Trends & Statistics

The Case for CCAH

• AARP studies indicate that 89% (or more) of adults prefer to remain in their own homes for life
• The average life expectancy is 85 years
• In 2011, the first of the nation's 79 million baby boomers turned 65
• Baby boomers will turn 65 at a rate of about 10,000 a day, every day until 2030
• Nearly 70% of people over age 65 will require some form of long-term care
• The probability of using care for more than one year is high:
  • 85% of women will average 4.2 years in care
  • 77% of men will average 2.9 years in care
• Although long-term care insurance pays for home care, it does not provide it
• Many long-term care policies do not offer care coordination and few have care coordinators on staff
• Florida, North Carolina, Connecticut, New Hampshire, Virginia and Maine have recently approved changes to the definition of CCRC to exclude the lodging requirement, opening the regulatory environment for CCAH
• CCAH programs in Washington, D.C., Tennessee, Delaware and Ohio are not subject to regulatory oversight
• As a result of the housing crisis, proceeds from home sales are dwindling; this leaves fewer individuals who can afford the large entrance fees of CCRCs and, thus, broadens the appeal of affordable alternatives

Other CCAH Models

The original CCAH model, developed in 1985 by the organization that became Friends Life Care, was operating by 1990. In 1998, a second CCAH plan—one affiliated with a CCRC—was established in southern New Jersey. From 2002 to 2004, additional independent plans were implemented in Oberlin, Ohio, Pittsburgh, Pennsylvania, and Chattanooga, Tennessee. Each is affiliated with a CCRC or other health care organization. Seven more plans were introduced from 2009 to 2012. 

All of these CCAH plans incorporate the key CCRC features included in the original Friends Life Care at Home business model, including upfront entrance fees averaging in excess of $45,000. Total enrollment ranges from a low of four members for a plan established in 2009 to a high of 230 members for one established in 2003. The average age at enrollment is mid-70s. Friends Life Care has membership of more than 2,200 with an average enrollment age roughly a decade younger; member satisfaction, as measured by Continuous Quality Improvement surveys, is nearly 100%.