Confused how to pay for long term nursing home care, and about Medicaid and ALTCS? You’re not alone! The complexity surrounding this constantly changing area of the law can sometimes feel overwhelming… it doesn’t need to be. Here are the five most common ways to pay for long term nursing care:
- Medicare: Provides very limited long-term care coverage. Many people incorrectly assume Medicare will take care of their nursing home care expenses. Unfortunately, Medicare typically covers a maximum of 100 days of long-term care.
- Long-term Care Insurance: If your loved one has a policy it may cover most – or even all – of his or her nursing home expenses. It’s important to review the policy as soon as you suspect a nursing home stay may be necessary.
- Children and Loved Ones: There is no good reason for you to bear the responsibility for your parent’s nursing home bills. Often, however, nursing home care agreements attempt to make a resident’s children or other loved ones responsible for a resident’s bills. Check the agreement and do not sign anything that you don’t understand – and don’t take the nursing home’s word for it. Get guidance from a qualified Elder Law Attorney.
- Reverse Mortgage: When savings and income are not enough to cover the entire bill for long-term care, reverse mortgages are becoming an increasingly popular option. Homeowners can draw on the equity in their home, and not have to worry about the loan coming due as long as they reside in the home. It is not a good choice for those who want to pass their homes on to their heirs.
- Medicaid: This is the most popular option for the American middle class and contrary to popular belief, you do not have to impoverish yourself or your family in order to qualify. Depending on their income and assets, your loved one may be able to qualify for Medicaid.