The cost for elderly care is increasing because the elderly population is increasing as well as the life expectancy. They are predicting that the elderly population will double in size within the next 25 years according to National Institute on Aging (NIA) and about 10,000 baby boomers will turn 65 each day according to the U.S. News & World Report (A Place for Mom). By the year 2030 they are predicting to add 25% to overall health care costs. 80% of elderly over the age of 65 have at least one chronic medical condition that could either shorten their life or cause a disability (Medical News Today).
The cost of health care is on the rise due to the cost of new technology. The newer the technology the higher the price for care. Technology is constantly improving forcing medical facilities to purchase new and improved technological equipment. Malpractice insurance is increasing (from the year 2000-2002 there was a 15% increase) and ultimately affecting the prices that physicians charge for their services (ABC News). The rise of the level of obesity in our country is affecting the overall health of the individuals and is increasing the cost of health care for that individual.
As the elderly population grows so does the need for care whether it be home based, assisted living, or a nursing home. According to the 2012 Genworth “Cost of Care Survey”- Urban areas costs well exceed the cost for non-urban areas. A one bedroom unit in an urban area is 15.2% more than in a non-urban area and 14% more for an urban area private nursing home room (A Place for Mom). Here is a chart that breaks down the cost between each type of care that I found to be very informative regarding the care that is available:
Care Type In-Home Care Nursing Homes
(semi-private) Nursing Homes (private) Assisted Living
Hourly Rate $14-$24/hour N/A N/A N/A
Daily Rate $112-192/day** $181/day $205/day2 $90/day**
Monthly Rate $3,360-5,760/month*** $5,430/month*** $6,150/month*** $2,714/month2
Let us discuss what you get for the above prices:
In-home care is care that is provided for an elderly patient that is supplemented by someone other than a family member. In home care assists the elderly with their everyday routine activities like cleaning, cooking, dressing, bathing and bathroom assistance. In home care employees are not medical professionals and most in home based facilities are not required to have any form of licenses for their employees. In home care allows the elderly patient to remain in their own homes and allows them as much independent as possible. This type of care is not covered by insurance company and would be an out-of-pocket expense for the elderly or the family members. This would be appropriate for the family members that are not able to assist the elderly family member on a daily basis or would allow a break for those family members. This would not be appropriate for an elderly person if they are not able to be at home independently....