How much does long-term care cost? - Washington
If you were to ask people to name life's big expenses, most will list "college," "a mortgage," "raising children," "home maintenance," and "taxes." Few will mention long-term care as one of life's major expenses, but they probably should. It's something that many of us may encounter and it’s potentially much more expensive than we realize. The cost for one year in a private nursing home room averaged $95,706 in 2014.1
Costs vary widely by region, with costs typically being highest in larger metropolitan areas. To begin to define costs, it’s important to note that long-term care services typically fall into one of three categories: home and community-based care, assisted living care and nursing home care.
It's impossible to predict your chances of needing long-term care and, if you do, how long you will need care and what type of care you will need, but it’s important to understand the financial impact a few years of long-term care may have. By considering the costs listed below, you can begin to get a sense for how quickly long-term care expenses can add up.
Nursing home care
According to the 2014 New York Life Insurance Company (New York Life) Cost of Care Survey, the average annual cost of nursing home care in a private room was $95,706 per year2.
Assisted living care
The NAIC’s A Shopper’s Guide to Long-Term Care Insurance (2013) notes that in 2010, assisted living facilities charged an average of $3,293 per month nationally, though some residents with higher care needs pay more.
The average hourly rate for in-home/informal care services was $22 per hour3
1 New York Life 2014 Cost of Care Survey
2 New York Life 2014 Cost of Care Survey
3 New York Life 2014 Cost of Care Survey
The purpose of this material is solicitation of insurance. An insurance producer may contact you. Long-term care insurance is issued on policy form series ILTC-5000 and INH-5000 with a state identifier, where applicable and edition date. These policies may have exclusions and limitations.