Ignoring the question of whether the government should actually be involved in this, I don't really see why this specific aspect of society should be opt-in. Basically all things provided by the government are used at different rates (or not at all) by different citizens so I don't see why that reasoning wouldn't lead us to making all things in society be opt-in. Some actually believe that sort of idea makes sense, but I certainly do not.
In any case, the government could surely just regulate private nursing homes much more strictly making many of these parasitical companies' business models untenable.
