A Guide to Paying for Hearing Aids

Searching for alternatives and options to fund a hearing aid purchase? You’ve come to the right place. This guide explores various ways that help make hearing aids more attainable for adults with hearing loss. Continue reading to discover everything you need to know in order to navigate the financial aspects of paying for hearing aids with confidence and ease.

You’re not alone!

Approximately 28.8 million adults in the US could benefit from hearing aids, as reported by the National Institute on Deafness and Other Communication Disorders. Untreated hearing loss has been associated with various health issues, including depression, cognitive decline, and a range of chronic illnesses including dementia. The good news is that hearing aids can improve communication, safety, quality of life, cognitive function, and emotional well-being. Yet, despite the prevalence of hearing loss, a mere 16% of people between the ages of 20 and 69 who need hearing aids use them.

One factor preventing people from purchasing hearing aids is their cost. With the average price of hearing aids around $2,000 per device, buying a hearing aid is not only an important decision concerning your hearing health but also a significant financial commitment.

If you are concerned about the financial implications of purchasing hearing aids, remember that the role of your hearing care provider is to support you in your hearing care needs—they want to help you determine your best option. Don’t let the price tag of hearing aids prevent you from getting the hearing assistance you need. Instead, plan and research in advance so you are prepared to have a constructive discussion with your hearing care provider about your options and address any questions or concerns you have. A little preparation can go a long way in helping you make an informed decision.

We’ll now go into various methods for getting help in paying for your hearing aids, followed by some strategies for reducing the cost of a hearing aid purchase.

Why do hearing aids cost so much?

According to a HearingTracker reader survey the average price of a pair of prescription hearing aids is $4,672. With modern hearing aids having a lifespan of 3-7 years, when purchasing hearing aids, you also need to take into account the “hidden” costs of hearing aid upkeep. The costs of buying hearing aid batteries (if your device is not rechargeable), staying on top of hearing aid cleaning and maintenance, tunings, accessories, and repairs all add up, and there’s no hiding the fact that hearing aids are expensive.

Various factors contribute to the cost of hearing aids, including:

• R & D expenditure: Manufacturers spend millions of dollars on research and development each year to create hearing aids that are smaller, more powerful, and perform better.
• Lower sales volumes: Hearing aids have far fewer sales than consumer electronics such as smartphones and consumer audio products. For example, in 2022, there were about 1.39 billion smartphones sold compared to about 20 million hearing aids sold globally (a ratio of about 70 to 1).
• Trial periods and returns: The FDA classifies hearing aids as medical devices, so in most cases, manufacturers cannot resell returned devices or reuse their parts. Historically, about 15-20% of prescription hearing aids are returned for credit (due to poor fit, insufficient volume/gain, opting for a different device, etc.), with even higher percentages for OTC aids, and this substantially increases costs.
• Professional services: By far, the largest price markup in hearing aids comes from hearing providers, who, like dentists and other health-related professions, need to pay for the advanced testing/fitting equipment, salaries of professional and support personnel, overhead, marketing, etc., to keep their doors open.

Hearing clinics often bundle device costs with professional care, covering exams, fitting, maintenance, and future appointments all in one payment. Traditionally, the markup has been 2 to 3 times the wholesale cost of the devices. Some clinics unbundle costs, allowing separate payments for hearing aids, fitting, and follow-up care, offering more transparency. Both billing methods have their pros and cons. Ultimately, the decision to choose bundled or un-bundled care comes down to your personal needs, preferences, and budget.

The good news is that, for at least a decade, hearing aid prices have been trending downward by 1-2% per year when adjusted for inflation. It’s still unclear if OTC hearing aids will have any effect on prescriptive hearing aid prices.

Best strategies for funding your hearing aid purchase

There are many ways to lessen the financial burden of paying for hearing aids. Below, we provide an overview of the most popular and safest methods. We follow this up with other cost-cutting strategies. Be sure to check out the in-depth pages and external links in the “Learn More At…” sections below.

1) Health insurance and hearing aids

Requirements for hearing aid coverage differ between states, with only the following six states mandating insurance coverage for adults.

Insurance coverage for hearing aids does exist and is an increasingly popular feature of managed care and Medicare Advantage programs. HearingTracker research found that the average amount covered by insurance for hearing aids is around $1,000 per device, so it’s worth doing your homework to discover your options.

However, not all insurance plans are created equal; different plans have different coverage amounts, and many offer no assistance. Further, in some instances, insurance companies’ reimbursement rates have become so low or problematic that some hearing care clinics won’t work with them, and at least one major manufacturer (Oticon) feels they can no longer offer their flagship brand under managed care contracts (see Dr. Cliff Olson’s video about this issue).

According to ValuePenguin, the vast majority of Medicare Advantage (Part C) plans now cover hearing aids and exams. However, people with these plans still pay 79% of the hearing aid costs or an average of about $1,820 per aid out of pocket.

Before we get further into private insurance, you should be aware of some basics:

• Original Medicare (Parts A and B) excludes hearing aids, but Medicare Advantage plans (Part C) may cover them.
• Medicaid programs vary by state and offer hearing aid services to eligible adults, usually low-income individuals and families.
• Children’s hearing aids are covered by Medicaid in every state through the Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) program.
• The VA and TRICARE covers eligible veterans and active-duty service members (detailed below).
• Prescription and some OTC hearing aids can be paid using a Health Savings Account (HSA) or a Flexible Spending Account (FSA).
• Workers’ Compensation covers work-related injuries, potentially including hearing aids, with no out-of-pocket expenses depending on the plan.

Commercial or private insurance may cover hearing aids with deductibles, cost-sharing, and coverage limits, with preferred provider organization (PPO) plans offering out-of-network benefits.

Each plan has its own terms and conditions, so you should review the policy details or contact your insurance provider for specific information. Before contacting your insurance provider about hearing aid coverage, make sure you have your plan details ready, including your policy number or health plan ID and your member ID. Be sure to ask about coverage criteria, available models, and payment options.

2) Financing: Buy now, pay later options

Financing options can help make hearing aids more affordable by allowing for more manageable monthly payments. There are several ways to borrow money for a hearing aid purchase.

A healthcare credit card like CareCredit can enable you to pay for hearing aids and other health-related products not covered by your medical insurance, ranging from a general hearing exam and hearing aids to cochlear implants. CareCredit offers zero or low-interest financing options of up to 24 months on purchases of $200 or more. It also extends financing at interest rates lower than standard credit cards for longer-term loans up to 60 months. Those deals can amount to substantial savings. The credit card can also be used for dental, vision, chiropractic, cosmetic, animal/pet care, and other services at 250,000 locations nationwide.

Similar financing companies include All Well/Allegro Credit, Ally, and PayPal Credit. But here’s the catch: reputable financing companies like CareCredit are quick to warn that you must make your minimum monthly payments on those no-interest deals, and then at the end of the promotional period you must pay the full remainder of the purchase price. If you don’t make these payments on time every month, you will be hit with an additional bill for the total interest dating from the original purchase.

Some hearing care offices don’t offer third-party financing because finance companies typically charge them a small percentage (e.g., 1-3%) of the purchase price. But, in general, we think third-party financing is a good deal, as it can help you get the hearing aids and services you want and need without waiting. Again, this only holds true if you make on-time payments to avoid any added interest.

Although it’s becoming rare due to financial regulations and legal concerns, some hearing care practices may offer their own extended payment or leasing plans. While these plans can also be good deals, make sure you understand the terms, get the agreement in writing, and read any fine print. There are also a variety of subscription hearing aids that can help alleviate the sting of one large payment.

You could also consider taking out a standard credit card from your bank, which allows you to pay off your hearing aid purchase over time. If you have a good credit rating, you may be offered an initial low or no-interest period. Some banks also offer credit cards specifically to cover health costs.

Although financing options and payment plans for purchasing hearing aids allow you to pay off purchases over time, they can also have drawbacks. Standard credit cards often charge high rates, so it’s best to pay off your purchase as soon as possible or you’ll pay much more for the devices in the long run. Also, qualifying for a personal loan may require a good credit score, and the application may be time-consuming. When researching your options, keep in mind your financial situation and carefully consider the terms and conditions of each option before making a decision.

Charitable organizations and non-profit assistance for obtaining hearing aids

If you don’t have access to insurance coverage to help buy hearing aids, numerous organizations can help. For example:

• Help America Hear is a not-for-profit charitable organization that provides free high-quality hearing aids through an application process to qualified individuals with restricted financial means.
• Easter Seals has various local service centers that offer a range of services for people with hearing loss, including assisting low-income individuals with hearing loss in obtaining hearing aids.
• Members of the Hearing Loss Association of America (HLAA) get a number of benefits, such as discounted hearing aids through the hearing aid network IDEAL. HLAA membership starts at $45 per person.
• The Miracle-Ear Foundation’s Gift of Sound program provides free hearing aids and hearing healthcare services to eligible individuals who have significantly low incomes.
• Local chapters of Lions Club International have been helping people with reconditioned hearing aids and glasses for nearly a century.
• The National Hearing Aid Project, created by Hearing Charities of America (HCOA), provides hearing aids to low-income individuals.
• The Travelers Protective Association (TPA) Hearing Trust provides financial aid to eligible US individuals, regardless of age or degree of hearing loss, to cover expenses, such as devices and medical treatment, based solely on financial need.
• AARP Hearing Solutions allows members to save up to 20% on hearing aids and extended warranties. The program is available to all AARP members, and membership begins at $12 annually.

Overcoming financial challenges to get the hearing help you need

Navigating the financial side of purchasing hearing aids can be challenging. Yet, despite the significant costs associated with hearing aids, there are numerous funding options and cost-cutting strategies to make them more affordable. Exploring insurance coverage and taking advantage of government programs can help ease the financial burden. Additionally, financing options, charitable organizations, and lower-technology devices offer alternative ways of obtaining affordable hearing aids. If, at first you don’t succeed, try another avenue!

Remember, taking care of your hearing health is essential for maintaining overall well-being and quality of life, and a good-quality hearing aid can help you tremendously in remaining connected to the world around you.