Tag Archives for AARP

Aging Baby Boomers Woefully Unknowledgeable About Services

Published in Pawtucket Times on December 31, 2001

Are you a savvy shopper for services that you might one day need to purchase?

Many Americans are especially savvy when they purchase cars, electronic equipment or clothing.  But most are not when it comes to their knowledge of purchasing needed long-term care services, says a report recently released by AARP.

More than half (60 percent) of aging baby boomers age 45 plus say they are at least “somewhat familiar” with long-term care services currently available. However, they are woefully uninformed about the costs of, and funding sources for, long-term care services.

Yet with the graying of America’s population, the need for these services is expected to increase in the upcoming years. According to the 2000 U.S. Census Bureau projections, today’s 65 or older population numbers are expected to double to about 70 million in 2030, and the 85 and older population will also nearly double to about 8.5 million.  Those 85 years and older will be in the greatest need for nursing facility care.

“With the onset of the aging demographic revolution, essential that the general public not only learn about the long-term care options but understand their costs, and begin planning for their future care requirements,” said AARP CEO Bill Novelli. “Unfortunately, most of us pay little attention to the cost of such care until we or our loved ones needed it.  AARP sees  our role as informing and assisting people to make good choices.”

The AARP telephone survey asked a random sample of 1,800 Americans ages 45 and older questions  designed to measure their knowledge and understanding of the continuum of long-term care services, ranging from in-home care, assisted living to nursing home care.  In addition, to the national survey, five state-specific surveys were conducted with a random sample of 400 people age 45 and over in California, Florida, New Mexico, Washington and Wisconsin.

The survey findings suggested that aging baby boomers and seniors are generally not familiar or knowledgeable about the costs of long-term care services.  Only 15 percent could identify the cost of nursing  home care within plus or minus 20 percent of the national average of cost (about $ 4,654 per month).  Even 24 percent of those participating in the survey admitted that they did not even know the cost. And that’s not all – 51 percent estimated the cost too l ow.  So much for those savvy shoppers.

As for assisted-living facilities, one in four (27 percent) were able to come within a plus or minus 20 percent of the estimated median cost of care in an assisted-living facility while 38 percent said they did not know the national estimated median cost for assisted living per month, ranging from $ 2,000 and 2,500.

Meanwhile, survey participants continued to reveal their lack of knowledge by being generally unaware of how much an in-home visit from a skilled  nurse or aide costs.  The average Medicare reimbursement is $ 109 per a skilled nurse visit and $ 64 for a home visit by an aide.  The survey findings reported that they gave a wide range of answers, with no real consensus.  Thirty three percent even admitted they did not know the cost.

So, what about the aging baby boomers knowledge of long-term care insurance, one viable option to pay for the cost of long-term care services? About 31 percent said they have insurance that covers the cost of long-term care, when they probably didn’t.  Maybe it’s time for people to read the very small print in their insurance policies.  The Washington, D.C.-based Health Insurance Association of America estimates that only about 6 percent of Americas purchased such insurance.

Additionally, the survey respondents who said that they had insurance coverage for long-term care services were more likely to say they feel better prepared to meet the financial challenges of paying for care than those who say they do not have coverage (7 percent versus 39 percent).  This finding suggests that people who say that they long term care coverage when they do not may have a false sense of financial preparedness.

According to the new study, there is also a discrepancy between what people think Medicare and Medigap cover and what they actually cover.  More than half (55 percent), including those who say they are “very familiar” with long term care (58 percent), believe Medicare covers long-term nursing home stays.  And nearly a quarter say they would rely on Medicare to pay for such stays.  This is not the case.  Medicare does not cover long-term care nursing home stays.

The survey noted that 41 percent thought Medicare also covered assisted living care and more than 34 percent know whether it does or does not.  Medicare does not pay for assisted living.  And 57 percent correctly said that Medicare covers the cost of in-home visits from a skilled nurse. However, many respondents did not understand the difference between a home visit from a skilled nurse and a home visit by a home health aide.

More than half (52 percent) thought Medicare covers aide visits. In fact, Medicare covers only home health aide services for care that is medically necessary, not custodial care.

Kathleen S. Connell, AARP State Director, notes that this research study highlights the big gap between consumers understanding of long-term care services and its associated costs.  She adds that the findings reveal a great deal of confusion as to what long term care services are covered by Medicare and Medicaid.

“Aging baby boomers are now facing decisions regarding the purchase of long-term care services for their older parents. They will also be forced to deal with their need for services as they age and as longevity increases,” Connell says. “Consumers need to be come better informed about what Medicare and Medicaid pays for available long term care options for services that are actual costs of care.  They need to investigate different long term care insurance options, too,” she urges.

In Rhode Island there is a general recognition in agencies assisting seniors of the need for educating consumers and putting information into the hands of people who need it, Connell notes, adding that information specialists are available in local senior centers to assist in this effort.

Don’t wait until a sudden health crisis forces you to shop around for long-term care services.  Start today Become a savvy shopper by increasing your knowledge and understanding of different long-term care service options and  their associated costs.  Learn more about government financing programs, specifically Medicare and Medicaid, and private senior financing with long-term care insurance and Medigap policies.

Seniors Should Beware of Charity Scams

Published in the Pawtucket Times on October 1, 2001

Following on the heels of last month’s deadly terrorist attacks on the World trad towers and the Pentagon, AARP has issued a warning to seniors to watch out for scam artists seeking to make a fast buck on the horrific national tragedy.

The Washington, DC-based senior watchdog group urges older persons to be very cautious when responding to charitable solicitations. “In this time, we need to be alert to stop those who would divert charitable donations away from those who have been victimized by the tragedy in New York and Washington, DC., states Kathleen S. Connell, AARP’s Rhode Island Executive Director.

Charities have historically targeted seniors, Connell says, making seniors especially vulnerable to scam artists.  AARP research shows that, even in ordinary times, Americans age 65 and older receive more telephone and mail solicitations for charitable donations than any other age group. “Older Americans may become particularly receptive to appeals that benefit police and firefighters who were victims of the recent terrorist attacks,” Connell says.

According to AARP experts, charity scams may take various forms, but certain elements can be warning sign. Red flags indicating the signs of a scam include: the use of a similar sounding name that suggests a well-know charity; a request for your credit card number or cash; an offer to send someone to pick up your contribution; and failure of the solicitor to explain the charity’s administrative costs and programs.

Connell recommends that donations be given to recognized organizations such as the Red Fross or Salvation Army or any charitable groups that the giver is familiar with.

Are scam artists targeting Rhode Island seniors using the backdrop of a national tragedy for fraudulent charity appeals?  No, says Connell.  She is unaware of any scams in Rhode Island being directed specifically at seniors. “It appears that the public relations campaigns raising the visibility of telephone scams have been successful and seniors are being more than careful when making donations.

Jim Martin, spokesperson for the state Attorney General’s Office told All About Seniors, “There is no substantial evidence of any scam artists collecting money under the guise of a charity purporting to assist the victims of the Sept. 11th tragedy.”  If this occurred, he says, State Attorney General Sheldon Whitehouse would not hesitate to use any means at his disposal to stop it and hold those who do it accountable.”

State charity regulator David Briden, of the Department of Business Regulation, also is not aware of any charity scams sweeping through the Ocean State targeting seniors.

Briden states that hundreds of charities raising money across the nation, soliciting funds for the victims of the terrorist attacks, his staff is attempting to monitor their efforts.

Briden urges seniors to take precautions when making a donation to charitable causes.  Write a check instead of using cash, making out the check to the organization. “Never give out your credit card number, Social Security number or any other personal information over the phone,” he says.

Weeks after the terrorist attack, contributions are pouring into the American Red Cross of Rhode Island. Individual and group contributions, from the Boy Scouts, neighborhood children who banded together to raise funds, to donate received from a growing number of major corporations, like Textron, Inc., and MetLife, have raised nearly $ 1 million for relief efforts, states Sara Bilossky, the group’s communication director.

Even with state regulators acknowledging little reporting of scam operations in Rhode Island, Bilossky is aware of a few callers who have contacted her agency attempting to determine if solicitation calls, they have received on behalf of the American Red Cross were really legitimate. But these calls quickly tapered off, she said.  Any donation to the American Red Cross can either be delivered directly to the nonprofit agency or mailed, she recommended, suggesting that donation checks to be made out directly to the Red Cross Disaster Relief Fund.”

Hundreds of millions of dollars have ben raised nationwide by charities for the victims of the terrorist attacks and their families. It is the donor’s responsibility to make sure that his or her hard-earned money gets into the right hands. If solicited, always ask about the group’s fund-raising goals, find out how the collected money will be spent and request a list of the board of directors.  Does the group have written materials? Give smartly and generously.

For questions concerning charities that have been registered by the State of Rhode Island or to file complaints, call the state’s Department of Business Regulation at 401 222-3948.

AARP Rallies for Prescription Drug Benefit

Published in the Pawtucket Times on July 30, 2001

AARP gears up its grassroots advocacy machine to call for the expansion of Medicare at nationwide rallies, urging Congress to enact a prescription drug benefit in Medicare that is affordable, voluntary and available for all.

Using the 36th anniversary of the signing of Medicare as a backdrop, AARP Rhode Island has planned a rally today at 9:00 a.m. at the food court of the Warwick Mall to support the expansion of Medicare to cover the cost of prescription drugs. AARP officials expect hundreds of members and aging advocates at this gathering, hoping to raise the awareness of the Rhode Island congressional delegation about the importance of this policy issue.

“Advocacy and education” will be the goals of today’s event, stated AARP state Director Kathleen S. Connell. To raise the awareness of Medicare’s anniversary and the need for a prescription drug benefit, she stated that all seniors attending the rally will be give anniversary cake and coffee as well as prescription pill boxes with an informational brochure about the issue.

Connell notes that the Washington, D.C.-based advocacy group, which represents 34,000 million seniors, will use today’s Rhode Island rally to urge state lawmakers to act on adding a prescription drug package to Medicare. Costly drugs continue to hi seniors in the pocketbook, she says.

Later in the morning, AARP Rhode Island volunteers will present each of the state’s two senators and two congressman an anniversary cake with a missing piece, to symbolically represent the prescription drug benefit that is missing from the existing law, Connell said. “We will bring them a cake along with anniversary cards to remind them of Medicare’s anniversary and the high cost of prescription drugs.”

Opposing Medicare is considered to be political suicide by lawmakers, especially with the clout of senior voters. Everyone agrees that Medicare is an important federal program that helps 93 million seniors to stay healthy. Last year alone, more than 39 million Americans and their families relied on the nation’s largest health care program for their health care needs.

At present, there is no prescription drug benefit under Medicare because of a lack of political consensus as to how to pay for and implement the policy.

The final version of the Medicare Act was introduced by Rhode Island Congressman Aime J. Forand (D-RI). Connell told All About Seniors. According to Connell, during last year’s congressional elections every candidate had a favorable position on Medicare. “Here is Rhode Island Medicare’s promise has deeper roots in that our lawmakers were the prime movers of the original Medicare efforts. Our message to Rhode Island lawmakers is that we stated it here so let’s do what we need to complete it,” Connell added, noting that the final piece is a prescription drug package.

As with Congress, Rhode Island’s congressional delegation favors a prescription drug Medicare benefit and all are planning to attend today’s rally.

According to remarks that Sen. Jack Reed is expected to make, it is the right time for Congress to move on this issue. “Tremendous advancements in medical treatments, the explosive growth in the price of prescription drugs, and older Americans ever increasing reliance on medications, makes it essential that Congress enact a Medicare prescription drug benefit,” he says.

Taking his Congressional campaign pledge of making prescription drugs more affordable to older Rhode Islanders to Capito Hill, Rep. Jim Langevin also has penciled in the rally on his schedule. The state’s newest Congressman is expected to call for the passage of H.R. 1400, legislation that would drive down the cost of prescription drugs. The bill also provides protection to Medicare recipients from discriminatory pricing by drug companies. A study commissioned by the state’s congressman found that Rhode Island seniors pay on average, 78 percent more for most commonly used prescription drugs than those in five industrial countries.

Also, expect Rep. Patrick Kennedy to drop by the Warwick Mall to show his continued support for Medicare prescription drug coverage. He tells All About Seniors, “It is clear that we must bring Medicare into the 21st century with accessible and affordable insurance coverage of prescription drugs.” Over the years the Congressman has expressed concern not only for those who have no drug coverage at all but for those who pay high prices for private supplement policies or for managed care plans that include drug coverage.

Meanwhile, Republicans Sen. Lincoln Chafee will come to the rally to pitch S. 1135, a bipartisan, comprehensive bill, that would begin to overhaul Medicare and provide a universal prescription drug subsidy. The proposal also calls for different organizations to compete for Medicare’s prescription drug business. Sen. Chafee believes his approach of using a market-based competition will result in lower prices for prescriptions.

But the rising costs of prescription drugs will continue to make the prescription drug benefits a key advocacy issue for Rhode Island AARP and other senior advocacy groups at the national level. Congress must move away from legislative gridlock, away from the flowery words of support for a prescription drug package spoken at public events, to swiftly enact a viable bipartisan solution so this pressing public policy problem. Simply put, lawmakers must now realize that seniors at AARP rallies across the nation are telling you today to “walk your talk.”