a transformation. Our ageing population is growing, community expectations are rising, and government reforms are reshaping the way providers operate. Delivering safe, high‑quality care has always been the priority, but the stakes have never been higher.

Effective risk prevention and management are essential not just for meeting compliance obligations, but for protecting residents, safeguarding staff, and ensuring the sustainability of your service.

From November 2025, the new Aged Care Act 2024 will take effect, ushering in a rights‑based, consumer‑focused, outcomes‑driven regulatory framework. This guide explores the principles of risk prevention in aged care, the key hazards and regulations you need to know, and the practical steps you can take to prepare for the future.

Download our free Aged Care Act 2024 guide to explore practical strategies and checklists for strengthening governance, risk, and compliance in your organisation:

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The principles of risk prevention in aged care

The best aged care providers take a proactive approach to risk. Rather than waiting for incidents to happen, they focus on preventing harm through systematic governance and continuous improvement.

Core principles include:

  • Proactive over reactive: Identify hazards early and address them before they cause harm
  • Embedding safety culture: Risk management is everyone’s responsibility, from board members to frontline carers
  • Continuous improvement: Use data, audits, and feedback to refine systems
  • Integration with governance: Link risk management to strategic planning, quality improvement, and financial sustainability

Common hazards in aged care and why they matter

Aged care environments face a unique mix of safety risks. Left unmanaged, these can cause serious harm and trigger regulatory action.

  • Slips, trips, and falls: Mobility issues and environmental hazards make falls a leading cause of injury among residents
  • Infection risks: Outbreaks can spread rapidly, especially in shared living environments
  • Medication errors: Incorrect administration can have serious, sometimes fatal, consequences.
  • Psychosocial hazards: Isolation, neglect, or lack of emotional support can harm residents’ mental wellbeing.

Real‑world example: In 2020, an aged care resident at a Bolton Clarke facility in Lake Macquarie was escorted down a corridor when they were struck by another resident with dementia, causing them to fall and sustain a neck fracture. The resident later died from complications of the injury. 

Following a coronial inquest, Bolton Clarke implemented a comprehensive safety review and reforms. These included:

  • Introduction of a detailed post‑fall management guideline, complete with clinical and non‑clinical flowcharts.

  • Revised falls prevention procedures, including environmental audits and step-by-step incident response processes.

These actions appear to have significantly improved incident response and prevention protocols within the facility.

The legal and regulatory framework

Risk prevention in aged care is shaped by several interconnected regulatory frameworks:

  • Aged Care Quality Standards[1]: Eight standards covering consumer dignity, ongoing assessment and planning, personal and clinical care, services and supports, the service environment, feedback and complaints, human resources, and organisational governance. Providers must demonstrate continuous compliance with these standards in day‑to‑day operations, not just during audits.
  • Serious Incident Response Scheme (SIRS)[2]: A mandatory framework for identifying, recording, and reporting specific types of serious incidents (such as physical or sexual assault, unexplained absences, neglect, or psychological abuse) within strict timeframes. SIRS obligations require not only incident management but also preventive action planning.
  • Infection Prevention and Control (IPC)[3] mandates having an IPC Lead in every facility and ensuring compliance with national infection control guidelines.
  • Work Health and Safety (WHS)[4] governs workplace safety for employees, contractors, and visitors.

governance, risk, and compliance (GRC) approach integrates these requirements into a single, coordinated system. Instead of separate spreadsheets and ad‑hoc processes, GRC connects risk registers, obligations management, incident reporting, and assurance workflows,making it easier to demonstrate compliance during audits and to regulators.

What’s changing in November 2025: The Aged Care Act 2024

The Aged Care Act 2024[5] is the biggest reform to the sector in decades. Its aim: move from a provider‑centric model to one that is rights‑based, consumer‑focused, and outcomes‑driven.

Key changes include:

  • Statement of rights: Residents’ rights enshrined in legislation, requiring providers to reflect them in practice
  • Revised provider registration categories ensuring the right standards for different care types.
  • Strengthened prudential standards: Tighter controls over financial governance and sustainability.
  • Updated compliance obligations: Clearer, stronger requirements for reporting, complaints handling, and feedback systems.

Originally scheduled for 1 July 2025, the Act’s start date is now 1 November 2025. The government’s deferral recognised the scale of change and gives providers time to finalise preparations.

This is not a pause button. Providers should use the extra time to:

  • Embed compliance into operations rather than relying on quick‑fix policies.
  • Train staff and test new workflows ahead of the go‑live date.
  • Streamline reporting and reduce duplication by consolidating data into a single source of truth.

Practical risk prevention strategies

The most effective providers use a combination of preventative measures and robust systems:

  1. Regular, structured risk assessments: Document hazards, assess likelihood and impact, and track mitigation actions. Align these assessments with the Aged Care Quality Standards to ensure nothing is overlooked.
  2. Incident reporting and investigation: Clear, simple processes that encourage reporting without fear of blame. For SIRS, this means ensuring all reportable incidents are logged and submitted within the required timeframes, along with action plans to prevent recurrence.
  3. Infection control protocols: Regular staff training, visitor management, cleaning regimes, and vaccination programs to meet IPC requirements.
  4. Staff competency and role clarity: Ensure every staff member understands their risk management responsibilities and how they relate to both Quality Standards and SIRS.
  5. Centralised GRC platforms: Integrate risk, compliance, and incident data for real‑time visibility. This reduces duplication and makes compliance evidence easy to produce during audits.

Building a safety and compliance culture

Culture is the glue that holds your risk management together. Without it, even the best systems can fail.

  • Leadership commitment: Visible endorsement of safety and compliance from executives and boards
  • Open communication: Encourage staff to raise concerns and share ideas for improvement
  • Recognition and reward: Acknowledge proactive risk management behaviours
  • Consumer engagement: Involve residents and their families in safety planning and quality discussions

Financial and operational benefits of strong risk management

Good risk management isn’t just about avoiding harm, it’s about running a better business.

  • Reduced incident and liability costs: Fewer claims, fines, and unplanned expenses
  • Improved reputation: Stronger trust with residents, families, and regulators
  • Better audit outcomes: Reduced stress and improved compliance ratings
  • Operational efficiency: Eliminate duplicated work and improve resource allocation

Conclusions and next steps for your organisation

Whether you’re new to aged care governance or refining your systems, risk prevention is the foundation of safe, high‑quality care. The November 2025 reforms are your opportunity to embed better systems, not a reason to delay.

By understanding the hazards, complying with current standards, preparing for the new Act, and fostering a culture of safety, you’ll protect residents, support staff, and strengthen your organisation for the future.

See how Protecht ERM can help: Replace spreadsheets with structured registers, consolidate incident, risk, and feedback data, and support compliance with real‑time dashboards.

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References

[1] https://www.agedcarequality.gov.au/older-australians/your-rights/aged-care-quality-standards

[2] https://www.health.gov.au/topics/aged-care/providing-aged-care-services/quality-obligations-for-providers

[3] https://www.agedcarequality.gov.au/about-us/legislation-and-policies

[4] https://www.legislation.gov.au/C2024A00104/asmade

[5] https://www.agedcarequality.gov.au/about-us/legislation-and-policies/new-aged-care-act

About the author

For over 20 years, Protecht has redefined the way people think about risk management with the most complete, cutting-edge and cost-effective solutions. We help companies increase performance and achieve strategic objectives through better understanding, monitoring and management of risk.