Long-Term Care: We’re All Going to Die and Private Insurance Won’t Save Us
About one-quarter of all US coronavirus deaths have been nursing home residents. Baby boomers, that enormous post-war cohort, is beginning what will be a stampede into retirement (or death on the job for those with no savings). Over the next 40 years, the number of people over 65 is expected to roughly double. About half of these folks are expected to need long-term care (a home health aide, etc.). But… only 1 of 30 Americans have long-term care insurance.
Can you say, time bomb?
From the American Prospect:
The problem begins at a very basic level: Many Americans don’t even know what long-term care is. It refers to a broad sweep of services and supports that elderly patients and people with disabilities need in their daily, basic activities. Non-medical help in things like bathing, dressing, and eating are all part of long-term care, as well as medical support for patients battling diseases like Alzheimer’s, dementia, and other chronic conditions. It can take place in nursing homes, in assisted-living facilities, or at home.
Why has private insurance for long-term care failed? These policies started being issued in the 70’s and reached their maximum popularity in 2002. But as the cost of healthcare has soared, and the price of “end of life” care soared 10x that, the costs completely swamped the premiums. In other words, the insurance companies underpriced the policies, they failed to forecast how incredibly expensive old age care has become. And when their models finally caught up with and accurately projected costs — the premiums necessary to make a profit were so shockingly expensive, few people can afford it.
This is yet another example — maybe the best example, why the Republican’s religious faith in private markets to fund and provide health care simply aren’t feasible. It isn’t very complicated: to make enough profit to justify the investment, private owners must ration care. There isn’t any other way to do it for most Americans.
Perhaps Mark Meadows, who doesn’t have a four year college degree, will get Trump to transfer money allocated for military spending to build a national network of “hospices” where the old can go to die.