The Department of Veterans Affairs (VA) has announced an increase in the expenditure cap for in-home and community-based services for veterans with complex medical conditions. The skilled home health care program will now cover 100% of the cost of these services, aligning it with the expense of similar care provided in a VA Community Living Center. Previously, the coverage rate was set at 65%.
This adjustment is expected to lower out-of-pocket costs for eligible veterans and their families who use services such as home health aide, home respite, community adult day health care, Veteran Directed Care, and skilled home health. The goal is to help more veterans remain in their homes rather than moving into institutional settings.
According to VA estimates, about 200 veterans are projected to benefit from the higher expenditure cap during fiscal year 2026. Since its inception in 2019, the skilled home health care program has enrolled approximately 1,800 veterans.
VA Secretary Doug Collins stated: “This important change will enable Veterans with complex medical conditions to continue receiving high quality care while remaining in their homes, surrounded by friends and family. By matching the expenditure cap for home and community-based services with the cost of care in our Community Living Centers, we are enabling Veterans to maintain their independence and home connections.”
The increase comes as a result of Section 120 of the Elizabeth Dole 21st Century Veterans Healthcare and Benefits Improvement Act of 2025. The VA is encouraging veterans and their families to consult with VA social workers for further information about these changes.
