There are an estimated 79.6 million baby boomers and about 6 out of every ten of them (roughly 37 million people) will eventually manage more than one chronic condition by 2030 and need the services of healthcare. As said chronic conditions grow more and more people will need the consistent care only trained professionals can provide. The U.S. currently, spends more per capita than any other country on healthcare. Demand has increased for healthcare such that government spending has grown from 9% in 1980 to 16% by 2008. The next largest spender as far as healthcare expenditure is Norway, but by 51% less than the U.S. In addition to this the U.S. is spending its money faster than any other country. As the baby boomers enter their mid to late sixties health care demand is expected to rise significantly. Currently, about 7% of the U.S.’s GDP spending (a little over $1 trillion) is on healthcare. Baby boomers reaching the age of eligibility for Medicare benefits (about 2.8 million in 2011 and almost 4.2 million each year by 2030) will cause the number of people covered under medicare to increase from 47 million to 80 million by 2030. This is expected to have a direct relation to the increase in medical care costs.
Home care is the answer to the rising costs of healthcare. According to a report done by Milliman the cost of healthcare for the average family of four covered by a preferred provider is $19,393. This is up 7.3% from 2010’s cost, setting a new record for the highest year-over-year increase in healthcare costs with a preferred provider in total dollars spent per family (up by $1,319). Such cost increases could make healthcare too expensive for the average person or family. One way of keeping costs low is home care. Home care cuts down constant hospital care and readmission rates. A study done by Avalere Health showed that patients with diabetes, chronic obstructive pulmonary disease, or congestive heart failure who were initially seen at a hospital, but then utilized home care for treatment resulted in 20,426 less hospital re-admissions, thus saving Medicare $670 million from October 2006 to September 2009. This also resulted in a $2.81 billion reduction in post-hospital medicare spending. This has large implication as far as home care’s potential of cutting U.S. overall healthcare costs.
To find out more, contact your local home care agency.