Quick answer
Only for short stays. Medicare and most health plans cover a skilled nursing facility for rehabilitation after a hospital stay, but not ongoing custodial care, which is help with daily activities like bathing, dressing and eating. Long-term nursing home care is usually paid by Medicaid (for people with low income and assets), long-term care insurance, or out of pocket. A private room cost a median $355 a day in 2025.
Key takeaways
- Medicare covers up to 100 days in a skilled nursing facility after a hospital stay of at least three days.
- In 2026, Medicare charges $217 a day for days 21 through 100.
- Time in the hospital under “observation” doesn’t count toward the three-day requirement.
- Medicaid is the biggest payer of long-term nursing home care, with strict income and asset rules.
- Nursing home care cost a median $114,975 a year for a semi-private room in 2025.
On this page
What each source pays for
| Source | Covers |
|---|---|
| Medicare | Short-term skilled nursing after a qualifying hospital stay, up to 100 days |
| Private health insurance | Short-term skilled nursing or rehab, often with prior approval and day limits |
| Medicaid | Long-term nursing home care for people who meet income and asset rules |
| Long-term care insurance | Nursing home and other long-term care, based on the policy |
| VA | Nursing home care for some eligible veterans |
Medicare’s skilled nursing benefit
Medicare Part A covers skilled nursing care, like physical therapy or IV medications, after you’ve been admitted to a hospital as an inpatient for at least three days. You pay nothing for days 1 through 20 and $217 a day for days 21 through 100 in 2026. After day 100, you pay the full cost. Many Medicare Advantage plans waive the three-day rule. Ask whether you’re an inpatient or under observation, since observation days don’t count. See who is eligible for Medicare and health insurance for the elderly. For hospital coverage, see does health insurance cover long hospital stays.
What nursing homes cost
| Type of room | National median cost, 2025 |
|---|---|
| Semi-private | $315 a day, about $114,975 a year |
| Private | $355 a day, about $129,575 a year |
Medicaid and long-term care
Medicaid covers long-term nursing home care for people with limited income and assets, and pays for more long-term care than any other source. Many people qualify only after spending down their savings. Gifts or transfers of assets in the five years before applying can delay eligibility. Rules for protecting a spouse who stays at home vary by state.
Planning ahead
- Long-term care insurance can pay for nursing home and home care; see long-term care insurance.
- Talk with an elder law attorney about Medicaid planning.
- Pre-existing conditions can’t affect ACA health coverage, but they can affect long-term care insurance applications; see getting health insurance with pre-existing conditions.
- Family coverage: adult children usually can’t add a parent to their own health plan; see covering all family members under the same policy.
Need a plan before Medicare starts? Compare quotes by ZIP code.
Frequently asked questions
Does Medicare pay for nursing home care?
Only short-term skilled nursing after a qualifying hospital stay, up to 100 days. It doesn’t pay for long-term custodial care.
How do people pay for long-term nursing home care?
Out of pocket, with long-term care insurance, or through Medicaid once they meet its income and asset limits.
Can Medicaid take my house to pay for nursing home care?
Medicaid rules on homes vary. Your home is often protected while you or a spouse lives there, but states may seek repayment from an estate later. Talk to an elder law attorney.
Sources
This article is general information, not legal or financial advice. Last reviewed September 2026.