Cost of Residential Treatment in California and Payment Options

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Alexa Pelech CMO

Chief Marketing Officer
Alexa Pelech is the Chief Marketing Officer at Northbound Treatment Services, where she combines her passion for helping others with a strong track record in addiction treatment marketing and outreach. Since joining Northbound in 2019, Alexa has held several key roles—including Referral Relations Manager and Director of Business Development—before stepping into her current leadership position in March 2023.

Alexa began her career in behavioral healthcare as an Outreach Coordinator with American Addiction Centers, where she quickly developed a reputation for her compassionate approach and results-driven mindset. Today, she leads Northbound’s marketing strategy with the same energy and heart, driving growth while staying true to the mission of recovery. Alexa holds a Bachelor of Arts in Fine and Studio Arts from San Francisco State University and later studied Substance Abuse and Addiction Counseling at Los Angeles Pierce College. Her creative background and commitment to service continue to shape her authentic, human-centered leadership style.

Curious about the cost of drug rehab in California? Worried you may not be able to afford it just when you’re ready? For those seeking treatment for substance abuse, cost is certainly a key factor, together with staff qualifications, scope and quality of care, and amenities. Read on to learn more about the factors involved, costs, and payment options.

Understanding the Cost Factors of Residential Treatment in California

Going to rehab is a significant investment in your health. The total cost depends on a number of factors. Understand their impact when deciding which facility to attend.

  1. Type and Severity of Addiction

Costs may be higher with more complex or severe addiction, requiring longer, more intensive or specialized care.

  1. Length of Stay

One of the biggest cost factors is the length of treatment. Longer programs (e.g., 60 or 90 days) are more expensive than shorter ones (e.g., 30 days).

  1. Level of Care and Services

Facilities typically charge higher fees for more intensive medical monitoring, more frequent therapy sessions, or specialized dual diagnosis treatment of co-occurring mental health disorders.

  1. Amenities and Facility Type

Those centers featuring luxury amenities such as private rooms, gourmet meals, and a wide array of recreational facilities can cost much more than standard facilities.

  1. Location

Centers in California with higher costs of living, such as the Bay area and Los Angeles, often charge more than those in rural or less expensive parts of the state.

  1. Staff Expertise

Facilities with highly trained medical or therapeutic staff may have higher fees.

  1. Insurance Coverage

If you are covered, the amount paid by insurers has the greatest impact on your costs. And those with little or no coverage need to pay more directly.

Average Costs of Inpatient Substance Use Treatment

California has one of the largest and most diverse addiction treatment systems in the US, including both private and public facilities. More than 82,000 people are treated annually [1]. 

How Much Does Inpatient Substance Abuse Treatment Cost?

Residential treatment programs in California cost on average $56,654 for a 13-week stay. That’s about $4,358 per week or $624 per day. These figures are just above the national median, providing affordability in many areas in the state. [2

Depending on the facility, medication-assisted treatment (MAT), detox, and sober living may be included in the price or offered as separate programs. Outpatient MAT costs around $7,000, and sober living typically costs $1,500 to $2,000 per month throughout the country. California ranks as the 23rd least expensive state in the US for residential rehab [3].

How Much Does a Mental Hospital Treatment Cost Without Insurance?

A 30-day addiction treatment program in a hospital may range from $5,000 to $20,000, with a national average of $12,500, depending on the clinic. Without insurance, you would need to pay this full amount.

Factors That Influence the Total Cost of Residential Treatment

In California, residential treatment typically includes the following:

  • On-site medical and clinical care
  • 24/7 supervised housing and food 
  • Individual and group therapy
  • Support groups 
  • Holistic activities
  • Wellness activities
  • Dual diagnosis care
  • Aftercare planning
  • Referral coordination

Available Financial Options for Residential Treatment

There are many financial assistance options. They include state and federal programs, insurance, and facility-based help.

Since eligibility and coverage vary, contact treatment centers and insurance providers to learn all available options.

Some facilities offer scholarships and grants. However, these may be limited and do require an application process.

This table summarizes payment options in California:

Financial OptionDescription/Eligibility
Government-Funded and Public Assistance
State-Funded ProgramsLow/no-cost for eligible residents
SAMHSA GrantsFederal funds for uninsured/underserved populations
Medicare/MedicaidGovernment insurance; eligibility required
VA BenefitsFor veterans
Insurance Coverage
Private InsuranceACA and employer plans often provide coverage
EAPsEmployer-provided assistance
Facility-Based Financial Aid
Payment PlansOffered by many facilities
Scholarships/GrantsFacility-based, competitive, need-based
Sliding Scale FeesFees based on income
Other Assistance
Family and FriendsPersonal loans or support
Charity/Non-ProfitFree/low-cost, limited availability

Using Health Insurance to Cover Treatment Costs

Health insurance, for those who are eligible, plays a big role in making rehab treatment affordable in California. Consider the following tips:

Coverage Requirements and Protections

For those who meet the criteria of medical necessity, under The Affordable Care Act (ACA) most private insurance companies are required to cover substance abuse treatment as an essential health benefit. 

Details of coverage vary by provider and can be complex. Check your behavioral health benefits. Most rehabs will provide help sorting this out. It depends on the number of days, types of services, and medications. 

What Insurance May Cover

Many plans cover a variety of treatment services including detox, residential rehab, outpatient therapy, and aftercare.

100% of treatment costs are covered by some plans, after deductibles are considered. Others require co-payments or co-insurance.

Often insurers will require that you use in-network providers (approved facilities) for the highest level of coverage. Out-of-network care may be more expensive or not covered.

You may be required to have prior authorization or a referral from a primary care doctor.

Limitations and Considerations

Your insurance plan determines the length of stay covered and included services such as types of therapy or medications. Some plans only cover outpatient care unless inpatient (residential) is medically necessary.

Medicaid coverage varies by state. It may be limited by federal rules. Insurance providers may have a list of approved or accredited treatment facilities and coverage is limited to these.

Steps to Take

Contact your insurance company (using the number on your insurance card) to verify:

  • Which residential treatment centers are in-network
  • What services are covered and for how long
  • What your out-of-pocket costs (deductibles, copays, coinsurance) will be
  • Ask the treatment provider to help verify your insurance benefits and assist with any required pre-authorization.

Veterans should contact the VA to understand dedicated treatment coverage and get help to locate appropriate services.

Financing Plans and Payment Assistance

California residential treatment centers provide a variety of financing plans and payment assistance to make care more accessible. This is regardless of insurance status or financial situation. These are summarized in the table below:

OptionDescription/Eligibility
Payment PlansPay in installments over time
Third-Party FinancingLoans/credit for treatment costs
Sliding Scale FeesFees adjusted based on income
Scholarships/GrantsNeed-based aid from facility or organizations
State-Funded ProgramsLow/no-cost for eligible individuals
Medicaid/MedicareGovernment insurance for qualifying individuals
Credit/Debit CardsAccepted for payment at most facilities
Family SupportFinancial help from loved ones

Scholarships, Grants, and Nonprofit Support

California residents facing financial barriers can access a variety of scholarships, grants, and non-profit resources to help people access residential treatment. The application process can be competitive and may require persistence and thorough documentation.

Scholarships and grants can significantly reduce or eliminate the cost of residential treatment for those in need. Nonprofit organizations and government-funded programs are vital sources of support, especially for individuals with limited or no insurance. 

How to Choose an Affordable Residential Treatment Center in California

You need to balance cost, quality, and your specific recovery needs. Here are key steps and considerations to guide your decision:

  • Identify nonprofit or state-funded options in your area
  • Compare program costs and what’s included
  • Verify insurance acceptance and coverage
  • Ask about payment plans, sliding-scale fees, and scholarships
  • Ensure the center is licensed and accredited
  • Match program specialties to your needs (e.g., dual diagnosis, youth, gender-specific)
  • Consider location, transportation, and accessibility

Questions to Ask About Financial Policies

Financing can seem complex because it often is. This table summarizes the main points to consider:

TopicExample Questions
InsuranceDo you accept my insurance? What’s covered?
Payment Plans/FinancingAre payment plans or third-party financing available?
Scholarships/GrantsAre scholarships or sliding scale fees offered?
Cost TransparencyWhat’s included in the price? Any extra fees?
RefundsWhat is your refund policy?
Duration/FlexibilityCan I adjust my length of stay?
Support ProgramsCan you help me apply for financial assistance or housing aid?

Why Northbound Treatment Services Is a Worthwhile Investment

Northbound is a leading California treatment facility that provides effective therapeutic services with highly trained medical and clinical staff to help people recover from addiction.

Comprehensive Programs for Mental Health and Addiction

With a broad range of programs and services, Northbound provides a full spectrum of care, including:

  • Drug and Alcohol Detox
  • Residential Treatment
  • Partial Hospitalization Programs
  • Intensive Outpatient
  • Sober Living
  • Dual Diagnosis
  • Signature Services
  • Aftercare Support

Transparent Pricing and Support with Financial Planning

At Northbound our goal is to make sure that anyone in need of drug and alcohol treatment can get help. We accept most major insurance plans. Call us now to discuss your options.

Compassionate Residential Care at Northbound

For more than 30 years, Northbound Treatment Services in California has been at the forefront of providing lifesaving, compassionate residential care, and specialized services to help people from all walks of life feel better, discover themselves, and live free from addiction. We have facilities throughout California. Reach out to our admissions team now. 

Our admissions team is available 24/7. Contact us now

Sources

[1] DRS Editorial Team. 2025. California Rehab Costs and Treatment Options for Residential and Outpatient Care

[2] National Center for Drug Abuse Statistics. 2023. Average Cost of Drug Rehab

[3] Ogren, G. 2024. How Much Does Rehab Cost in California? Recovery.com

Author

  • Chief Marketing Officer

    Alexa Pelech is the Chief Marketing Officer at Northbound Treatment Services, where she combines her passion for helping others with a strong track record in addiction treatment marketing and outreach. Since joining Northbound in 2019, Alexa has held several key roles—including Referral Relations Manager and Director of Business Development—before stepping into her current leadership position in March 2023.

    Alexa began her career in behavioral healthcare as an Outreach Coordinator with American Addiction Centers, where she quickly developed a reputation for her compassionate approach and results-driven mindset. Today, she leads Northbound’s marketing strategy with the same energy and heart, driving growth while staying true to the mission of recovery. Alexa holds a Bachelor of Arts in Fine and Studio Arts from San Francisco State University and later studied Substance Abuse and Addiction Counseling at Los Angeles Pierce College. Her creative background and commitment to service continue to shape her authentic, human-centered leadership style.

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