Financial Assistance

Standard health insurance will not pay for personal care assistance, but some long-term care insurance policies may. While long-term care (LTC) insurance policies are specifically designed to cover senior care, the exact coverage details can vary depending on several factors, most notably the age of the beneficiary when they signed up for their policy. LTC insurance oftentimes will not cover in-home care until the client needs help with at least two ADLs. Check the details of your loved one’s policy to see if in-home personal care assistance is a covered benefit.

Though one’s life insurance benefit is intended to be accessed after they pass, in some cases it makes more financial sense to access the funds early and use the life insurance payment to finance long-term care. This may be in the form of an “accelerated death benefit” from the insurance provider, or you may look into selling the policy to a third-party for a cash payment. Look into the specifics of your loved one’s policy to see if this option makes sense for your situation.

 In addition to a VA pension, some veterans are eligible for the Aid and Attendance (A&A) benefit, an additional monthly payment intended to be used towards paying for long-term care. One of the eligibility terms is needing help with one or more ADLs, so most veterans in need of in-home care will likely qualify. You can learn more about the benefit and apply directly on the VA website, or apply in person at your local VA office.

 Reverse mortgages are a loan that one can take against the value of their home, essentially converting part of their home’s value into a cash payment while they continue to live there. The only federally-insured, and thus most reliable, form of a reverse mortgage is the Home Equity Conversion Mortgage (HECM), available to adults age 62 and over to help finance long-term care or other expenses. No matter which type of reverse mortgage one chooses, the loan will need to be repaid with interest once the home is eventually sold.