Medicare and health insurance do not cover nonmedical home care. Most home care services are paid out-of-pocket by the client, by private long term care insurance or through State Medicaid program. If you are considering in-home care but are concerned about cost, there are several options that you may not be aware of. Sometimes just a few caregiver visits a week can make the difference between remaining at home safely, and needing to move out of the home. An agency representative should meet the client in their home and conduct a free assessment of the client’s needs. They should be able to determine how many hours of service would be required to meet those needs. Once the number of hours has been determined, financial options can be considered.
Funding Sources for Home Care*
- Medicaid – State Funded – For those who meet the medical and financial eligibility criteria, State programs may provide an in home caregiver to assist you with your personal care, homemaker and companion care needs. To apply, contact your State to initiate an application. There are also companies that can help you through this process for a fee.
- Reverse Mortgages – A Reverse Mortgage is a “loan in reverse”. This type of unique loan is a loan against your home that you do not have to pay back for as long as you live in your home. To be eligible for a “reverse mortgage” you must be 62 years of age or older, have home equity amounts established by the lender, and meet other specific eligibility criteria.
- Veterans Benefits – Veteran households may be eligible to receive additional monthly cash benefits which can be utilized to purchase in home care services. The veteran must have been “honorably discharged”, served 90 days or more of active duty with at least one day during a wartime period (veteran did not have to be actively engaged in a war effort), meet family income and assets criteria, be 65 years of age or older OR be disabled if younger than 65 years of age. A surviving spouse of a veteran meeting the above guidelines may also be eligible.
- Long Term Care Insurance – Most private long term care insurance policies cover in-home care
- Voluntary Health Organizations – Many people with chronic or other health conditions may benefit from working with an appropriate voluntary health organization. There may be “respite dollars” and/or other helpful benefits or support available through these individual agencies. Examples of voluntary health organizations are the ALS Association, Multiple Sclerosis Society, Alzheimer’s Association, and American Cancer Society. All have Arizona chapters.
- Worker’s Compensation – Individuals who have been determined as eligible for “Worker’s Compensation” benefits may also be able to access short-term home care and/or other services in the home.
*Important Note: The “Funding Sources for Home Care” List is for educational purposes only and not a recommendation of funding sources to use for Home Care. Please consult your, CPA, Financial Planner, or other appropriate agent to determine the appropriate source for your situation. There may be additional funding sources available to you.
