Dodgy carers and service providers could soon be banned from entering the National Disability Insurance Scheme.
The proposed new powers follow the death of South Australian woman Ann Marie Smith.
Ms Smith, who had cerebral palsy, was left in squalid conditions while under the care of the NDIS, with the 54-year-old later dying in hospital.
NDIS Minister Stuart Robert is planning to introduce the proposed powers to federal parliament within the next two weeks.
The NDIS Quality and Safeguards Commission would be able to draw on sources outside the scheme to determine a ban, including a worker's history at aged or child care centres.
A blacklist already exists of people banned after working in the NDIS, but the updated powers would stop risky operators entering or re-entering the scheme.
People with Disability Australia spokeswoman El Gibbs said the new powers would be the first step towards improving safeguards in the NDIS.
"The recent death of Ann Marie Smith, and other abuse of people with disability, have exposed the many gaps that exist in the current system," Ms Gibbs told AAP.
She said the next step would be to allow the commissioner to proactively investigate and do random spot-checks of disability service providers.
"The disability royal commission also needs to have a holistic inquiry into all safeguarding systems, both for the NDIS and for non-NDIS services," Ms Gibbs said.
The advocacy group has released a new survey that explores the financial impact of the coronavirus pandemic on people with disabilities and their carers.
People with disabilities have reported spending more on groceries, healthcare and phone bills.
People on the disability support pension are ineligible for the federal government's $550 fortnightly coronavirus supplement.
"Many people with disability already live in poverty and rely on income support," Ms Gibbs said.
The survey of 204 people also found 40 per cent had received less NDIS support during the pandemic.
Australian Associated Press