Let’s talk about assisted living. What is it? Assisted living is not quite Long-Term Care, and not quite Senior Living. Assisted living is in between, these are facilities that help residents manage daily tasks such as cooking, bathing, cleaning, doing laundry, and toileting.
Costs for assisted living depend on the amount or level of care needed. In 2020, the median annual cost for assisted living in the U.S. was $51,600/year.
So, who pays for assisted living? Some people wrongly assume Medicare will pick up this tab. Medicare does not cover assisted living expenses. Medicare will pay for certified home health services. Home health services that qualify for Medicare coverage includes items such as physical therapy, occupational therapy, speech therapy, and nursing care.
Long-Term Care policies will typically pay for assisted living. You can get a long-term care policy in a traditional policy, as part of an annuity, or even as part of a life insurance policy.
Another way to cover long term care is by qualifying for Medicaid. Medicaid offers coverage for low-income beneficiaries, so you’ll have to be below certain income thresholds to qualify.
Lastly, many people will use personal assets or ask family for assistance. If you need help to review an older policy or would like to pursue a new policy, contact us, we’ll be happy to help!