The Fair Deal Scheme

FAIR DEAL SCHEME

The Fair Deal scheme, officially known as the Nursing Homes Support Scheme, is an initiative established by the Irish government to provide financial assistance to individuals and families seeking nursing home care for their elderly relatives. The scheme aims to make long-term residential care more affordable and accessible for those in need.

Applicants undergo a means test to determine their ability to contribute to the cost of their care. This includes an assessment of income, assets, and other financial resources. Based on the financial assessment, individuals may be required to contribute a portion of their income and a portion of the value of their assets (including property) toward the cost of care. The state covers the remaining cost of care that the individual cannot afford. This support is provided in the form of a nursing home loan, which is repaid from the individual’s estate after their death. The scheme includes a cap on the financial contributions based on the value of an individual’s assets. No matter how high the value of the assets, the individual is only required to contribute a certain percentage for a maximum of 22.5 months.

ELIGIBILITY FOR THE FAIR DEAL SCHEME

CARE NEEDS ASSESSMENT

Individuals must undergo a care needs assessment to determine their eligibility for the scheme. This assessment is conducted by a healthcare professional appointed by the Health Service Executive (HSE). The assessment evaluates the level of care required by the individual.

ORDINARY RESIDENCE

To qualify for the Fair Deal Scheme, the individual must be ordinarily resident in Ireland. This means that the person must have been living in the country for a certain period to be eligible.

FINANCIAL ASSESSMENT

While there is no means test for eligibility, a financial assessment is conducted to determine the individual’s contribution to the cost of care. The financial assessment takes into account income, assets, and other financial factors.

LONG-TERM RESIDENTIAL CARE

The Fair Deal Scheme is specifically designed for individuals who require long-term residential care in a nursing home. It is not intended for short-term or temporary care needs.

CHOICE OF NURSING HOME

Eligible individuals have the choice of selecting a nursing home that participates in the Fair Deal Scheme. The scheme provides financial support for the chosen nursing home, and the individual or their family is responsible for the agreed-upon contribution.

STEPS INVOLVED IN THE FAIR DEAL SCHEME PROCESS

1. CARE NEEDS ASSESSMENT

The first step is to arrange a care needs assessment, usually carried out by
a public health nurse or another qualified professional appointed by the
HSE. This assessment helps determine the level of care required by the
individual.

2. FINANCIAL ASSESSMENT

Once the care needs assessment is complete, a financial assessment is
conducted to determine the individual’s contribution to the cost of care.
This assessment considers income, assets, and other financial factors.

3. APPLICATION TO THE FAIR DEAL SCHEME

With the assessment results in hand, the individual or their family can then submit an application to the Fair Deal scheme. The application includes information about the individual’s financial situation and care needs.

4. APPROVAL AND PLACEMENT

Upon approval of the application, the individual can choose a nursing home that participates in the Fair Deal scheme. The State then contributes a portion of the cost of care, and the individual or their family is responsible for the agreed-upon contribution.

TAX RELIEF FROM FAIR DEAL

The Fair Deal scheme provides a form of tax relief to individuals who contribute to the cost of their care. The State covers the balance of the cost, and the individual is only required to contribute a portion based on their financial assessment. This arrangement helps alleviate the financial burden on families seeking nursing home care for their relatives.

NURSING HOME LOAN

Where your assets include land and property in the State, the contribution based on such assets may be deferred. This means that you do not have to find the money to pay this contribution during your lifetime. Instead, if approved, the HSE will pay the money to the nursing home on your behalf and it will be collected after your death.You can also apply for a Nursing Home Loan. If approved, the State will pay the nursing home on your behalf and you do not have to sell your home or other land or property during your lifetime. The loan is then repaid after your death.

You can read more about this option here

FOR MORE INFORMATION

It’s important for families to stay informed about any updates or changes to the Fair Deal scheme, as government policies and regulations may evolve over time. Seeking guidance from healthcare professionals and financial advisors can also be beneficial in navigating the application process and understanding the implications of the scheme.

You will find the most up-to-date information about the Fair Deal Scheme on the HSE website.

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