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Compliance May 05, 2026 12 min read

Home Health License vs. Home Care License: What's the Difference?

Byline: Reviewed by Dee and Shirley, Founders, Home Care Success Consulting. Dee: Connecticut agency operator, 13+ years as a nurse. Shirley: Massachusetts agency operator, Master's degree in Healthcare Administration.

"Home health license" and "home care license" are often used interchangeably in casual conversation, but they refer to genuinely different regulatory categories covering different types of services, different staffing requirements, and often entirely different application processes.

This guide draws a clear, direct comparison between the two so you can identify exactly which one applies to your situation, whether you're launching an agency or evaluating one for a loved one.

The Core Distinction

A home health license covers skilled clinical services -- nursing, physical therapy, occupational therapy, speech therapy, and medical social work -- ordered by a physician as part of a formal plan of care.

A home care license (or registration) generally covers non-medical personal care and companionship services -- assistance with bathing, dressing, meal preparation, light housekeeping, and transportation -- provided without a physician's order or formal clinical plan.

Side-by-Side Comparison: Home Health License vs. Home Care License

Factor Home Health License Home Care License
Type of services covered Skilled clinical services ordered by a physician Non-medical personal care and companionship
Licensing requirement Required in nearly every state Varies significantly by state
Administrator qualifications Typically requires a qualified clinician (RN) Varies by state; often less clinically specific
Medicare involvement Optional certification available for billing skilled services Not applicable
Typical survey/inspection rigor Generally more rigorous, given clinical scope Varies, often lighter where required at all

Which One Do You Need?

For prospective owners, the answer depends entirely on the services you intend to provide. If you're planning to offer skilled nursing or therapy services ordered by a physician, you need home health licensure. If you're planning to offer non-medical personal care and companionship support, you need to research your specific state's requirements for that category.

Some owners choose to pursue both licenses, either at launch or as a later expansion, to serve clients across a broader continuum of need.

Frequently Asked Questions

What's the main difference between a home health license and a home care license?

A home health license covers skilled clinical services ordered by a physician (nursing, therapy), while a home care license generally covers non-medical personal care and companionship services provided without a clinical prescription requirement.

Do I need a home health license to provide personal care services?

No -- non-medical personal care services fall under a separate licensing category (home care), which has different, often lighter requirements than home health licensure.

Can an agency hold both a home health license and a home care license?

Yes -- many established agencies hold both, operating as a combined provider across both service categories, though this requires meeting both sets of regulatory requirements independently.

Does Medicare only apply to home health, not home care?

Yes -- Medicare's home health benefit covers skilled clinical services provided by Medicare-certified home health agencies. Non-medical personal care services are generally not covered by traditional Medicare.

Ready to Get Started?

Not sure which license applies to your planned services, or whether a dual-license model makes sense for your goals? Dee and Shirley can help you sort out exactly what your agency needs based on your specific service model, market, and state. Book a free consultation.

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Ready to Put This Into Action?

Our team has been through every step covered in this article. Book a free call and let's map out your specific situation.