Financial Recovery After a Hurricane: Navigating Insurance, FEMA, and Grant Opportunities for Long Term Care Facilities

Emergency Preparedness
 

​​In the wake of Hurricanes Helene and Milton, long term care facilities, assisted living centers, and long term care communities are facing significant financial and operational challenges. Financial recovery is critical to ensure these facilities can continue providing essential care to their residents. The recovery effort can be cumbersome, specifically the process of navigating financial recovery, including insurance claims, Federal Emergency Management Agency (FEMA) assistance, and grant opportunities. 

Understanding the Impact and Taking Immediate Action 
As organizations begin to assess their damage, documentation is key. Start by thoroughly photographing and recording damage to property, equipment, and infrastructure. This evidence will be vital when filing insurance claims or seeking federal assistance. 

Contact insurance providers immediately to report the damage. Most policies will require prompt notification, and understanding your coverage—especially for business interruption—can help you plan for the shortfall in revenue while your facility is being restored. 

Navigating FEMA Assistance 
For those in areas designated as disaster zones, FEMA offers crucial support. The registration process for FEMA Disaster Assistance is straightforward, but it’s important to have your documentation ready. This includes proof of property ownership or lease agreements, tax identification numbers, and a comprehensive list of damages and repair costs. 

Additionally, FEMA's Community Disaster Loan program can be a lifeline for long term care facilities facing a drop in revenue due to the impact of the storm. This program helps cover essential operating costs, ensuring that your facility can maintain services even as you work through the recovery phase​.

Leveraging SBA Disaster Loans 
Beyond FEMA, the Small Business Administration (SBA) provides financial assistance in the form of low-interest disaster loans. These loans cater specifically to businesses and non-profit organizations, including health care and long term care facilities. Organizations may be eligible for two types of loans: 

  • Physical Disaster Loans: For repairs to buildings, equipment, and infrastructure. 
  • Economic Injury Disaster Loans (EIDL): To help with working capital needs during the period of reduced operations. 
Applying for these loans requires submitting financial documents and detailed records of losses, so being prepared will speed up the approval process. 

Exploring State, Local, and Private Grants 
While federal assistance is crucial, don’t overlook the support available from state emergency management agencies. These agencies often have specialized funds or grant opportunities tailored for the health care and long term care sectors. Additionally, non-profit organizations and industry groups frequently offer financial assistance to bridge gaps that insurance or federal aid may not fully cover. 

  • ACL Disaster Recovery Assistance Grants: The Administration for Community Living (ACL) provides grants to state and local governments, nonprofit organizations, and small businesses that serve older adults and people with disabilities. These grants support disaster recovery, research, and the development of innovative services. More information can be found on the ACL website. 
  • Economic Development Administration (EDA) Disaster Supplemental Funding: The EDA provides disaster recovery grants to help communities implement long-term economic recovery strategies through a variety of construction and non-construction projects. Long-term care facilities can leverage these grants for infrastructure improvements and other recovery efforts. Further details are available at U.S. Economic Development Administration. 
  • Opportunities through your state affiliate: Contact your state affiliate, as they may be aware of state-based programs and support that may be helpful in recovery.  
Preparing for the Future 
The lessons learned from Hurricanes Helene and Milton should guide your facility in enhancing its disaster preparedness strategies. Update your emergency plans to include specific protocols for evacuations, sheltering residents, and maintaining critical healthcare services during prolonged disruptions. AHCA’s Emergency Preparedness Guidebook for Long Term Care is a helpful guide to developing, documenting and maintaining a comprehensive EP plan. 

Building partnerships with local emergency responders, health care providers, health care coalitions, and other long term care facilities can create a more robust support network. These connections can facilitate resource sharing and ensure a coordinated response in future emergencies. 

Recovering from the impact of Hurricanes Helene and Milton requires a multifaceted approach that includes leveraging insurance, federal assistance, and local support. By taking proactive steps to document damage, file claims, and seek out every available resource, your facility can rebuild stronger and continue to serve its residents effectively. 
 
Recommended Checklist for Financial Recovery 
 
IMMEDIATE STEPS​: 
  • Contact Insurance Provider 
    • Assess Damage: Document damages immediately with photos, videos, and written descriptions. 
    • File a Claim: Notify your insurance provider as soon as possible. Keep a record of all communications. 
    • Temporary Repairs: Make temporary repairs to prevent further damage, keeping receipts for reimbursement. ​​
  • Engage with FEMA Assistance 
    • Provide Necessary Information: Submit details on damages, costs, any insurance claims, proof of property ownership or lease agreements, and tax ID numbers. 
    • Track Application Status: Regularly check your application status and provide any additional documentation if required. 
  • Engage with FEMA’s Community Disaster Loan Program 
    • Consider this option if your facility experiences a significant drop in revenue due to the events. 
    • ​The loan can cover essential operating expenses to keep your facility operating during recovery.  
 
LONGER-TERM FINANCIAL RECOVERY: 
  • Explore SBA Loans 
    • Economic Injury Disaster Loans (EIDL): Consider applying if your facility suffered substantial economic damage. 
    • Physical Disaster Loans: These loans can help repair or replace damaged property, including equipment and inventory. 
  • Research Grant Opportunities 
    • Administration for Community Living (ACL) Grants: The ACL offers disaster recovery assistance specifically for organizations serving older adults and people with disabilities. 
    • Economic Development Administration (EDA) Disaster Supplemental Funding: Provides funding for infrastructure improvements and economic recovery projects. 
    • Foundation Support: Look for foundations that offer grants specifically targeting disaster recovery and resilience efforts in long term care facilities. 
  • Coordinate with Local Emergency Management 
    • Engage with local offices of emergency management to understand additional local and state resources available for recovery. 
    • ​Establish partnerships with other healthcare facilities for resource sharing. 
  • Preparing for the Future 
    • Update Disaster Preparedness Plans: Revise emergency plans to include specific protocols for evacuations, sheltering residents, and maintaining critical services.  
    • Build Partnerships: Establish relationships with local emergency services, healthcare providers, and other long term care facilities for coordinated response and recovery sharing.  ​