AARP: Most Americans unaware of long-term care costs

“With an estimated 9 million people over the age of 65 requiring long-term care services this year, there is a need for better public awareness, planning and coordination of government and private sector initiatives,” said AARP National Board Member Jennie Chin Hansen, in a news release. “By 2020, the number of people needing long-term care is estimated to reach up to 12 million.”

For the report, “The Costs of Long-Term Care: Public Perceptions Versus Reality in 2006,” 1,456 Americans age 45 and older were surveyed about their knowledge of the costs and funding sources for nursing homes, assisted-living residences and in-home care.

While 60 percent of survey respondents said they are familiar with long-term care, only 8 percent could reasonably estimate the cost of nursing home care.

Among the other findings in the report:

• Less than a quarter (23 percent) could reasonably estimate the cost of assisted living, and 23 percent say they don’t know what an in-home visit by a skilled nurse would cost.

• Only 9 percent could reasonably estimate the cost of an in-home visit by an aide.

• Regarding government funding, 52 percent of respondents incorrectly believe that Medicare covers assisted living, and that it will cover nursing home stays beyond three months for age-related or other chronic conditions.

AARP has also released an informative resource book, “Across the States 2006: Profiles of Long-Term Care and Independent Living,” which highlights the dramatic differences among the states in long-term care services and how these services are financed to help policymakers make informed decisions on long-term care.

AARP is using its report findings and new book to educate its members, the public and policymakers.

“We are encouraging people to talk with their families, in advance of a crisis, about the kinds of care they would like to receive,” Hansen said. “If people know what they want, and have an opportunity to realistically plan for their future, they have a much greater chance of living the lifestyle they want in their later years.”