Cost of Long Term Care By State
The cost of long term care is an important factor in long term care (LTC) planning. Knowing the cost of long term care services in your area allows you to choose how much risk to transfer to an insurance company. Transferring the risk with LTC insurance makes sense because health insurance and Medicare do not pay for most long term care.
Some choose to transfer all their long term care risk and pay higher premiums for more protection. Others prefer to transfer only a part of their long term care risk and pay lower insurance premiums. Either way, being informed lets you make the best choice for your situation.
Cost of Long Term Care Survey 2019
Genworth Financial has an annual cost of long term care survey conducted by Carescout®. The 2019 Cost of Care Survey included over 15,000 long term care providers in 441 regions across the country. The survey includes home health care, assisted living facility care and nursing home care costs.
Cost of Long Term Care Map
The cost of long term care map below will help you learn more about the costs for different types of care in your area. It also helps you estimate what the cost will be in later years, when you’re most likely to need long term care.
Long Term Care Cost Trends
For the past 16 years, these cost of care surveys have uncovered several trends in the cost of long term care. As expected, the cost of all types of care continues to rise — from home care costs to nursing homes. From 2004 to 2019, the cost for facility and in-home care services has risen on average from 1.71% – 3.64% per year. That’s an increase of $892 annually for home care and up to $2,468 annually for a private room in a nursing home. At this rate, some care costs are outpacing the U.S. inflation rate of 2.1% 2 by almost double.
Increases in costs for care in facilities is nothing new. But now, home care costs are increasing at a quicker pace as well. From a large sampling of long term care insurance claims we know that the majority of claims begin at home. And research shows that staying at home is very important for most people thinking about long term care planning.
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1 Based on 365 days of care
2 Inflation statistic from United States Department of Labor, Bureau of Labor Statistics