Approximately 50% of all Americans who reside in nursing homes receive assistance from Medicaid to pay for their care. This is not surprising, given the extraordinarily high cost of long-term care. The real surprise is that half of all Americans don't seek Medicaid assistance to cover nursing home costs. Why not? 

Hank is 72 and Ellen is 69. Retired for several years, they have started traveling a few times a year to visit their children and grandchildren in neighboring states. During one of these visits, their oldest child asked what would happen if one of them suddenly became sick. Hank and Ellen had not thought much about it since they were both in good health, but they decided to schedule an appointment with an elder law attorney when they returned home.

Many people are confused about the difference between Medicare and Medicaid as it pertains to the challenge of paying for expensive long-term care. This is not surprising. The two programs sound similar and both provide medical care. Let's start with a brief definition of each program. Medicare is an entitlement program.

One-half of all Americans who reside in nursing homes receive assistance from Medicaid to pay for their care. This is not surprising, given the extraordinarily high cost of long-term care. The real surprise is that half of all Americans don't seek Medicaid assistance to cover nursing home costs. There are several reasons for this, but one of the most common can be summed up in a single word: hearsay. Or, if you prefer, the rumor mill.