Who is responsible for unpaid care home fees after death?

The loss of a loved one is a difficult time for both their family and those that cared for them.

When care home residents die, the uncomfortable topic of unpaid care home fees, and who is legally obliged to pay them, must still be discussed.

Care home staff can form real friendships and bonds with the people in their care, as well as the residents’ regular visitors. In the event of a resident’s death, they will do their best to support grieving loved ones and respect the deceased resident’s possessions, while also upholding proper procedure.

Below is a guide for how long a residential care home can charge fees after a resident dies and who is responsible for paying them.

Can a care home charge fees after a resident dies?

Care homes can continue to charge residential or accommodation fees for a period of time after a resident has died. The reason for this is to allow them time to clear the resident’s room and prepare it for the next resident.

The Competition and Market Authority (CMA) investigated how long this period should last in a 2018 study. They found that a period of no more than three days was appropriate and best suited to the interests of the care home and the deceased resident’s estate.

If the room is re-occupied within those three days, fees to the deceased resident should stop on the day that the new resident moves in.

If the deceased resident’s family would like more time to clear the room, whether it’s due to grief or another reason, they may be able to extend this period to up to ten days. It is also possible for care home staff to clear the room but keep the deceased resident’s possessions in storage until family members are ready to collect them, for which they may charge a storage fee.

Check the contract

The care home contract that the resident entered into when they moved in should clearly state:

• How long fees will be charged for in the event of their death and any conditions to that
• How long the family will have to clear the resident’s room after they have died
• How much they will charge to clear the room themselves if the above deadline is not met
• How long they will store the deceased person’s possessions (if possible) and any storage charges
• The procedure for disposing of unclaimed possessions

The care home should also speak with the family in good time about any charges that might arise to double-check that they are aware of them and allow them the chance to avoid them.

Who is responsible for outstanding care home fees after a resident dies?

Local authority-funded

Local authorities will stop paying care homes fees on or for up to three days after the date of a care home resident’s death, depending on their agreement with the care home. If there are unpaid, backdated fees, the local authority is still responsible for settling them.

Partially-funded

In the case of fees being paid by more than one party, the care home should have equal terms for the local authority and any additional funders.

For people who pay a top-up fee for a loved one, the CMA advises that the care home should not charge the top-up fee for any longer than the local authority is willing to pay their share of the fees. In short, if you are paying a top-up fee for a care home resident and they die, once the local authority stops paying, so can you.

NHS Nursing Care Funding (FNC) will also stop shortly after death. The care home should not charge the shortfall on these fees to the deceased resident’s estate or their next of kin. Likewise, the resident’s estate or family should not be asked to pay more once local authority funding stops.

Self-funded

When a care home resident who self-funds their care dies, any unpaid care home fees are charged to their estate. The care home will issue an invoice to the person in charge of the resident’s estate, and the money can be taken from their bank account(s) or the sale of their property.

Will a care home refund fees paid in advance after a resident dies?

Care home fees that were paid in advance should be refunded. The care home can still charge for the three-day period after death, and longer if agreed, but any prepayment exceeding this (apart from clearing and storage costs) must be refunded to the deceased resident’s estate.

If you believe your loved one would have been eligible for NHS Continuing Healthcare (CHC) funding, but they were not assessed for it in life, you may be able to apply for a reimbursement on costs that the NHS would have covered, had the person been assessed when they were alive.

A CHC Funding claim can be made to the NHS Clinical Commissioning Groups (CCG), and you must have the claim authorised or brought forward by a legal professional.

The CCG will then assess whether your loved was indeed eligible for CHC funding and how much their estate should be reimbursed. Please be aware that you may accrue legal costs in making the claim, and there is no guarantee that it will be successful.

Can I complain about a care home charging fees after death?

If you think your loved one’s care home has overcharged fees after their death, and may have breached their contract, you should first discuss the issue with the care home manager. You may wish to speak to them informally, as there may have been a misunderstanding or mistake that can be easily amended. You could also write a formal letter, with clear points as to why you think the contract was breached.

If the matter is not resolved, you can submit a complaint to your country’s care regulator or your local ombudsman.