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Adult Day Care - Funding Sources

Medicine EncyclopediaAging Healthy - Part 1Adult Day Care - Benefits Of The Center Setting, The Facility, Goals Of The Adult Day Program, Care Models

Funding sources

Adult day services is one of the few industries that lacks uniform reimbursement. Every state has a different reimbursement mix, and within a state, funding can vary widely from county to county. Medicare does not reimburse for the cost of adult day services. Medicaid does reimburse the cost of such services, but not in every state. The states that have Medicaid reimbursement offer it through Medicaid waivers by reallocating funds that had previously been used for institutional long-term care to pay for communitybased programs, such as adult day services, intended to help adults remain independent in their own homes and communities.

Long-term care insurance policies that are purchased by individuals sometimes cover the costs associated with adult day but because policies differ greatly, individual policies must be inspected to determine if adult day care reimbursement is a benefit, and if it is, at what level.

The Veterans Administration funds adult day services with money that previously was earmarked solely for nursing home care. Veterans with a service-connected disability may qualify for funding. The local or regional veterans hospital determines the level of available funding, and should be contacted for further information regarding adult day funding.

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