Figuring Long Term Care Costs in Alabama

Alabama long term care costs are much lower compared to those in other U.S. states, but surprisingly the rates of in-home care services in this state are increasing faster than the national average cost.

According to a study which was conducted by Genworth Financial, a renowned financial security company and leading long term care insurance (LTCI) carrier, the cost of in-home care services in Alabama has increased 3.5 percent per annum over the past six years while the national average has only increased 1.4 percent over the same period.

Residents in Alabama have to pay out $15 per hour to receive custodial care from a home health aide who is responsible for providing assistance to disabled or cognitively impaired individuals with their activities of daily living (ADL) such as eating, bathing, use of toilet, dressing, continence, and transferring.

Home health aides normally work eight to 12 hours a day only but there are home health care agencies that offer live-in caregivers for people that require round the clock monitoring and assistance with the administration of their medication.

Now it’s no longer the job of a home health aide to perform house shores so anyone who wishes to have somebody cook his meals, clean the house, wash his clothes, and run errands for him should avail homemaker services. This is another form of LTC called homemaker services and its median hourly rate in Alabama is $14.

Meanwhile, some individuals who require custodial care but wish to keep their independence opt for an assisted living facility which is similar to a nursing home except that it does not provide 24-hour care and monitoring.

Assisted living facilities in Alabama have a median annual cost of $34,785 but in some regions the rates are higher. In Anniston, for instance, a one-bedroom assisted living facility is $51,000 while in Huntsville the median annual rate of an assisted living is $44,922.

The varying rates of LTC facilities is precisely why one has to study the cost of care in his area of residence very carefully before coming up with a specific plan. Basing your LTC plan on the state’s median cost is not going to produce good results but the contrary as this can compel you to spend more out-of-pocket for your LTC expenses.

Alabama Long Term Care Costs

From the factual point of view, the cost of care in Alabama is not as prohibitive as that of other states but when the country’s cost of care doubles in 2015 and quadruples in 2030 just imagine where your $500,000 will take you.

LTC experts don’t encourage the idea of self-insuring except if you have a total amount of assets that is at least $2,000,000 or more. For as long as the population of the elderly and disabled individuals continues to grow, the cost of care has no other direction but upwards.

Consult your doctor so you’ll know what kind of LTC setting will be most appropriate for you in the future. After having done so, discuss Alabama long term care costs with your family and the best way to fund it.