Nursing home costs can be astronomical. You need to understand what you can expect when it comes to the high costs of paying for nursing home care. Costs of care are often not covered by any type of insurance, including Medicare. This can make it extremely difficult to afford a nursing home and can make it impossible for you to leave a legacy for loved ones as you spend your life savings on nursing home care.
As you make your plans for the future, you need to know the truth about nursing home costs so you can take steps to ensure that you or your close family members could afford nursing home care without jeopardizing your financial security.
The Law Offices of James A. Miller can help you to use available legal tools to protect assets that you own by making sure you can cover nursing home costs through programs like Medicaid. Call today to talk with a Massachusetts Medicaid planning lawyer to learn the truth about nursing home costs and to find out what your options are for protecting your financial situation.
The Truth About Nursing Home Costs
The sad truth about nursing home costs is that these costs can quickly bankrupt a family. Each year, Genworth Financial Inc publishes an annual report detailing the costs of nursing home care in different areas throughout the United States.
According to Genworth Financial, the median annual cost of a nursing home care is $80,300. As high as this is, things are actually worse in Massachusetts. In the state of Massachusetts, the median annual rate for a semi-private room in a nursing home is $128,845. For a private room in a Massachusetts nursing home, the median annual cost is $139,580. The five-year annual growth rate for a semi private room is three percent and the five-year annual growth rate for a private room is four percent.
Affording this type of care is almost impossible, especially as most retirees have limited savings or have no savings at all and they rely primarily on Social Security benefits.
The Truth About Getting Nursing Home Costs Covered
The startling statistic on the monthly costs of nursing home care are just a small part of the bad news about covering nursing home costs. For most people, the biggest surprise is that it is virtually impossible to get these costs covered by an insurance provider.
Many seniors have Medicare and may have supplemental private insurance. You may assume that nursing home care will be paid for by your private insurer or by Medicare, or may think that at worst you will have a small co-pay. This is not true. Medicare and your insurance company could potentially pay for a brief stay in a nursing home if you need skilled medical services, such as having bandages changed following a surgical procedure.
If you just need the kind of normal care that nursing home patients get because of aging, because of infirmity, because of dementia, or because of other related conditions, you are going to get no help paying for a nursing home from your insurer at all. Medicare and supplemental private policies will pay $0 for routine daily nursing home services, or for home healthcare unless the health aide is providing a skilled service.
This news is an unwelcome surprise to people who find that they have to go into a nursing home and who suddenly realize they will end up paying privately out of their own pockets to get care. You could spend all the money in your bank account, and even be forced to sell some property and assets, just to get the money to pay your nursing home bills.
The only answer is to get covered by Medicaid. Medicaid pays for a nursing home for eligible seniors. The catch is that you have to spend down resources to qualify for Medicaid. Since Medicaid imposes low resource limits and you cannot qualify for coverage if you have too many assets, you could lose almost everything anyway. This does not have to happen, however, if you can work with a Massachusetts nursing home planning lawyer to come up with a Medicaid plan that will allow you to keep your assets safe while qualifying for Medicaid coverage.
Getting Help from A Massachusetts Nursing Home Planning Lawyer
To learn more about what Medicaid planning is and why you need it, you can download a free estate planning worksheet. You can also give us a call at 866-370-3888 or contact us online to speak with an experienced member of our legal team and find out what a nursing home planning lawyer at The Law Offices of James A. Miller can do for you. Call today to learn more.
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