Long term care costs in Indiana are increasing rapidly and the truth is, it has already surpassed the rate of inflation. It does not matter where one chooses to receive care in Indiana because in the end he will still wind up paying close to or more than $80,000 annually.
Based on the consumer price index the current rate of inflation is 2.7% but the cost of care in Indiana has grown up to 8% in a period of six years. The annual growth rate of assisted living facilities in the state has surpassed that of nursing homes and in-home care. At present, a one-bedroom assisted living facility in Indiana charges $3,447 monthly or $41,369 a year which is actually 5% above the national average that is $39,135.
Meanwhile, at $76,285 the state’s annual cost for a private room in a nursing home is a thousand less than the national average, but if you look closely at the annual growth rate of this particular long term care (LTC) facility in Indiana from year 2005 your confidence will surely vanish.
Now home-based care is something that you can look forward to in Indiana as the cost for this type of LTC setting managed to remain flat. Residents who are receiving this form of care pay $18 hourly or $41,184 yearly for the services provided to them by a home health aide. On the other hand, individuals who obtain homemaker services apart from assistance with their activities of daily living (ADL) pay an additional hourly fee of $17 which therefore produces an aggregate annual cost of $80,217.
Given the actual cost of care in Indiana, it is obvious that nobody can sustain his future health care needs without a plan to back him up financially. If a person will only rely on his nest egg and Social Security allowance he will end up on food stamps and eventually Medicaid.
Managing Long Term Care Costs in Indiana
Whether you are expecting care in the next 10 or 30 years, you cannot change the fact that you will need billions of cash to be able to self-insure. Financial advisers and senior health care specialists continue to remind everybody to secure a good financial plan as the cost of LTC will continue to move upwards. In fact, it is projected to increase fourfold after the foreboded twofold increase that is expected to happen anytime in 2025.
Hoosiers are advised to look into a tax qualified long term care insurance (LTCI) policy as this will not only guarantee them of topnotch care someday but financial security, as well. While a percentage of Indiana’s population has managed to get themselves LTCI coverage already, majority of them have yet to make a move like contact an LTCI specialist to make the necessary queries.
LTC specialists understand that most people are intimidated by reports on expensive LTCI premiums so they act as though they don’t need this type of insurance product. It’s time that they let their guard down so that they can plan their future with reason or else they risk facing the unbearable long term care