Five common questions about paying for senior living

Perhaps you or someone close to you has questions about how to cover the costs of senior living, from selling your home to life insurance payouts and bridge loans, there are many options available.

Keep reading to learn about some of the most common questions people ask about paying for senior living at a senior living community like Echo Lake in Tredyffrin Township, Chester County.

How do most people pay for the move to a senior living community?

You may be able to pay for senior care by selling your house, setting up an annuity or investing in the stock market.

Renting your home and using the money to cover the costs of senior care is

also an option.

If you have a long-term care insurance policy, that might cover some costs too.

Does my life insurance cover the cost of senior living?

If you are over age 65, you may be able to cash in your life insurance policy.

Depending on the type of life insurance coverage, a surrender of the policy before you pass away could net you its face value plus any cash values in other accounts associated with the plan.

Another option is to convert your life insurance policy into a deferred annuity that includes a longterm care rider. A monthly payment will be sent to your senior living community in a tax-free and penalty-free manner, without IRS penalties.

I’m waiting for my home to sell. How can I pay for senior living in the meantime?

A variety of creditors provide bridge loans to older adults who are transitioning into senior living.

Senior living expenses can be paid for with these loans because they rely on the equity in a home until it sells. With the proceeds from the eventual sale of the house, you can repay the loan. A bridge loan may facilitate a quicker transition to senior living by giving you cash for the first few months’ rents.

Do Medicare benefits cover senior living?

If you’re over age 65 and have had a recent hospital stay, Medicare may pay for physician-prescribed skilled nursing and rehabilitation for up to 100 days.

However, these benefits do not apply to assisted living or independent living. Any physical or occupational therapy you receive while living at a senior community would be covered, as usual, by Medicare.

I’m a U.S. veteran. Can I get any help paying for senior living?

Veterans and their surviving spouses may be eligible to receive the VA’s Aid and Attendance Benefit. Assisted living or nursing care may be covered by this benefit, in addition to the Veteran’s regular pension. Echo Lake also offers a discount for veterans.

We offer an independent lifestyle without the need for an expensive buyin. Residency at our rental senior living community grants you access to the Malvern area’s culture, plus all the conveniences, amenities, and activities at our vibrant community. This includes:

• 24/7 concierge, security, and maintenance

• Multiple dining options prepared by an incredible professionally trained chef

• Weekly housekeeping, complete with bed linen changes

• A well-equipped fitness center

• Advanced technology and powerful connectivity

• Climate-controlled underground parking

• Personal and scheduled local transportation

• Coordinated concerts, movies, games, lectures, celebrations and more

For more information on taking the next step, visit www.sagelife.com/echolake or call 484-276-1516

Kathy Ardekani is the executive director at Echo Lake.