Understanding Financing Options
Self Pay or Private Pay
The vast majority of home care and a large portion of home health care services are paid “out of pocket,” also called Self Pay or Private Pay, and are paid by the individual, their family or another party. Funding sources for paying Out-of-Pocket include bank accounts, retirement accounts, or liquidation of stocks/bonds.
While determining how to pay for in-home care may seem daunting, it is typically far more cost-effective than either assisted living facilities or nursing homes and allows people to stay at home where they want to be!
Another funding source often used when cash or liquid assets are not available is the Reverse Mortgage. A Reverse Mortgage allows you to access the equity in your home and use that money in any way you’d like – while you remain living in your home.
- Reverse Mortgages are designed for people 62 or older to convert a good portion of the equity they have built up in their home into tax-free income without having to sell, move out, or give up the title to their home.
- Proceeds from a Reverse Mortgage can be paid in one lump sum, as regular monthly payments, or at any time and in any amount that you choose. This income can be used to pay for in-home care expenses and for any other life expenses.
- Because the Reverse Mortgage program is federally administered, borrowers are required to have a 3rd party professional counseling session before moving forward.
- The counseling session is designed to cover all the terms and conditions related to the reverse mortgage and counselors are required to help clients determine if they qualify for other government programs.
Call us today to be connected with a pre-screened Reverse Mortgage Specialist and learn more about this funding option at 1-800-603-5123.
Long Term Care Insurance
Long term care insurance can provide people with personal care, companionship, and other in-home care services. The benefit amount varies by the level of policy purchased.
Interest in Long Term Care Insurance is growing as people begin to understand the benefits and how it can help them to stay living in their home, rather than being forced into an institution. Long term care insurance is offered to people from age 40 to 65. Planning early is important, and will make getting coverage more affordable.
Trusted Hands Network has partnered with some of the leading Long Term Care Insurance providers. If you would like more information on this type of insurance, call us today to set up an appointment with one of our Long Term Care Insurance partners. 1-800-603-5123.
Certain health insurance companies provide a home health care benefit as part of their packages. This varies by state and by company, so if you think you have this benefit, check with your insurer to see what may be covered and under what circumstances.
If you determine that you have this benefit, Trusted Hands Network can help you find an agency that can work with your insurance and meet you in-home care needs.
Many people mistakenly think that Medicare will cover their home care needs. Unfortunately, with very few exceptions, Medicare will not cover home care expenses.
Medicare covers acute cases that require a short period of care and where a doctor has ordered such care. If you are homebound, under a doctor’s care and require medically necessary skilled nursing care, you might be eligible for services provided by a Medicare certified home health agency. We have pre-screened Medicare certified agencies in our network and would be happy to connect you with one if you are eligible. For more information on Medicare eligibility, contact Medicare at 1-800-633-4227.
Medicaid is administered by individual state governments and is a joint federal-state medical assistance program for low-income individuals. Each state has its own set of eligibility requirements. To better understand Medicaid eligibility and coverage you can call their free Senior Referral Service at 1-866-775-0028.