According to Thirteen.Org, Medicare spends over $1.2 billion dollars per year on hospice services. Since Medicare is the largest payer of hospice care, they set the payment policies for other insurers. Although hospice care is more cost-effective than hospital stays, many insurance companies still do not cover all of the costs that can be incurred. A daily hospital stay can cost as much as $500 to $1,000 per day! Hospice, on the other hand, may cost as little as around $130 per day.
According to the Hospice Association of America, the current rates as of 2005, set by Medicare, are as follows:
Routine Home Care Day – $126.49 per day for those that receive hospice care at home
Continuous Home Care Day – $738.26 for 24-hour a day home care
Inpatient Respite Care Day – $130.85 a day for care in an inpatient facility, but not for more than five days.
General Inpatient Care Day – $562.69 for care provided by a Medicare-certified hospital, skilled nursing facility, or inpatient unit of a hospice.
Extended care benefits help cover things like nursing home, hospice, and home care. When a loved one needs one of these services, it can cause a huge out-of-pocket expense for the family. You can save thousands by having supplemental coverage such as extended care benefits. An added benefit also includes a payout to a family member who is missing time from work to care for the ill loved one. This money can be used as needed, as the caregiver sees fit.
With extended care benefits, if you or a loved one is hospitalized for cancer treatment, the policy will pay the charges of the skilled nursing facility up to the maximum amount per day for a specified number of days prior to the hospitalization. Depending on the plan that you have, this could be between $100 and $150 per day.
Another type of policy that would be helpful to have in advance is a cancer insurance policy. Out of all of the hospice patients, approximately 78 percent of those in hospice are there as a result of cancer. Since cancer patients often have to spend part of their lives requiring nursing care, home care, or hospice, a cancer insurance policy can help cover even more costs that the family may incur.
In regards to hospice, in the sad event when your loved one is terminally ill as a result of cancer, and is no longer receiving any cancer treatments, the policy may cover between $75 and $125 per day for each of the first 60 days of hospice services, no matter if they are at home, are receiving outpatient care, or are confined in a hospice center.
After discharged from a covered hospital confinement, this type of policy can pay between $15 and $25 per day to assist with the home recovery costs that might be incurred. This continues to pay out for a total number of days equal to the days spent in the hospital receiving cancer treatments. Although this does not seem like much, it does still help. Since you would be helping your loved-one anyway, a few extra dollars paid out for doing so helps to pay for the things you will need to care for them.
For just pennies a day out of your pocket, you can invest in supplemental cancer insurance or extended care benefits. Although they are not your primary coverage, they will help fill in the gaps that may be left by your primary insurance company. Think of it as an affordable way to protect your savings from being drained, while ensuring complete healthcare coverage.Call us today at 866-614-3400!