A premium room (or a room that has premium accommodation charges) is a room that has features that are NOT required under the Age Related Residential Care Agreement (ARRC) (i.e., they are over and above the standard features and services).
Those who pay for premium accommodation do not get a higher standard of care than those with limited financial means. The difference is they may get better surroundings in which to receive that care.
Premium features generally refer to fixed features (such as an ensuite, tea/coffee making area or a view) and/or features associated with the room (such as adjoining garden or access to recreational equipment). There are additional costs for these features (the daily price varies widely, from $5 to $100 plus). The price does not necessarily reflect the quality of these additional features, so you need to compare what you are being offered at one home with another.
If you accept the offer of a premium room/feature you can change your mind. You will likely be asked to move rooms. The 10km Rule governs this process.
Given the range of options people are now faced with, knowing the costs around the options is important. Providers keep a record of any additional services and features you might be offered and those you agree to purchase. They are also required to publish their premium accommodation charges on a website. You may find it on providers’ own websites and/or on https://www.eldernet.co.nz/vacancies
Background
Over recent years there has been an increase in premium accommodation. The main factors that have contributed to this are: changing community expectations (e.g., many people now expect an ensuite in their room); and a shortfall in funding for standard residential care services. These days, many premium rooms are actually closer to what you'd expect a standard room to look like. This is because a lot of facilities have to include premium room charges in order to keep their doors open; they can't afford to operate if they don't do so.
While fees for premium features have allowed providers to maintain and /or update facilities, it has had a knock-on effect of reducing the numbers of standard/non-premium rooms, making them hard to come by in some areas. If you're struggling to find a standard room in the area you want, the 10km Rule can help.
*Standard residential care features and services are those defined in the ARRC agreement. There is a maximum price that can be paid for standard services.
Updated: 8 Dec 2025