FCRP Policy Statement

What it costs:

• The average annual cost of nursing home care is $35,000 a year. In urban areas this figure can approach $60,000 or higher.
• The average annual cost of home care is $18,000

Who's paying:

• Individuals cover the costs of most home and community-based services out-of-pocket. Overall, less than 5% of the nation's long term care bill is paid by Medicare and private insurance. Medicaid does help some individuals pay for nursing home care, but only those with incomes below the poverty level.

Who's affected:

• Over 11 million Americans of all ages are in need long term support and assistance. Seven million people over the age of 65 currently need assistance with day-to-day living, including activities such as eating, bathing, and dressing. Another 4 million people under age 65 have similar long-term care needs.

Implications of the Need for Long Term Care for Health Care Reform

• The Long Term Care Campaign, a coalition of 138 national organizations committed to improving the quality of long term care, has made recommendations for the proposed health care reform package:*
• Long-term care services should be available to all who need them, regardless of age or income.
• A national program should provide a comprehensive range of facility-based and community-based health, social and support services to maintain and enhance personal independence.
• Long term-care should be financed through a social insurance program like Social Security or Medicare; paid for by all ages.
• Long term care should be viewed as a vital part of health care cost control. It avoids an unnecessary burden on the acute care system brought about by avoidable hospital and emergency visits, illnesses and injuries to persons with no care and caregivers with no assistance
• A comprehensive social insurance approach should be used to avoid creating in long term care the problems currently being corrected in acute care.
• The current system's bias in favor of institutional care needs should be removed. Home and community care is more appropriate, less expensive, and what most people want. Long term care in the home and community allows families to have a role in care and allow people with disabilities to live independently and productively.
• Consumers and their families should be able to choose the services and supports that will most effectively meet their needs at the best price. This is not always physician care.
• Consumers of long term care should be involved in the design of the s, stem and their own plan of care. No one has a greater interest in cost control than the people paying the bills.

*This information was taken from "7heLong Term Care Campaign: An Insiders' Update", May/June 1993 and is a summary of Bill Keane's testimony to the President's Task Force on Health Care Reform. Mr. Keane served as primary caregiver to his mother and aunt, both of whom suffered from Alzheimer's disease and, currently serves as spokesperson for long term care. 7his summary was prepared by Grant No. 1 ROI A G06584, "Caregivers Responses to Managing Elderly Patients at Home, funded by the National Institute on Aging, Charles W. Given and Barbara A. Given, Principal Investigators.