Paying for long-term care

Long-term care can be expensive. Typically, paying for long-term care begins as an out-of-pocket expense. Other financial options include:

• Medicare, a federal program for people older than 65 and those who have certain disabilities, doesn't generally pay for long-term care. Certain options under Medicare will cover doctor care, prescriptions and medical devices you need while in a long-term care facility. Medicare does cover short-term nursing home care for such needs as rehabilitation or nursing care after surgery or hospitalization.
• Medicaid, a joint state-federal program designed for people who meet certain income requirements, might be an option to cover long-term care for adults who have limited assets or those who've nearly depleted their assets.
• Long-term care insurance policies may cover long-term care at a facility or in your home. Premiums will depend on your age, your health and the type of benefits you want.
• Life insurance policies may include benefits that can be used to pay for long-term care or an option to sell your policy for its current value.
• A reverse mortgage is a loan against a portion of the value of a property. The payment of the loan, interest and fees is due when the borrower sells the house, no longer uses it as a main residence or dies. Fees and interests are generally much higher than other mortgages.

Consider consulting an attorney, accountant or a local agency on aging for help with financial decisions.