Sober living homes are structured, substance-free environments that support individuals in their transition from intensive addiction treatment back to everyday life. They provide a vital bridge, offering peer support and accountability that reinforces the skills learned during rehab. At Absolute Recovery Therapeutic Solutions (The ARTS) in West Hills, CA, we understand the importance of this step, which is why we partner with dedicated sober living facilities like Chrysallis to support your healing journey.
A common question we hear is, “Does insurance cover sober living homes?” The answer isn’t always straightforward, which is why we’re here to help you find solutions and resources to support your sobriety.
Insurance Coverage for Addiction Treatment
Most health insurance plans are required by law, specifically the Affordable Care Act (ACA) and the Mental Health Parity and Addiction Equity Act (MHPAEA), to provide coverage for mental health and substance use disorder treatment.1 This often includes services like detox, inpatient rehab, and outpatient programs.
However, sober living homes occupy a unique space. Because they are primarily residential and don’t typically offer formal clinical treatment on-site, they are often not classified as a medical necessity by insurance providers. However, research shows that people in sober living homes experience improvement in substance use, arrests, and even employment.2 Coverage can depend on several factors, including:
- Your specific insurance plan: Policies vary greatly. Some may offer partial coverage or a stipend for sober living if it’s deemed a critical component of your aftercare plan. Your specific plan will be the main factor to explore when determining coverage.
- State and federal laws: Some states have parity laws that require insurance companies to cover mental health and substance use treatment in the same way they cover medical care. The Affordable Care Act (ACA) also requires insurance plans to offer some level of coverage for addiction treatment.3
- In-network vs. out-of-network providers: As with any type of healthcare, using an in-network provider will typically result in lower out-of-pocket costs compared to using an out-of-network provider.
- Your length of stay: Insurance may only cover a certain number of days or weeks in sober living. It’s important to understand your plan’s limitations and discuss them with your treatment team.
- The sober living home itself: If the home is part of a larger treatment facility that offers clinical services, there’s a higher chance it may be covered.
Does Insurance Cover Sober Living Homes for You? How to Verify Your Insurance Coverage
Navigating insurance policies can be confusing, but there are clear steps you can take to get answers. If you’re wondering, “Does insurance cover sober living homes in my area?” here are some good steps to take.
- Contact Your Insurance Provider: Call the member services number on the back of your insurance card. Ask specifically about coverage for “transitional housing” or “sober living homes” as part of your substance use disorder benefits. Be prepared with your policy number.
- Review Your Policy Documents: Your Summary of Benefits and Coverage (SBC) should outline what is and isn’t covered. Look for sections on mental health and substance abuse treatment.
- Ask for Help: The process can be overwhelming. At The ARTS, our admissions team is experienced in working with insurance companies. We can help you understand your benefits and determine what your plan covers. We can also assist in exploring alternative payment options if sober living isn’t covered.
Our goal is to ensure you have the right support system in place. Whether it’s a sober living home or another accommodation, we’ll help you find a solution that fits your recovery needs.
Take the Next Step in Your Recovery
Transitioning into a supportive environment after treatment is crucial for long-term sobriety. At The ARTS, we make this transition seamless by offering flexible treatment options like our Intensive Outpatient Program (IOP) and Outpatient Program (OP), including telehealth services. This allows you to receive high-quality clinical care while residing in a sober living environment.
If you’re ready to continue your recovery journey with the right support, contact The ARTS today at 866-986-4505. We’ll help you navigate the details so you can focus on what truly matters: your healing.
FAQs
What is a sober living home?
A sober living home (SLH), also known as a halfway house or transitional housing, is a substance-free group residence for individuals recovering from addiction. It provides a supportive, structured environment where residents can practice sober living skills, attend meetings, and support one another before reintegrating fully into society. Residents are typically required to follow house rules, submit to drug testing, and participate in outpatient treatment or support groups.
Why doesn’t insurance always cover sober living?
Insurance companies typically cover services deemed “medically necessary.” While addiction treatment like detox and therapy falls into this category, sober living homes are often viewed as residential or housing services rather than medical treatment facilities. They usually don’t provide on-site clinical care, which is a key factor for insurance coverage. However, as the understanding of addiction recovery evolves, more insurance plans are beginning to recognize the value of SLHs and may offer some form of coverage.
What are my payment options if insurance doesn’t cover sober living?
If your insurance plan doesn’t cover the cost of a sober living home, you still have several options. Many homes offer payment plans to make the cost more manageable. You can also explore private loans, scholarships, or grants offered by non-profit organizations dedicated to recovery. Some individuals receive financial support from family or use personal savings. The team at The ARTS can help you explore these alternative payment avenues to find a solution that works for you.
What’s the difference between inpatient rehab and a sober living home?
Inpatient rehab provides intensive, 24/7 medical and clinical care in a licensed facility. It includes services like detoxification, individual and group therapy, and medical supervision. A sober living home, on the other hand, is a less structured residential setting focused on peer support and life skills. It does not offer formal clinical treatment on-site. Sober living is typically a step-down level of care after completing an inpatient or intensive outpatient program.
Can The ARTS help me find a sober living home?
Yes. At Absolute Recovery Therapeutic Solutions, we partner with trusted sober living homes in the West Hills area, like Chrysallis, to ensure our clients have a safe and supportive environment. Our team can help you find the right fit for your needs and coordinate your transition while you attend our outpatient programs. We are committed to supporting every aspect of your recovery journey.
References
- Centers for Medicare & Medicaid Services. (2024). The mental health parity and addiction equity act (MHPAEA). Www.cms.gov. https://www.cms.gov/marketplace/private-health-insurance/mental-health-parity-addiction-equity
- Polcin, D. L., Korcha, R., Bond, J., & Galloway, G. (2010). What Did We Learn from Our Study on Sober Living Houses and Where Do We Go from Here? Journal of Psychoactive Drugs, 42(4), 425. https://doi.org/10.1080/02791072.2010.10400705
- Office of National Drug Control Policy. (n.d.). Substance abuse and the affordable care act. The White House. https://obamawhitehouse.archives.gov/ondcp/healthcare