Who Pays the Costs of Long-Term Care?

At present, most long-term care is paid for from:

1. an individual’s own resources,
2. his or her family’s resources or
3. Medicaid, the federal-state government program designed to cover the health care costs of a mostly indigent population.

Contrary to popular belief, traditional health insurance and Medicare usually provide little or no coverage for long-term care. Currently, most people who need long-term care services must pay for it on their own unless:

• (a) they have long-term care insurance policies with benefits for the services they need or
• (b) they are or become eligible for Medicaid or other government assistance.