Nursing homes in need: bills remain unpaid for months

Social assistance

Nursing homes in need: bills remain unpaid for a long time

Many people in need of care in homes are dependent on social assistance because they cannot cover the costs on their own. However, the authorities take their time in approving them.

The personal contributions in care are increasing – on average, those in need of care currently have to pay 3,245 euros out of their own pocket for their accommodation in a nursing home. Many people cannot afford these amounts financially and are dependent on social assistance (assistance with care). However, this is not only a problem for the residents, but also for the home operators.

The Association of Catholic Elderly Care in Germany (VKAD) and the German Evangelical Association for Work and Care for the Elderly (DEVAP) are currently drawing attention to the fact that many applications for social assistance are not decided by the authorities for months. However, the costs for looking after the residents continue to run and must be paid in advance by the home operators. “Delayed reimbursement of costs sometimes leads to considerable economic difficulties for nursing homes,” warn the associations.

VKAD and DEVAP currently care for 42,890 residents in 517 facilities. Of these, 17,462 people are currently dependent on care assistance – that corresponds to 41 percent of the residents.

However, almost a third (31 percent) of residents dependent on social assistance currently have outstanding debts from the home operators. In some cases it has been for a long time: almost a quarter (24 percent) have not yet decided on their application for social assistance even after six to twelve months. For another twelve percent, the application process even takes longer than a year.

• Help with care: “Care at home: Hundreds of thousands forego money from the state”
• Nursing home costs: “Costs are rising – that’s how expensive a place in a nursing home is”

Meanwhile, outstanding debts are adding up for nursing home operators. Almost every second affected institution reports outstanding debts of over 50,000 euros. Almost a third (29 percent) now see their own liquidity at risk due to unpaid invoices.

“Nursing homes must not become the involuntary bank of the welfare state. They pay salaries, food, energy and rents immediately, but often wait months for the social welfare provider to make a decision and pay,” says VKAD managing director Andreas Wedeking.

According to the associations, the problem could become even worse as a result of the upcoming care reform. The two associations are particularly concerned about the reform of the so-called performance bonuses.