Paying for Alcohol & Drug Rehab

For many years, people were unable to get help with addiction treatment because they weren’t insured for it. The types of help that have been available have always been consistent: 12 step programs, self-help groups, detox, partial hospitalization, inpatient rehab, outpatient treatment, and so.

Whenever the political climate changed and funding sources became unavailable, residential rehab and sober living facilities would become unavailable to people who needed it. Furthermore, there was little to no wrap-around, holistic care. As a result, people relapsed frequently. Sadly, had this situation been different, many more people could have been saved. Jails and prisons wouldn’t be overcrowded, and the health care system wouldn’t have been overstretched.

Thankfully, this has now been recognized. Under the 2010 Affordable Care Act, addiction is seen for what it is: a chronic disease. As such, it has to be covered to some degree by insurance companies.

Help for Addiction Treatment Payment

Since the Affordable Care Act, all insurance companies have to make some provision for addiction treatment. This is also covered under the 2008 Mental Health Parity and Addiction Equity Act. Thanks to these acts, insurance companies had to cover substance abuse and mental health in the same way as surgical and medical care. Furthermore, under the Affordable Care Act, insurance has become a lot more affordable for everybody. It also includes preventative care for, early intervention in, and treatment of substance abuse and mental health problems as an essential health benefit. The reasoning behind the Act is that everybody wins if addiction treatment is financed, as the costs to society are also reduced when someone becomes sober.

It is very important, however, that if you require addiction care for yourself or a loved on, finances aren’t your main concern. There are already plenty of barriers towards seeking help, including anxiety over getting help and starting a new life. What matters most is that you find treatment that is right for you, particularly since various payment options exist. Let’s take a look at some of these funding options.

  1. Personal Payment

The first option is for you to get external financing, including using your own savings. However, many people worry that they will then be left with nothing once they complete treatment. While this may be true, you must see this as an investment in yourself. If you have to give up on some assets in order to cover your treatment, you should, as you will be in a better position to earn it back and more once you are clean. Speak to a financial advisor to find out what the best option is.

That said, if you have concerns about the cost of treatment, it is likely that you do not have the money yourself. You could consider speaking to those who care about you and asking for a loan. They have also been affected by your substance abuse, so they may be willing to help in order to get their own quality of life back, too. However, they may be worried that you will use that money to fund your drug abuse, so it is likely that they will want to pay it directly to the rehab center instead. While asking friends for money is uncomfortable, it may be necessary.

  1. Personal Loans

If the options in number one are not viable, other financing alternatives for rehab exist as well. You could, for instance, use a credit card to pay for your treatment, or you could take out a bank loan. A lot of people like using a credit card, because it enables them to spread the cost of treatment in an easy to manage way. Do make sure your credit card has a low interest rate because you will have to pay for not just the cost of your treatment, but the interest rate as well. There are “deferred rate health care credit cards”, which are credit cards that are used specifically for medical expenses as well.

A bank personal loan is similar to a credit card in as such that it enables you to spread the cost of repayments. Again, make sure that the interest rate is as low as possible. Treatment loans also exist.

If you choose one of these options, make sure that you can pay the money back, or you will put yourself in a stressful and potentially trigger a situation once you complete rehab.

  1. Insurance Payments

If you have Medicaid or private insurance, the treatment center may accept you as well. However, remember that the insurance plan you have may limit how much treatment you can receive, and for how long. Do make sure that you know what you are and aren’t covered for.

If you receive Medicare and you are older than 65, your plan will always cover drug and alcohol treatment. Although caveats are in place, Medicare does cover both residential rehab and outpatient addiction centers. They also cover the cost of hospitalization.

  1. Addiction Treatment Centers

It may also be possible for you to use financing options offered by the treatment center itself. They may offer this directly or they may have partnered with a third party lender. This is often one of the best options for people who want to go to rehab but find their insurance company doesn’t pay for (all of) it. These finance packages have been designed for their affordability, ensuring that people do not have a new stressor in their life when they come out of treatment. Do always speak to the treatment center you are considering to ask whether they have such options in place.

  1. Grants and Scholarships

Lastly, the Substance Abuse and Mental Health Services Administration as well as other nonprofit organizations offer grants to people who meet certain demographic criteria. It is also possible for a rehab center to accept people on a scholarship basis, although this is usually if an insurance company does not want to pay for further treatment after a period of rehab, but the center believes this to be necessary.

Help for Addiction

Thanks to recent legislation, one of the major barriers to seeking treatment has been removed, enabling people to get the help they so desperately need. Making the decision to become sober and going for it is one of the most important (and difficult) decisions you will ever make. Don’t let finances get in the way of that.

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