How Much Does Hospice Care Cost and Who Pays for It?
By CRYSTAL BAI •
The short answer: Medicare covers most hospice costs at no charge to patients who meet eligibility criteria. Medicaid and most private insurers also cover hospice. Out-of-pocket hospice costs are typically minimal — making hospice financially accessible for most families who choose it.
Understanding Hospice Costs
Hospice is one of the most comprehensively covered services in the U.S. healthcare system. Under the Medicare Hospice Benefit, enrolled patients receive all hospice-related services — nursing, aide support, medications for terminal diagnosis, equipment, and chaplaincy — at no cost beyond small copays for medications.
Medicare Hospice Benefit
To qualify for the Medicare Hospice Benefit, a patient must: (1) be entitled to Medicare Part A; (2) have a prognosis of 6 months or less if the illness runs its normal course; and (3) choose comfort care rather than curative treatment. Two physicians must certify the prognosis.
What Medicare Covers
Medicare covers: physician services, nursing care, aide services (bathing, grooming), social work, chaplaincy, bereavement support (up to 13 months after death), medications related to the terminal diagnosis, medical equipment (hospital bed, wheelchair, oxygen), and short-term inpatient care.
What Medicare Doesn't Cover
Medicare hospice does not cover: treatment curative of the terminal diagnosis, room and board in a nursing facility (it covers the hospice portion but not the room and board), or 24/7 continuous home nursing except in crisis situations.
Medicaid, Private Insurance, and VA Hospice
Medicaid covers hospice in most states with similar benefit structure. Most private insurers cover hospice. Veterans may access VA hospice care. Uninsured patients can often receive hospice through charity care programs.
Frequently Asked Questions
Is hospice care free under Medicare?
Medicare covers almost all hospice costs at no charge. Patients may pay up to $5 per prescription drug and 5% of the Medicare-approved amount for respite care (temporary inpatient relief for caregivers).
Who qualifies for Medicare hospice benefits?
Medicare patients with a life expectancy of 6 months or less (certified by two physicians) who choose comfort care over curative treatment qualify for the Medicare Hospice Benefit under Part A.
Does hospice cover nursing home stays?
Medicare hospice covers the hospice-related services in a nursing facility but does NOT cover the room and board costs. Medicaid may cover room and board for eligible patients.
Can a death doula and hospice work together?
Yes — death doulas complement hospice care by providing additional emotional, spiritual, and practical support that busy hospice nurses and social workers may not have time to offer. Both services can be used simultaneously.
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