The cost of care in the home is going up, whereas some institutional forms of long-term and post-acute care have actually been on the decline, according to a new “Cost of Care” survey report from health insurance administration and technology services firm illumifin.
Nationwide, the average hourly rate for a home health aide was $30.62 in 2023, a 5.2% increase over the previous year. The average price of a home visit by a registered nurse, meanwhile, decreased by 1.6% to $147.72. The downturn could be explained by service rates normalizing after a period of inflation driven by the COVID-19 pandemic, according to the report.
Service costs may be growing, but perhaps not as quickly as in previous years. In 2022, the cost of a home health aide’s services rose 7.6% over the prior year, according to illumifin’s Cost of Care report from 2023.
Washington and New Hampshire were the most expensive states to hire a home health aide, illumifin’s latest report found, while Mississippi and Louisiana were the least expensive. Washington was also the most expensive state for home health aides the prior year, according to the 2022 report, whereas New Hampshire was only ranked sixth most expensive.
Institutional care price changes were mixed in 2023, this year’s survey found. Skilled nursing facility rates dropped slightly, between 0.4% and 1%. Assisted living facility costs rose between 0.6% and 3.8% year-over-year, depending on unit type. Before the pandemic, assisted living prices were actually trending downward, according to the report.
Meanwhile, a growing number of Americans believe that the government should provide greater assistance to offset rising eldercare expenses. A study published in January by the American Sociological Association found that most US adults believe that the government should pay for aging care services, and about a quarter of people believe the government should be responsible for actually providing these services, as well.
