Financing Home Healthcare

Funding Home Healthcare is possible with proper planning. Some options are listed below:

Private Insurance Coverage

Many Extended Healthcare Insurance Plans provide coverage for home nursing services. There may a maximum amount the policy will cover annually, so it is important to know the specific limits of your policy. Also, policies often do not cover the services of Personal Support Workers. One company sells a product specifically for new mothers who have been hospitalized for two days or more following childbirth. It covers light housekeeping, home nursing, transportation of a relative or friend to help with care, health monitoring, and more. It pays to shop around.

Reverse Mortgage

A reverse mortgage is a loan that is designed for older homeowners (an age qualification frequently applies to both spouses). A reverse mortgage allows homeowners to turn the portion of their house that is debt-free (the equity) into cash, without having to sell their home. Homeowners can then use this money for any purpose they wish - such as to finance a home improvement, to supplement their retirement income or to cover their health care expenses. For information on this topic, visit the Financial Consumer Agency of Canada at www.fcac-acfc.gc.ca.

Federal Government Tax Credits and Expense Deductions

The Medical Expense Tax Credit, the Disability Tax Credit and the Attendant Care Expense Deduction all provide tax relief for individuals. The Medical Expense Tax Credit applies to individuals who have sustained significant medical expenses for themselves or certain of their dependants. The Disability Tax Credit applies to individuals who have a "severe and prolonged mental or physical impairment" or for individuals who support certain dependants with such impairment. The Attendant Care Expense Deduction is available to individuals who are entitled to claim the Disability Tax Credit and who have incurred expenses for personal care that are necessary to enable them to work. Visit the Government of Canada website and learn more about the opportunities available. www.cra-arc.gc.ca. Also click on the attached summary for a useful link.