Long Term Care Costs in California Increased as Much as 44 Percent Over Past Five...

Long Term Care Costs in California Increased as Much as 44 Percent Over Past Five Years, According to Annual Genworth Financial Study

Nationwide, Costs Increased 17 Percent During Same Time Period
RICHMOND, Va.--(Business Wire)--
The cost of nursing home care in Sacramento, which saw the
greatest cost increase among major California cities for this type of
care, has increased 44 percent since 2004, according to an annual Cost
of Care Survey released today by Genworth Financial. Elsewhere in
California, over the past five years, costs increased 19 percent in
Los Angeles, 12 percent in San Francisco, 21 percent in Oakland, 9
percent in San Diego, 9 percent in San Jose, 17 percent in Santa Ana,
and 28 percent throughout the rest of the state. This compares to a 17
percent increase nationwide.

The study, which found that nationwide the cost of long term care
in nursing homes, assisted living facilities and in the home increased
for the fifth consecutive year, also found that one year in a private
nursing home in San Francisco costs $100,101. The comparable cost in
Los Angeles is $76,459, while in Oakland the cost is $92,740, in
Sacramento the cost is $92,094 and in Santa Ana the cost is $86,934.
The annual cost for a room in a private nursing home runs $82,560 per
year in San Diego and $89,973 in San Jose, while the cost throughout
the rest of the state averages $72,919.

By contrast, the national average for a year in a private nursing
home is $76,460 - more than one and a half times the average annual
household income in the U.S. of $48,201(1). Most long term care
services in this country are rising at a rate faster than inflation,
as the cost of providing this type of care continues to rise.

Each year Genworth surveys the cost of care in more than 10,000
nursing homes, assisted living facilities and among home care
providers in all 50 states and 90 geographic regions including the
District of Columbia. It is the most comprehensive cost analysis in
the industry, and the only one that provides comparative data for the
past five years. For the first time, this year's survey also includes
adult day health care costs.

This year's Cost of Care Survey is complemented by additional
research released today by Genworth entitled "A Workforce to Care for
Our Aging." This study reveals an imminent shortage of caregivers. The
U.S. will need to recruit 200,000 new direct-care workers each year to
meet future demand among the 78 million baby boomers as they age. In
addition, the care- giver workforce is dwindling and faces issues of
retention.

"Rising long term care costs are creating significant financial
planning challenges for millions of Americans and their families,"
said Buck Stinson, president of Genworth Financial's Long Term Care
Insurance business. "Genworth Financial continues to conduct research
on the cost of long term care so that citizens of California and
nationwide understand what to expect in terms of paying for this type
of care now and in the future. This information helps consumers and
their advisors effectively plan to meet their financial security
goals."

Additional findings from the 2008 Cost of Care Survey include:

Assisted Living: A private one-bedroom unit in an assisted living
facility in the U.S. has an average annual cost of $36,090. In
California, the average annual costs are as follows: Los Angeles:
$39,815; Oakland: $38,358; Sacramento: $32,591; Santa Ana: $40,543;
San Diego: $35,061; San Francisco: $44,011; San Jose: $31,183; and
Rest of state: $35,870.

Home Care: Nationally, the average hourly rate for a non-Medicare
certified, state licensed home health aide is $19.18, a cost that
translates to $43,884 per year for 44 hours per week of care. Costs in
California are as follows: Los Angeles: $19.20 per hour, or $43,930
per year; Oakland: $22.23 per hour, or $50,862 per year; Sacramento:
$20.98 per hour, or $48,002 per year; Santa Ana: $19.90 per hour, or
$45,531 per year; San Diego: $20.79 per hour, or $47,568 per year; San
Francisco: $23.93 per hour, or $54,752 per year; San Jose: $23.58 per
hour, or $53,951 per year; and Rest of state: $20.71 per hour, or
$47,384 per year.

Adult Day Health Care: First year research findings indicate the
average annual cost for five days a week in an adult day health care
facility is $15,236 nationally. The comparable costs in California
are: Los Angeles: $19,950; Oakland: $25,314; Sacramento: $19,006;
Santa Ana: $20,238; San Diego: $20,545; San Francisco: $19,100; San
Jose: $16,835; and Rest of state: $18,923.

Conducted by CareScout between December 2007 and February 2008,
the 2008 Cost of Care Survey provides national, state and local cost
information. It is available, along with the research paper "A
Workforce to Care for Our Aging," at genworth.com/CostofCare.

About Genworth Financial

Genworth Financial, Inc. is a leading public Fortune 500 global
financial security company. Genworth has more than $114 billion in
assets and employs approximately 7,000 people in 25 countries. Its
products and services help meet the investment, protection, retirement
and lifestyle needs of over 15 million customers. Genworth operates
through three segments: Retirement and Protection, International and
U.S. Mortgage Insurance. Its products and services are offered through
financial intermediaries, advisors, independent distributors and sales
specialists. Genworth Financial, which traces its roots back to 1871,
became a public company in 2004 and is headquartered in Richmond,
Virginia. For more information, visit www.genworth.com.

Note to Television Broadcasters: B-roll to support this story can
be down linked at the following coordinates/times:

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Tuesday, April 29th, 2:00-2:15 PM ET, GA 26C/1 DL 3720V

Wednesday, April 30th, 04:00-04:15 AM ET, AMC 3, Tr. 8, DL 3860V
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(1) U.S. Census Bureau, 2006

Media:
Yokima Cureton, 804-662-2598
yokima.cureton@genworth.com
or
Laurenn Wolpoff, 212-279-3115 x219
lwolpoff@cjpcom.com

Copyright Business Wire 2008