Nursing home costs rising faster than home-care costs, report finds

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Nursing home costs rising faster than home-care costs, report finds
Nursing home costs rising faster than home-care costs, report finds

The cost of receiving long-term care services at home is increasing, but not nearly as rapidly as the cost of nursing home or assisted living services, according to findings of the 2010 Cost of Care Survey from Genworth Financial.

Over the past five years, the median annual rate of a private room in a nursing home rose from $60,225 in 2005 to $75,190 in 2010. That represents a compound annual growth rate of 4.5%, according to the report, which was released Tuesday. In contrast, the compound annual growth rate for home health aides was 1.7% during that same period. A home health aide was making roughly $17.50 per hour in 2005, and makes about $19 per hour today, according to the report. 

The compound annual growth rate for a one-bedroom, single occupancy assisted living room over the past five years was 6.7%. The national median monthly rate is $3,185. The Cost of Care Survey covers roughly 13,000 providers of long-term care services in 436 regions across the country.