Understanding Medicare Coverage
Alternative Options to Finance Assisted Living Costs
Medicare typically does not cover the costs of assisted living facilities. Medicare primarily provides coverage for healthcare services, such as hospital stays, doctor’s visits, and certain medical procedures. Assisted living facilities primarily offer non-medical, custodial care, which may include assistance with activities of daily living (ADLs) like bathing, dressing, and meal preparation.
If you or your loved one requires assistance with personal care and daily activities, understand that Medicare is not the primary source of funding for assisted living. However, there are alternative options to explore for financing assisted living:
- Medicaid, a joint federal and state program, may provide coverage for long-term care services, including assisted living, for eligible individuals with limited income and assets. Medicaid eligibility and coverage for assisted living can vary by state.
- Long-term care insurance policies are specifically designed to cover the costs of assisted living and other long-term care services. The coverage and terms of these policies depend on the specific policy you purchase.
- Some individuals choose to private pay using personal savings, investments, or other financial resources to pay for assisted living. Keep in mind that the cost of assisted living can vary widely based on location and the level of care needed.
- Veterans or their surviving spouses may be eligible for benefits through the Department of Veterans Affairs (VA) to help cover the cost of assisted living. The Aid and Attendance Pension program is one such program that can provide financial assistance.
- The PACE program is an alternative available to allow individuals to continue to age in place in their home longer while receiving the care and support they need to do so safely.
It’s essential to research and consider your financial options and eligibility for different programs when planning for assisted living. Each individual’s circumstances and financial situation may differ, so consulting with a financial advisor or a specialist in senior care financing can be beneficial in making informed decisions about how to cover the costs of assisted living.