RICHMOND, Va., Jan 13, 2005 /PRNewswire-FirstCall via COMTEX/ -- The average cost of long
term care in the United States across all services categories was $72,240 in
2004, according to research released today by Genworth Financial. The company
modified its annual Cost of Care Survey to provide the industry's first
single-study, comprehensive view of expenses associated with all three major
categories: nursing homes, assisted living facilities and home care. The
research was conducted among 6,000 providers nationally.
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With more and more Americans expressing a desire for in-home care,
Genworth says the ability to compare and contrast services have increased in
importance.
"As 77 million people approach retirement, growing life expectancy is
stimulating demand for long term care and, consequently, driving up costs for
nursing homes, assisted living, and home care," said Buck Stinson, president
of Genworth Financial Long Term Care. "Taking the right steps to develop a
feasible financial plan is becoming increasingly critical."
According to the study, costs in urban areas were 20 percent higher than
non-urban areas. In certain markets, such as urban areas of New York,
California and Minnesota, the cost of care was more than 40 percent higher
than non-urban areas in those states.
Following are key findings from the Genworth survey, broken out by major
category.
-- Nursing Homes: The average annual national cost of a private room in a
nursing home is $65,200, or $179 per day. This remains the most costly care
option. It also reflects a 13 percent increase over the 2003 daily rate of
$158 per day. The average annual cost of a semi-private room within a nursing
home is $57,700, which translates to a $158 daily rate.
Alaska continues to have the highest average annual cost in the nation at
$191,400 for a private room, followed by New York City at $127,900 (14.8% and
21.2% increases, respectively, over 2003). Missouri's non-urban areas had the
lowest average annual cost in the nation, at $41,600.
-- Assisted Living: A private room in an assisted living facility has an
average annual cost of $28,800; this includes room and board only and excludes
entrance, community fees and additional health care services. New York City
has the highest monthly cost for a single bedroom unit at $5,000; non-urban
areas of Florida check in with the lowest costs at $1,587 per month.
-- Home Care: Across all 3 home care provider types, home health aide and
homemaker services averaged $18.65 and $16.67 per hour, respectively.
Providers were classified into 3 categories because of the significant
variation in certification and licensing: certified home care providers,
licensed home care providers who are not Medicare certified, and non-licensed
home care providers who are also not Medicare certified.
Other Findings
In 2003, the cost of a private room in a nursing home in Louisiana had the
lowest average annual cost, but increased 21.6% to $43,658 in 2004. The
highest average cost increase for a private room in a nursing home was 30%, in
Delaware. Average costs declined in three regions: North Dakota at -31%;
Nebraska at -8%; and Maine at -2%.
The accompanying charts offer additional key regional and national
findings from Genworth's 2004 Cost of Care Survey. More information, including
a comprehensive summary, can be found on http://www.Genworth.com.
Genworth Financial commissioned CareScout to conduct its annual cost of
care survey. Research was conducted from July through October of 2004, and
then fully analyzed. The survey included feedback from more than 6,000
providers in 88 separate regions in the U.S. More than 2000 participants were
polled from each of the three categories of long term care providers: Nursing
Homes, Assisted Living Facilities, and Home Care Provider groups. Genworth
Financial's survey also includes assisted living facilities and certified home
care providers, licensed home care providers who are not Medicare certified,
and non-licensed home care providers who are also not Medicare certified.
Headquartered in Wellesley, Massachusetts, CareScout helps Americans in
every state find quality care providers at preferred rates. Large employers,
insurance companies, risk underwriters and families rely on CareScout's
proprietary quality of care ratings systems, discount network and database of
more than 77,000 nursing homes, assisted living facilities and home care
agencies.
About Genworth Financial
Genworth Financial (NYSE: GNW) is a leading insurance holding company,
serving the lifestyle protection, retirement income, investment and mortgage
insurance needs of more than 15 million customers, with operations in 20
countries, including the U.S., Canada, Australia, the U.K. and more than a
dozen other European countries. Genworth is the leading provider of long term
care insurance in the United States. For more information, visit
http://www.genworth.com
Media Inquiries: Neal McGarity, Genworth Financial 203-708-3460
During July through October 2004, Genworth Financial commissioned
CareScout to conduct its annual cost of care survey. CareScout, a Wellesley,
Massachusetts company that specializes in eldercare provider databases and
helps families select appropriate providers nationwide, conducted the survey
by telephone in 88 separate regions in the U.S., surveying more than 6,00
providers overall. The 2004 Genworth survey included polling of Nursing Homes,
Assisted Living Facilities, and Home Care Providers
SOURCE Genworth Financial
Neal McGarity, Genworth Financial, +1-203-708-3460
http://www.prnewswire.com
