Do You Have A Plan for the
Riverside’s New Program for
AgendaI. Long-term Care Overview
II.Options for Planning Ahead III.What is ChooseHome?
What is Long-term Care?
Long-term care are any services that are needed over a long-period of time. They may or may not be
directly healthcare related. Common Examples:
Transportation Meal Assistance
Emergency Alert Systems
Home Health Aides Assisted Living
Long-term care is not typically covered
How much long-term care will I use?
of people turning 65 today will need
According to the US Department of Health and
Human Services, the average individual will
of long-term care.
How much does long-term care cost?
“In Virginia, the annual cost of an assisted-living facility is $45,300, an increase of 5 percent annually during the past five years. The national average is $41,400 and has
increased about 4 percent annually during the past five years.
The cost of a private nursing home room has risen 4.7 percent annually during the past five years in Virginia to
$83,950. That’s the same as the national average, which
rose 4.5 percent annualized during the past five years.”
If you were to use 5 years of
long-term care, it might cost:
Cost per year1 Total Cost
Home Care Assisted Living 1 years 2 years $41,184 $45,300 $41,184 $90,600 Skilled Nursing Care 2 years $83,950 $167,900
Future of Long-term Care
This “age wave” will have several negative effects on long-term care: • Increased demand will limit access • Costs will continue to rise • General quality may suffer
Options for Planning Ahead
Other options have traditionally included:
Continuing Care Retirement Communities
Long-term Care Insurance
Other Financial Tools (i.e. annuities)
“One option is to ignore long-term care risk entirely and simply depend on your own assets to meet the
financial need, when and if it should arise. As movie character Dirty Harry might say, ‘Do I feel lucky?’”
Exploring new options:
CCRC’s are an excellent way to extend independence and have a safety net of health care services readily
available. This “continuum” appeals to a lot of people. But, surveys by AARP show that 9 out of 10 people
over the age of 65 want to remain in their homes. If they choose to remain at home, only financial protection is available. Not access to services,
reassurance as to the quality, or a coordinator to help navigate their needs.
A New Option for Retirement
ChooseHome is a comprehensive plan that is
designed to help you stay independent and in
your home for as long as possible
What does ChooseHome
ChooseHome provides members with access to a
personalized, coordinated array of quality Riverside or Riverside-approved services that focus on
maintaining your quality of life.
ChooseHome also provides you with the ability to gain control over the costs of long-term care, as the fees paid into the program protect you against
ChooseHome will provide an array of services all organized by a personal service coordinator.
Examples of program services include: • Wellness Assessments
• Medication Dispensing
• Homemaker/Companion Care
• Home Health Aides
• Adult Day Services
• Assisted Living (Facility-based)
• Comprehensive: 100% Coverage with a $250 per day cap
• Premium: Coverage ranging from 75% to 100% with a $200 per day cap
• Choice: Coverage ranging from 50% to 100% with a $150 per day cap
The benefit term is a “pool” or “bucket” of days you can draw from. It begins when you start receiving long-term care
services and is determined cumulatively, not consecutively.
• 1,095 days
Fees are determined by three factors:
1. Age at entry (minimum age of 60)
2. Benefit Plan
3. Length of coverage
There is an initial investment as well as monthly investment.
• Couples receive discounts.
• Entrance fees are refundable – amortize over a
three or five year period.
• Fees may be applied to income tax deductions as a
How much does it cost?
1. There will be an initial investment (entrance fee) as
well as monthly fee (please note: fees can be applied to income tax deductions as a pre-paid medical expense). 2. For the average 70 year old the entrance fee would
range from about $12,000 to $41,000.
3. Monthly fees for the average 70 year old would range from about $370 to $460.
4. Couples will receive discounts.
5. Entrance fees are refundable or partly refundable – amortized (decline) over a three or five year period.