RICHMOND, Va., April 9, 2015 /PRNewswire/ -- Marking 12
years of bringing essential research and education to Americans on
the cost of long term care services, Genworth announced today the
2015 Cost of Care study during a New York
City panel event "The Many Faces of Aging: Examining Long
Term Care from a Boomer and Millennial Perspective."
Experience the interactive Multimedia News Release here:
http://www.multivu.com/players/English/7206254-genworth-2015-cost-of-care/
The 2015 Cost of Care study shows a continuing upward trajectory
of the cost of obtaining long term care services. The cost of
receiving care in a setting such as an assisted living facility or
nursing home is dramatically increasing, while the cost to receive
care at home through homemaker services or a home health aide is
rising more gradually.
"There is something very difficult about facing some of the
challenges and issues that come with aging, including the high
costs of long term care services," said Tom
McInerney, president and chief executive officer at
Genworth. "Part of our mission at Genworth with the Cost of Care
study is to continue educating Americans on how to have tough
conversations around long term care and the importance of planning.
In fact, last year we embarked on a journey to help facilitate
these discussions through our Let's Talk national initiative."
Rising Cost of Long Term Care
Nationally, the 2015 median hourly cost for the services of a
homemaker or home health aide hired from a home care agency is
$19.50 and $20, respectively. Homemaker costs have risen on
average 1.6 percent annually over the past five years. Home health
aide services have risen, on average, one percent annually over the
past five years.
The cost to receive care in an assisted living facility is
rising at a much faster rate. The median annual cost for care in an
assisted living facility is $43,200.
This represents an average increase of 2.5 percent over the past
five years. The comparable cost for a private nursing home room is
$91,250, which has increased 4
percent annually over the past five years.
Millennials Won't Be Taken By Surprise
In further examining how Americans perceive this important
social issue, Genworth commissioned a complementary study, "Aging
Across Generations." The research was aimed at understanding to
what extent Millennials, Baby Boomers and older generations are
familiar with long term care events and how prepared they are for
their own future as a way of helping to put more context around the
rising costs. Millennials have witnessed some of the challenges the
older generations have faced, such as stock market swings, a
troubled economy and high unemployment and are educating themselves
on the importance of planning and taking proactive steps to plan
for their futures.
Part of the reason Millennials are driving the conversation is
to ensure a plan is in place and that their families can have a
sense of security if a long term care event should occur.
Genworth's study revealed that females (65 percent) and Millennial
generations (69 percent) are more likely to feel that the burden of
providing long term care for their parents or grandparents will
fall on them.
Generally, as adults age they have more familiarity with long
term care events and they know more people who may have gone
through a care issue. However, almost half of adults (47 percent)
and about a quarter (27 percent) of Millennials assign a failing
grade to their parents or loved ones due to not planning for, or
talking about, their long term care needs. However, Millennials (56
percent) think they will plan for their long term care needs more
effectively than previous generations because they are better
informed and have better resources available to them.
"Millennials have more insight and information available to us
than any generation before, and Genworth's study shows we're
determined to use it all," said Nadira
Hira, renowned journalist and author of a forthcoming book
on Millennials and leadership. "What remains to be seen is whether
we can translate that intellectual awareness into meaningful
action. That's why it's so important to start this conversation
early, learn from our elders' experiences, and take advantage of
whatever resources we can to plan for the future."
Planning today can help save families from facing a crisis
tomorrow. Having the right talk, the right way, at the right time,
can ease the emotional and financial pressures of planning for long
term care needs. Knowing the cost of long term care services and
financing options available can help Americans age gracefully in
the setting where they are most comfortable.
Learn what financing options are appropriate for your needs:
- Medicare pays for long term care if you require skilled
services or rehabilitative care such as in a nursing home (max 100
days) and at home if you are also receiving skilled home health or
other skilled in-home services (provided for a short period of
time). For more information please visit longtermcare.gov.
- Medicaid covers a large share of long term care services but to
qualify your income must be below a certain level and you must meet
minimum state eligibility requirements and be in a
Medicaid-approved facility. For more information please visit
Medicaid.gov.
- If you qualify, private payment options such as long term care
insurance, linked benefits products or long term care riders on
other insurance can help fill the gap between public assistance and
the high cost of long term care services. For more information
please visit
https://www.genworth.com/long-term-care-insurance/source/get-the-facts/options.html.
- Saving for long term care on your own can be difficult and take
years to accumulate funds. To learn more information and see if
self-funding will take care of your long term care needs please
visit
https://www.genworth.com/long-term-care-insurance/source/make-a-plan/payment-options/self-funded.html.
Keep in mind that individual plans can combine several of these
approaches.
About Genworth's 2015 Cost of Care Study
Genworth's
annual Cost of Care Survey is one of the most comprehensive
studies of its kind, covering nearly 15,000 long term care
providers nationwide. The survey includes 440 regions which include
covering all Metropolitan Statistical Areas defined by the 2014
Office of Management and Budget. Genworth annually surveys the cost
of long term care across the U.S. to help Americans plan for the
potential cost associated with the various types of long term care
available in their preferred location and setting. The survey also
provides state-specific cost of care data for all 50 states and
comparison to the national median. CareScout®, part of the Genworth
Financial family of companies, has conducted the survey since 2004.
Located in Waltham, Massachusetts, CareScout has specialized in
helping families find long term care providers nationwide since
1997. Genworth's 2015 Cost of Care Survey was conducted
during January and February 2015.
About Genworth's "Aging across Generations" Study
The
"Aging across Generations" omnibus study was conducted in
collaboration with an independent third party research firm,
J&K Solutions, LLC. The data from this omnibus study was
collected from an online survey over the course of 3 days in
February 2015. A demographically
representative sample of 1,228 adults ages 18 and older across
the United States were surveyed
providing a highly stable and reliable data source. The sample
follows the framework of the U.S. Census data for age, ethnicity,
gender, region and income. This allows for estimates of the stated
population within +/- 3% with 95% confidence, unless otherwise
noted.
About Genworth Financial
Genworth Financial, Inc.
(NYSE: GNW) is a leading Fortune 500 insurance holding company
committed to helping families become more financially secure,
self-reliant and prepared for the future. Genworth has leadership
positions in long term care insurance and mortgage insurance and
competitive offerings in life insurance and fixed annuities that
assist consumers in solving their insurance, retirement and home
ownership needs.
Genworth operates through three divisions: U.S. Life Insurance,
which includes long term care insurance, life insurance and fixed
annuities; Global Mortgage Insurance, containing U.S. Mortgage
Insurance and International Mortgage Insurance segments; and the
Corporate and Other Division, which includes the International
Protection and Runoff segments. Products and services are offered
through financial intermediaries, advisors, independent
distributors and sales specialists. Genworth, headquartered in
Richmond, Virginia, traces its
roots back to 1871 and became a public company in 2004. For more
information, visit genworth.com. From time to time, Genworth
releases important information via postings on its corporate
website. Accordingly, investors and other interested parties are
encouraged to enroll to receive automatic email alerts and Really
Simple Syndication (RSS) feeds regarding new postings. Enrollment
information is found under the "Investors" section of genworth.com.
From time to time, Genworth's publicly traded subsidiaries,
Genworth MI Canada Inc. and Genworth Mortgage Insurance Australia
Limited, separately release financial and other information about
their operations. This information can be found at
http://genworth.ca and http://www.genworth.com.au.
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SOURCE Genworth Financial, Inc.