If you are a Medicare beneficiary, you may think that Medicare will cover any medical services you need. However, it is important to be aware that traditional Medicare does not cover nursing home stays, which can be long and costly. If you require a nursing home at some point, you will need to find another way to pay for it.

When it comes to paying for a nursing home, you essentially have three options. The first is Medicaid, which is a joint federal and state program that provides medical care to those with lower incomes. Even if you think your income is too high to qualify, you should still apply since the income threshold is higher for nursing home residents. Keep in mind that not all nursing homes accept Medicaid payments, so make sure to check your preferred facility. The second option is long-term care insurance, which is something you should look into in your fifties or early sixties, as it will mean lower premiums. This type of insurance will cover some or all of the bill if you end up needing a nursing home.

Paying for a nursing home out of your retirement income is an option, but it can be costly. To avoid any surprises, it is best to budget for such an expense ahead of time. If you require a nursing home, your Medicare coverage will still cover doctor visits, preventive services, hospitalizations, and medications as usual. If you are uncertain of the specifics of your plan, reach out to one of our licensed agents. They can provide information and assist you in making informed decisions.

You may find yourself wondering about long-term nursing care, and if you haven’t, now may be the time to consider what that means for the future. If you are currently 65 years old, you have a 70 percent chance of needing some type of long-term nursing care in your lifetime. Around 20 percent of you will stay in a nursing home for more than five years. Unfortunately, a nursing home can be extremely expensive, costing thousands of dollars per month. You may think that Medicare will cover the cost, but that is a misconception. Medicare will only cover short-term rehabilitative stays for specific reasons. Otherwise, you are responsible for the bill. There are ways to plan for this expense, such as…

Long Term Care Insurance

If you have been planning ahead, you may have bought long-term care insurance during your fifties or early sixties. This important step in retirement planning can help you cover the cost of long-term care in the future. Depending on your policy, you may be able to select from a variety of facilities or even receive in-home care.

Medicaid Can Help

Medicaid can help those with lower incomes and fewer resources cover the cost of a nursing home. This healthcare program is run jointly by the federal government and individual states, however, not everyone will qualify. If you don’t initially qualify for Medicaid, you can reapply if you think your financial status might have changed, or work with an estate planning attorney to learn about the asset rules. Medicare does not cover the cost of a nursing home.

Those who have enough resources saved for retirement or who receive a generous Social Security benefit may be able to pay for nursing home care themselves. If you would like to find out more about how you can cover the cost of a nursing home, contact a licensed insurance agent who can help you understand what your Medicare policy offers.

Contact Medicare Insurance Techs

Contact Medicare Insurance Techs to help with your insurance needs.  We can find you the answers and put together that Medicaid puzzle for you!