More Seniors Are Being Denied Coverage for Skilled Nursing Care

Older Americans are running into a growing—and frustrating—problem when they need help the most: getting Medicare to cover skilled nursing care. Families often assume that after a hospital stay, rehabilitation or nursing care will be covered without issue, but that’s no longer guaranteed. Across the country, more seniors are receiving unexpected denial notices just days into recovery, leaving them scrambling for answers. Even more concerning, many of these denials are later reversed—but only after stressful appeals. Here is what you need to know about why so many more seniors are being denied coverage for skilled nursing care.

Why Skilled Nursing Care Denials Are Rising

The increase in skilled nursing care denial cases is closely tied to the growth of Medicare Advantage plans. These plans often require prior authorization before approving post-acute care, creating more opportunities for denial. In fact, nearly 53 million prior authorization requests were submitted in 2024 alone, with about 4.1 million denied either partially or fully. Skilled nursing services are especially vulnerable, with denial rates significantly higher than other types of care. As more seniors enroll in these plans, the likelihood of encountering a denial continues to climb.

Nursing Homes Are Reporting Frequent Coverage Cuts

The problem isn’t just anecdotal—providers are sounding the alarm. A 2025 survey found that two-thirds of nursing homes report daily or weekly denials or delays for medically necessary care. Some facilities say coverage is even pulled prematurely, forcing patients to leave before they are medically ready. In many cases, these decisions go against the recommendations of doctors and care teams. This trend highlights how widespread the skilled nursing care denial issue has become.

Many Denials Are Overturned on Appeal

Here’s the surprising part: a large percentage of denied claims are later approved. More than 80% of appeals result in partial or full reversals of the original decision. That means many seniors are initially denied care they were ultimately entitled to receive. Unfortunately, only a small percentage of patients actually file appeals, often due to confusion or stress. This gap leaves many people paying out-of-pocket for services that could have been covered.

The Appeal Process Can Be Complicated—but Worth It

If you receive a skilled nursing care denial, you do have the right to challenge it. Medicare provides up to five levels of appeals, giving beneficiaries multiple opportunities to overturn a decision. The process often requires documentation from healthcare providers to prove medical necessity. While it may feel overwhelming, many families find the effort pays off financially and medically. Acting quickly is critical, as some appeals must be filed within just days of receiving a denial notice.

Policy Changes Are Trying to Address the Issue

Regulators are starting to take notice of the growing problem. New rules now require insurers to provide more detailed explanations when denying or terminating skilled nursing coverage. These changes aim to prevent repeated denials without justification and give patients stronger grounds for appeal. At the same time, Medicare is adjusting payment systems and oversight of skilled nursing facilities to improve care delivery. While these updates may help, they have not yet eliminated the surge in skilled nursing care denial cases.

What This Trend Means for Your Future Care Decisions

Preparation is your best defense against a skilled nursing care denial. Before entering a facility, confirm whether prior authorization is required and what your plan covers. Keep detailed records of doctor recommendations, therapy progress, and discharge plans to support any future appeal. If a denial occurs, request an expedited appeal immediately to avoid gaps in care.

The rise in skilled nursing care denial cases is changing how seniors must approach healthcare planning. It’s no longer enough to assume coverage will automatically follow a hospital stay, especially with Medicare Advantage plans. Families who understand the system are far more likely to avoid unnecessary costs and disruptions in care.

Have you or a loved one ever faced a denial for skilled nursing care? Share your experience in the comments—your story could help others navigate this growing issue.

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Amanda Blankenship

Amanda Blankenship is the Chief Editor for District Media. With a BA in journalism from Wingate University, she frequently writes for a handful of websites and loves to share her own personal finance story with others. When she isn’t typing away at her desk, she enjoys spending time with her daughter, son, husband, and dog. During her free time, you’re likely to find her with her nose in a book, hiking, or playing RPG video games.