Dáil Éireann Debate, Tuesday - 17 May 2022
649. Deputy Jackie Cahill asked the Minister for Health if a person with serious medical needs can gift their home to the HSE in return for the State paying for their medical needs for the remainder of their life; and if he will make a statement on the matter. [24165/22]
Amharc ar fhreagraWithout knowing the specifics of the case referred to by the Deputy I can respond as follows in relation to nursing home care and the financial contributions to the scheme by a participant.
The Nursing Homes Support Scheme (NHSS), commonly referred to as Fair Deal, is a system of financial support for people who require long-term residential care. Participants contribute to the cost of their care according to their means while the State pays the balance of the cost. The Scheme aims to ensure that long-term residential care is accessible and affordable for everyone and that people are cared for in the most appropriate settings.
One of the key principles of the scheme is that nobody will pay more than the actual cost of their care, and a participant will only pay for the amount of time they actually spend in care.
Participants in the Scheme contribute up to 80% of their assessable income, such as their pension, and a maximum of 7.5% per annum of the value of assets held, such as their principal private residence or cash assets. The capital value of an individual’s principal private residence is only included in the financial assessment for the first three years of their time in care. This is known as the three-year cap, which is intended to protect the value of a principal private residence, along with the other safeguards built into the Financial Assessment which ensure that:
- Nobody will pay more than the actual cost of care;
- A participant will keep a personal allowance of 20% of their income or 20% of the maximum rate of the State Pension (Non-Contributory), whichever is the greater, and;
- If a participant has a spouse or partner remaining at home, they will be left with 50% of the couple’s income or the maximum rate of the State Pension (Non-Contributory), whichever is the greater
Please note that an asset will be exempt from financial assessment only if it has been transferred more than five years prior to the date the person enters long term care.
NHSS participants who own property/land-based assets in the State also have access to Ancillary State Support, or the Nursing Home Loan, an optional feature of the Fair Deal Scheme. It is a loan advanced by the HSE to help people meet the portion of their contribution to the cost of care that is based on property/land-based assets, most typically against the personal residence. If an individual secures ancillary state support, they will not need to contribute against the value of the relevant property during their time on the scheme, unless the property is sold during that time.
Ancillary State Support becomes repayable following the occurrence of a relevant event, most commonly after the death of the client. If the loan is repaid in a timely fashion (in the event of the death of the scheme participant, this is 12 months), no interest is applied. In certain conditions - for example, where a partner or child continues to reside in the property - a further deferral to the repayment of the loan can be granted.
Additional information about the application process can be accessed online by following this link:
www2.hse.ie/services/fair-deal-scheme/about-the-fair-deal-scheme.html
