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Companion Care vs Home Health: A Family's Guide

What each type of home care actually does, what it costs, who pays, and how to choose the right help for your parent.

At a glance
Non-medical home care runs a national median of $35 an hour, per the CareScout Cost of Care Survey 2025 (Genworth).
Companion care is help with daily life; home health is skilled medical care from licensed clinicians.
Medicare does not pay for personal or custodial care when that's the only help your parent needs.
Medicare does cover part-time home health for a homebound person — up to 8 hours a day, 28 hours a week combined, at no cost for covered services.
Many families use both: an aide for the daily hours and a nurse or therapist for medical needs.
Always confirm licensing, get more than one quote, and meet the caregiver before care starts.

Non-medical home care costs a national median of $35 an hour, per the CareScout Cost of Care Survey 2025 published by Genworth — and that single number is where most families' confusion about "companion care" versus "home health" begins. The two phrases get used interchangeably, but they mean very different things, cost differently, and are paid for by different sources. Getting the difference straight is the first real step toward getting your parent the right help.

What companion care and home health actually are

Companion care (sometimes called personal care or custodial care) is help with everyday living. A caregiver comes to the home to prepare meals, keep company, drive to appointments, handle light housekeeping, remind about medications, and — at the personal-care end — help with bathing, dressing, and getting to the bathroom. No medical training is required, though good agencies train and vet their aides carefully.

Home health is skilled medical care delivered at home by licensed professionals: registered nurses, physical or occupational therapists, and speech therapists. It's ordered by a doctor and usually follows a hospital stay, a new diagnosis, or a change in a chronic condition. Think wound care, injections, managing IVs, monitoring vital signs, and rehabilitation exercises.

The simplest way to tell them apart: companion care helps your parent live day to day. Home health treats a medical condition. Many families end up using both — an aide several days a week for company and daily tasks, plus a visiting nurse for a specific medical need.

Companion care vs home health at a glance
Companion / personal careHome health (skilled)
What it coversMeals, errands, bathing, dressing, company, light housekeepingNursing, wound care, injections, physical and occupational therapy
Who provides itTrained caregivers and aidesLicensed nurses and therapists
How it startsYou arrange it directly with an agency or hire privatelyA doctor orders it, usually after illness or hospitalization
Typical scheduleA few hours to around-the-clock, ongoingPart-time, intermittent visits for a set recovery period
Who usually paysFamilies pay out of pocket; some long-term care insuranceOften Medicare, when eligibility rules are met

What it costs and what drives the price

For companion and personal care, most families pay out of pocket by the hour. The national median is $35 an hour, per the CareScout Cost of Care Survey 2025 (Genworth), which the survey notes rose about 3% year over year. Your local rate can sit above or below that depending on where you live, how specialized the help is, and how many hours you need.

$35/hr
national median for non-medical home care (Genworth, 2025)
8 hrs
per day Medicare may cover for eligible home health
28 hrs
per week combined cap for covered home health
$0
you pay for covered Medicare home health services

A few things push the price up or down: overnight and weekend hours, a caregiver trained in dementia or mobility help, whether you hire through an agency (higher rate, but they handle vetting, taxes, and backup) or privately (lower rate, more work and risk for you), and how many hours per week you commit to. To ground the number: even part-time companion care is a fraction of the $5,000-plus a month that residential care often costs.

What Medicare pays for — and what it doesn't

This is where families lose the most money to wrong assumptions. Medicare does not pay for custodial or personal care that helps with daily living — bathing, dressing, using the bathroom — when that is the only care your parent needs, per Medicare.gov. The same goes for 24-hour care at home, meal delivery, and homemaker services unrelated to a care plan.

Medicare does cover home health when your parent is homebound and needs skilled care. In that case it pays for part-time or intermittent care — generally up to 8 hours a day and 28 hours a week combined — and you pay nothing for covered services, per Medicare.gov. The catch: this is skilled, doctor-ordered, time-limited care tied to a medical need. It is not a long-term aide who comes every day to keep your parent safe and company. That day-to-day help is companion care, and it's on you to arrange and fund.

The most common expensive mistake: assuming Medicare will cover a daily aide. It won't, if daily-living help is all your parent needs. Plan for companion care as an out-of-pocket cost and you'll avoid an unwelcome surprise.

How to choose the right care and provider

Start with an honest look at what your parent actually needs. Is this about safety, company, and daily tasks — or a specific medical condition that needs a nurse? That answer points you to companion care, home health, or both. Then work through the practical side of picking a provider.

How to arrange care at home
  1. 1List the specific help needed and roughly how many hours a week — mornings for bathing, midday meals, evening company, or more.
  2. 2Ask your parent's doctor whether any skilled home health is warranted; if so, get the order and let the agency verify Medicare eligibility.
  3. 3Get quotes from two or three licensed agencies and ask for their hourly rate in writing.
  4. 4Confirm licensing, insurance, background checks, and how they handle a caregiver who calls out sick.
  5. 5Meet the actual caregiver before care begins, and ask how they'll match personality, not just availability.
  6. 6Start with a trial period, then review together after the first two weeks.

Questions worth asking every agency: Are your caregivers your employees or contractors? Who supervises them? Can we keep the same person consistently? What happens in an emergency? How do you communicate with the family? A provider that answers these clearly and patiently is showing you how they'll treat your parent.

Warning signs and common mistakes

  • An agency that won't put its rate or its license in writing.
  • Pressure to sign a long contract before you've met the caregiver.
  • No plan for backup coverage when the regular aide is out.
  • Vague answers about background checks and supervision.
  • Assuming Medicare or a medical alert device replaces the human presence of daily care — they serve different purposes.
  • Waiting for a crisis. It's far easier to set up a few hours of help early than to scramble after a fall or a hospital stay.

How daily connection fits alongside care

Even with a good aide a few days a week, most parents living alone spend long stretches on their own. That's where a daily check-in has a place. Call Mabel is a warm phone call every day for a parent who lives alone — someone to talk to, a gentle way to notice when something's off, and a quick note back to the family. It's a companion, not a caregiver: it doesn't bathe, drive, or do wound care, and it isn't medical or emergency monitoring. But between the hours a human aide is there, it keeps your mom or dad connected and gives you a small, steady window into their day. It complements the people doing the hands-on work — it never replaces them.

Key takeaways
  • Match the care to the need: companion care for daily life, home health for medical care, often both.
  • Budget companion care as an out-of-pocket cost — around a $35/hour national median (Genworth, 2025).
  • Use Medicare where it applies: part-time skilled home health for a homebound parent, at no cost for covered services.
  • Vet providers hard — licensing, backup coverage, and meeting the caregiver before you commit.
  • Fill the quiet hours with a daily check-in so your parent stays connected between visits.

Common questions

Is companion care the same as home health?
No. Companion care is non-medical help with everyday life — meals, errands, bathing, company. Home health is skilled medical care from licensed nurses and therapists, usually ordered by a doctor. Many families use both.
Does Medicare pay for companion care?
Generally no. Medicare does not cover custodial or personal care that helps with daily living when that's the only care needed, per Medicare.gov. It does cover part-time skilled home health for a homebound person who needs it.
How much does companion home care cost?
The national median is $35 an hour, per the CareScout Cost of Care Survey 2025 (Genworth), which rose about 3% year over year. Your local rate varies with location, hours, overnight coverage, and whether you hire through an agency or privately.
How many hours of home health will Medicare cover?
For an eligible homebound person, Medicare covers part-time or intermittent home health generally up to 8 hours a day and 28 hours a week combined, and you pay nothing for covered services, per Medicare.gov.
Can I hire a caregiver directly instead of through an agency?
Yes, and it often costs less per hour. But you take on vetting, background checks, taxes, scheduling, and finding backup when they're out. An agency charges more but handles all of that and carries insurance.
What if my parent mostly needs company, not hands-on help?
Then a few hours of companion care plus a daily check-in call can go a long way, at a much lower cost than round-the-clock care. The goal is keeping your parent safe, supported, and connected without over-buying care they don't yet need.

Worried about a parent who's often alone? Mabel calls them every day — just to talk, and to keep your family in the loop.

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