The cost of long term care is rising across all service types, according to the findings of a survey of more than 16,000 care providers nationwide.
Across nursing homes, assisted living communities and in-home care, costs vary widely, but one thing is consistent: all costs are rising.
The cost of care in a private room in a U.S. nursing home averages roughly $94,170 per year, with the costs of assisted living averaging $41,124 annually, according to the survey, commissioned by John Hancock Life Insurance Company.
Home care, in comparison, averages $29,640 annually, the study finds based on responses from 16,000 long term care providers nationwide. Long term care across all service types having increased over the past year.
Based on a five-year average, the company finds the cost of nursing home care has risen most, at 3.6% per year for both private and semi-private room options. Assisted living, in contrast, has risen 2% annually while the cost of a home health aide has risen 1.3%. Costs vary by geography, the company notes, showing geographic discrepancies through its national long term care calculator.
“The cost of long-term care continues to be one of the most significant uninsured financial risks that an individual can face,” said Michael Doughty, Executive Vice President & General Manager, John Hancock Insurance. “[We] hope that our cost of care studies will raise consumer awareness and will help them understand how important planning ahead for a potential long-term care event can be to their future.”
The findings compare with similar results of an annual Genworth Financial Survey indicating care costs have risen 5% year over year in 2013 for assisted living, 3.6% more for nursing home care, and 1.4% for home care.
Written by Elizabeth Ecker
