Retirement Living News

August 2009

HEADLINES  (Click on headline to read story)

• Health Care Reform: What it Means for Older Americans
• AARP Magazine Names the Top 10 Best Places 
  to Live the Simple Life
• New AAA Website Offers Resources for 
  Senior Drivers and the Families
• MetLife Poll Shows Grandparents are Generous with Money 
  But Not with Advice
• Nevada is Now the Most Distressed State in the Country
• New Technology Enables Care Providers to Monitor Individuals at Home or in a Senior Living Facility

Archive of Past Issues                          New Retirement Communities

NEWS STORIES

Health Care Reform: What it Means for Older Americans 

The health care reform bills moving through Congress look as though they would do a good job of providing coverage for millions of uninsured Americans. But what would they do for the far greater number of people who already have insurance? As President Obama noted in his news conference last month, many of them are wondering: "What's in this for me? How does my family stand to benefit from health insurance reform?" 

Many crucial decisions on coverage and financing have yet to be made, but the general direction of the legislation is clear enough to make some educated guesses about the likely winners and losers. 

But what does it mean for older Americans? The New York Times, in an editorial, reported it this way. "People over 65 are already covered by Medicare and would seem to have little to gain. But many of the chronically ill elderly who use lots of drugs could save significant money. The drug industry has already agreed to provide 50 percent discounts on brand-name drugs to Medicare beneficiaries who have reached the so-called "doughnut hole" where they must pay the full cost of their medicines. The House reform bill would gradually phase out the doughnut hole entirely, thus making it less likely that beneficiaries will stop taking their drugs once they have to pay the whole cost. 

Not everyone in Medicare will be happy. The prospective losers are likely to include many people enrolled in the private plans that participate in Medicare, known as Medicare Advantage plans. They are heavily subsidized, and to pay for reform, Congress is likely to reduce or do away with those subsidies. If so, many of these plans are apt to charge their clients more for their current policies or offer them fewer benefits. The subsidies are hard to justify when the care could be delivered more cheaply in traditional Medicare, and the subsidies force up the premiums for the beneficiaries in traditional Medicare to cover their cost.

Reformers are planning to finance universal coverage in large part by saving money in the traditional Medicare program, raising the question of whether all beneficiaries will face a reduction in benefits. President Obama insisted that benefits won't be reduced, they'll simply be delivered in more efficient ways, like better coordination of care, elimination of duplicate tests and reliance on treatments known to work best. 

The AARP, the main lobby for older Americans, has praised the emerging bills and thrown its weight behind the cause. All of this suggests to us that the great majority of Americans - those with insurance and those without - would benefit from health care reform." 

During a telephone town hall meeting on July 27 at AARP's Washington headquarters, President Obama took a question about whether Medicare benefits will be cut. 

"Nobody is talking about reducing Medicare benefits," Obama said. "Medicare benefits are there because people contributed into a system. It works. We don't want to change it." However, he added, "we do want to eliminate some of the waste that is being paid for out of the Medicare trust fund that could be used more effectively to cover more people and strengthen the system." 

For example, he said, "right now we're paying about $177 billion over 10 years to insurance companies to subsidize them for participating in Medicare Advantage [private health plans, such as HMOs, offered as an alternative to the traditional Medicare program]. "Now, insurance companies are already really profitable. So what we said is, let's at least have some sort of competitive bidding process where these insurance companies who are participating [in Medicare] are not being subsidized on the taxpayer dime," he added. "That's the kind of change we want to see." 

Other resources to use in evaluating the health care reform legislation can be viewed at: 
http://www.whitehouse.gov/MedicareFactSheetFinal/ http://www.medicalnewstoday.com/printerfriendlynews.php?newsid=151482  
http://voices.washingtonpost.com/ezra-klein/2009/06/
how_obama_plans_to_reform_medi.html
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AARP Magazine Names the Top 10 Best Places to Live the Simple Life

While America is full of terrific towns, many of them can be high maintenance. Postcard-perfect beach towns come with pricey bungalows and hordes of tourists. Big cities have museums and top-notch restaurants, but living there might mean squeezing into a tiny apartment or headaches over lack of parking. AARP The Magazine, just announced their annual "Best Places To Live" list, with this year's list focused on the towns and cities that are best for living the simple (and often less expensive) life. 

Featured in the September/October issue of AARP The Magazine, Tucson, AZ, topped the list of hometowns high on culture and low on stress, followed by Greenville, SC, Montpelier, VT, Logan, UT, and Ames, IA. 

The magazine evaluated government records of hundreds of American towns and cities, ranking them on nearly 20 quality of life measures. The goal was to find towns that truly provide the simple life with great culture, food, picturesque environments, and settings that aren't spoiled by the stress brought on by high costs of living, traffic, and congestion. Additional factors considered include accessibility to parks and outdoor amenities, the health values of a low stress lifestyle, affordability of the community and cultural opportunities in the area. 

The list follows: 

1. Tucson, AZ: With a population of 525,000, Latin culture embraces Native American spirit in this city filled with arts, dining and bountiful outdoor recreation opportunities, including the 1.8 million acres of the Coronado National Forest that rings the city. With an average of 286 sunny days a year and an affordable median housing price of $155,500, residents have the time and money to enjoy all that Tucson offers. 

2. Greenville, SC: Thanks to 30 years of redevelopment, downtown Greenville is now a vibrant town center that includes a pedestrian-friendly Main Street, a performing arts center, condos, and the stunning Liberty Bridge. With an average commute of just 19 minutes, residents can zip to work at local companies such as Flour, BMW, and Michelin without the stress and price tag of living in other metropolitan areas. 

3. Montpelier, VT: As the smallest and most livable capital city in the United States, this community's 7,800 residents are active in politics and the city's art scene. 

4. Logan, UT: Offering breathtaking views and ample opportunities for hiking and biking in the nearby Wasatch and Wellsville mountain ranges, Logan residents rave about the ways to stay active and enjoy the scenery. With a median housing price of $143,860 and an average 16-minute commute, stress doesn't spoil the view. 

5. Ames, IA: Residents have the best of both worlds in Ames, as the city offers a uniquely rural charm. Three times a week, residents can head to the farmers' market. Other draws include a long Main Street with great dining and entertainment options, and Iowa State University, which offers continuing education and special events. 

6. Northampton, MA: Built around Smith College, and just down the road from Amherst, Northampton is in one of the most densely academic regions of the country. While the cultural events provided by the university are affordable and plentiful, the town is also located in the scenic foothills of the Berkshire Mountains. 

7. Lexington/Fayette, KY: One of the few southern cities to offer four distinct seasons and the relaxed graciousness of the Old South, Lexington is a unique mix of beer-drinking college basketball fans and julep-swigging Derby lovers. 

8. Texas Hill Country, TX: With a median housing price of $126,000, this lush countryside is a unique mix of Texas spirit and European flavors. Residents are deeply spiritual with 75% of residents describing themselves as having a religious affiliation. 

9. Oxford, MS: In this "quintessential southern town," the 14,911 residents are part of a vibrant volunteer community. They enjoy access to many golf courses and are known to put on the most elaborate tailgates for the University of Mississippi's football games. 

10. Walla Walla, WA: A food lover's paradise, this small town with 30,794 residents supports more than 100 wineries, and has strong agricultural roots producing wheat, beef, and apples. Walla Walla is also home to a lively art and antiques scene and has abundant outdoorsy options like hiking, camping, and fly-fishing. 

Additional information about this year's selections can be found in the September/October issue of AARP The Magazine or online at www.aarpmagazine.com.
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New AAA Website Offers Resources for Senior Drivers and their Families

AAA recently launched www.AAASeniors.com, a website providing content and resources for older drivers and their families. 

The site addresses challenges related to senior mobility, provides tools to help extend safe driving, and assists in difficult discussions about transitioning from driver to passenger. The site also provides expert advice about how aging affects one's ability to drive safely, educational brochures and driver improvement courses, and tips on choosing a vehicle. 

Eighty-six percent of respondents to a recent AAA survey said they were "concerned" about their elderly parent's ability to drive. Thirty-nine percent said they were "very concerned." Assessing a mature driver's abilities and possibly one day making the decision to take away the keys is a decision that often will involve many people. It may be necessary to discuss the issue with the spouse, other family members, and health care professionals. 

In 1995 there were 16.5 million licensed drivers over 70 years old -- a 47 percent increase from 1985. By the year 2020, the U.S. will have 54 million Americans over age 65 -- and many of them will be driving. 

For years, states have wrestled with how to weed out those whose cognitive or physical impairments make them a danger to themselves and others on the road. Yet no single screening method has emerged that is comprehensive and predictive enough to flag a problem driver before an accident occurs, says Anne McCartt, senior vice president for research at the Insurance Institute for Highway Safety. 

As a result, rules for older drivers vary widely, from no special licensing requirements in Massachusetts to mandatory road tests for those 75 and over in Illinois and New Hampshire. And while there is no dispute that mental and physical frailty increases with age, there is a debate over how dangerous elderly drivers really are, compared with the general driving population. 

Data on older-driver accidents paint an equivocal picture. A 2007 report from the U.S. Government Accountability Office says "older drivers' fatal crash rate per licensed driver is lower than corresponding rates for drivers in younger age groups." 

That is partly because older people drive less frequently and tend to avoid tough driving conditions, researchers say. But the GAO report goes on to say that, measured by miles traveled, older drivers "are more likely to be involved in a fatal crash than all but the youngest drivers." A 2004 study in the Journal of the American Medical Association found that requiring people to show up for license renewal helps reduce crash rates. Researchers say those who are unfit to drive decide not to seek a new license out of fear they will flunk if they show up.

California is experimenting with a three-tier testing system that bumps applicants who trigger concerns to a more-rigorous level. 

AARP offers a driver safety program that is open to members and nonmembers age 50 and older. It is the nation's first and largest refresher course for drivers over 50. The program has helped millions of drivers protect their safety on today's roads. AARP began offering its classroom course in 1979. Now it is available online. The training is designed to help students: 

• "Tune up their driving skills and update their knowledge of the rules of the road. 
• Learn about normal, age-related physical changes. Find out how to adjust their driving to allow for these changes. 
• Reduce traffic violations, crashes, and chances for injuries. 
• Drive more safely. 
• Get an insurance discount. Auto insurance companies in most states provide multiyear discounts to AARP members! 

To learn more, including the locations and cost of the program, go to: http://www.aarp.org/family/housing/articles/dsp_facts_and_history.html
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MetLife Poll Shows Grandparents are Generous with Money 
But Not with Advice

Almost two-thirds of America's grandparents have provided financial support to their grandchildren during the last five years, 40% for general purposes and 26% for education, according to the MetLife Mature Market Institute's QuickPOLL, Grandparents: Generous with Money, Not with Advice. The average amount provided was $8,661, or about $370.7 billion total in the last five years. One-quarter (25%) say the economic downturn has caused them to increase the help they give to their grandchildren. 

The poll revealed that grandparents prefer to help their children and grandchildren while they are alive, rather than leaving a lump sum in a will. In addition, the data indicates that those with less income and net worth are giving a higher percentage than they did before the more recent economic downturn. And some are feeling the pinch. More than one in five (22%) reported that their giving had a negative impact on their own financial picture. 

While grandparents clearly want to make their grandchildren more financially secure, only a small percentage of those polled said they have talked to the grandchildren about the importance of hard work, saving for a rainy day, and intelligent use of credit. 

Half of those polled (52%) say their children are raising their grandchildren differently than they raised their kids. Of that group, 64% say their kids are more lenient with their children than they were, and 55% said the youngest group has fewer household responsibilities. 

"Like grandparents in earlier generations, today's grandparents want to be involved in their grandchildren's lives. What may be different today is that grandparents are helping their children and grandchildren meet immediate financial needs," said Sandra Timmermann, Ed.D, director of the MetLife Mature Market Institute. "Grandparents with the financial resources will want to make more long range plans too, assuring that their grandchildren have enough money to fund college tuition and the family has the financial security should something happen to one or both parents." 

Grandparents are also in a unique position to provide another valuable legacy, that of helping grandchildren to understand the value of a dollar and the importance of saving money," Timmermann added. 

To read the full 7-page report, click here. 
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Nevada is Now the Most Distressed State in the Country

Nevada, once a thriving retirement destination, is now finding itself in great economic turmoil as measured by a growing number of statistics that point to many problems in the region. 

Consider that 42 percent more state residents are on food stamps than a year ago and 30 percent more reached out to the county for housing vouchers and other social services over the past 12 months than a year earlier. Forty percent more Nevada children are on Medicaid than last year. 

By summer 2011, an estimated 300,000 Nevadans - about 11 percent of the state's population - will be on food stamps and another 300,000 will qualify but never apply, according to the state Health and Human Services Department.

Suffering Nevadans are increasingly turning to the government for help, as the state's economy continues to struggle. Its economy has been spiraling downward for more than 18 months, according to economists. Late last month the state announced that unemployment had jumped to 12 percent statewide and 12.3 percent in Clark County, the highest levels since the state began paying unemployment benefits. 

The number of people seeking government assistance "are a fair reflection of the pain Nevadans are experiencing," said Jon Sasser, a statewide advocacy coordinator for legal service agencies. "I don't think they're surprising. We know how bad the economy is, how high unemployment is. A lot of bad things are happening." Not surprising perhaps, but still hard to bear. 

According to one index, Nevada has the most "distressed economy" in the nation. The measure, done by the Kaiser Family Foundation, combines the number of foreclosures per housing unit (one in 64), the increase in unemployment and the growth in numbers of people on food stamps. In the last measure, Nevada was the second fastest-growing. (Click here to compare with other states.)  

Service providers, meanwhile, are being stretched between falling tax revenues and budget cuts on one side and the increase in demand on the other. They worry how governments will pay for these services if the numbers needing them continue to grow. 

Those seeking services are increasing faster than the recent grim projections made during the legislative session, according to Mike Willden, director of the state Health and Human Services Department. 

Some state and county departments are facing program cuts and layoffs. The Clark County Social Service Department will run out of money by November.
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New Technology Enables Care Providers to Monitor Individuals 
at Home or in a Senior Living Facility

WellAWARE Systems, the leading developer of next-generation wellness monitoring solutions for senior care providers, recently announced the commercial availability of its products. The company offers a low-cost monitoring solution that gathers and reports behavioral and wellness information of a cared-for individual, in their home or at a senior living facility. This innovative approach to wellness and safety for senior living enhances the quality of life for our aging population while empowering families and professional care givers with more helpful information.

"As the population of the elderly in the U.S. continues to increase exponentially, we saw an opportunity to help empower families and professional care givers by providing solutions that increase the quality of life for our aging population," said Jeff Noce, president and CEO of WellAWARE Systems. "By offering a passive, unobtrusive monitoring system, seniors are able to maintain privacy and dignity but allow caregivers to make better-informed decisions about the care they provide their residents based on the wellness and behavioral information collected, processed and analyzed with our technology." 

What started as a concept in 2000 at the Medical Automation Research Center (MARC) at the University of Virginia is now a reality due to investments by two of the country's largest not-for-profit providers of senior care - Volunteers of America  and The Evangelical Lutheran Good Samaritan Society. These groups are also the first two customers to install the WellAWARE technology solution. 

"With technology like WellAWARE, we can identify not only emergency situations that need a response, but also emerging medical conditions that our clients might not notice or be able to report on their own," said Charles W. Gould, national president of Volunteers of America. "I think technology like this will help us make more meaningful and well-informed decisions about potential intervention and treatment of residents and will also allow older people to maintain their independence while still having the peace of mind that someone will be there if they need help." 

For more information about WellAWARE Systems, click here. 
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