Long-term care insurance Austria: How to cover your care costs

Imagine your mother suddenly needs round-the-clock care. Organizing this care is a challenge in itself, and then there's the financial question: how can it all be paid for? Peter, a successful lawyer, could easily close the care gap for his mother. But for many, like Franziska, a single mother, the need for care for a relative can quickly become a financial burden. Fortunately, there are various ways to finance care in Austria - and there are some important changes coming in 2024 that should make it easier to cope with this burden.

 

Caregiver helps an elderly woman fill out paperwork in a bright room

A Care Revolution: From Penicillin to an Aging Society

In the 20th century, Alexander Fleming discovered a new type of medicine. In the 20th century, Alexander Fleming discovered penicillin by chance. This discovery not only saved countless lives, but also extended life expectancy. In Austria, this has risen from around 48 years to 83 years for women, while men statistically live around five years shorter. However, as life expectancy increases, so does the number of people in need of care. By 2050, it is expected that around 750,000 people in Austria will be dependent on care.

 

Financing care in Austria: What are the options

 

Elderly couple sitting at the table and reviewing important documents together for long-term care insurance

 

The Austrian care system is mainly financed by taxpayers' money, which offers a certain degree of flexibility. The federal, state and local governments share responsibility. In 2024, however, there will be increasing discussion about the introduction of a state long-term care insurance, which could be established as a fourth pillar alongside accident, unemployment and health insurance. This long-term care insurance would be financed by monthly contributions and could provide more planning security.

 

2024: Focus on long-term care benefits and reforms

 

Miniature figures on stacks of coins of different heights as a symbol of income differences

 

The Nursing Benefits remains a central element of care financing. Since its introduction in 1993, however, it has lost much of its purchasing power due to inflation. A new valorization was decided at the beginning of 2024, which adjusts the value of the care allowance to inflation and stabilizes the purchasing power of recipients. This increase affects all seven care levels and will particularly benefit those who are dependent on intensive care.

Despite the adjustment, the pressure for reform remains high. Experts in the care sector are calling for a more comprehensive Revising the care system in order to create stable framework conditions in the long term. More on the current You can read about the care allowance regulation and the care levels here.

 

Care gap 2024: What to do when there's not enough money?

A care gap occurs when the cost of care is higher than the funds available, whether through state support or private savings. As the examples of Peter and Franziska show, there are big differences in how families can deal with the care gap. But especially for people like Franziska, who are dependent on lower incomes, there are new approaches in 2024 that are designed to provide relief.

A remarkable model is the Future Care Plan in Burgenland, which has been in place since 2019 and allows family caregivers to be employed by the state. This model was extended to other federal states, such as Lower Austria and Styria, in 2024 in order to relieve the burden on family carers and at the same time pay care staff appropriately.

 

Private long-term care insurance 2024: Is it worth it?

 

Three business people in a meeting analyzing data on a tablet

 

In 2024, private long-term care insurance will remain voluntary, but offers additional security in the event of long-term care. It can be particularly useful for people with an increased health risk to take out such insurance at an early stage. However, premiums vary considerably depending on age and state of health.

While the costs are still moderate for younger people under the age of 50, they can rise rapidly at an older age. Important to note: Premiums are generally not refunded if long-term care does not materialize. A comprehensive comparison of private long-term care insurance policies provides further information.

 

State long-term care insurance: the way forward?

 

Elderly woman sitting at a desk with a laptop and checking important documents

 

The introduction of state long-term care insurance is one of the hotly debated topics in Austria in 2024. If this insurance were to be introduced, every employee would pay a fixed percentage of their salary into long-term care insurance, similar to health insurance. This could create more financial stability in the care system, but could also lead to higher contributions.

Germany introduced such long-term care insurance in 1995, and although it solved many problems, contributions there have risen continuously - now to over 3% of gross income. Whether this is also the right path for Austria remains to be seen.

 

Innovative care approaches and flexibility in 2024

 

Patient has a telemedicine consultation with a doctor via laptop

 

New care models will continue to offer more flexible solutions for those in need of care in 2024. Outpatient assisted living communities enable several people in need of care to live together in one apartment and receive professional care. This model combines social interaction with the necessary care.

In addition, technology is playing an increasingly important role in care. Smart home solutions and telemedicine are helping people in need of care to remain independent for longer, while also making the work of care staff easier. Imagine living in a home that automatically reminds you of your daily needs, be it taking your medication or Communication with nursing staff.

 

The role of those in need of care: Having a say and self-determination

 

Three happy women of different ages standing outside and smiling together

 

It is crucial to involve those in need of care in the decision-making process. As Helga, an 82-year-old dementia patient emphasizes: "It's important that I have a say in my care plan." "It gives me the feeling of being in control of my own life." Co-determination not only strengthens the self-esteem of those in need of care, but also leads to greater satisfaction with care. In concrete terms, this means that people in need of care should be actively involved in the creation of their individual care plan. Their wishes and needs should take center stage. This is the only way to ensure care that takes into account not only the physical but also the psychosocial needs of those affected.

 

Regional differences in care provision

In rural areas of Austria, care facilities can be harder to access, often resulting in higher costs and limited services..

  • Mobile care teams and telemedicine:In regions with low care density, mobile care teams and telemedicine often provide the necessary support to ensure the quality of care.

     

The impact of demographic changes on the care system

Rising life expectancy and the associated increase in the number of people in need of care pose major challenges for the Austrian care system. Demographic change requires an adaptation of existing structures and increased investment in care. Innovative solutions must be found in order to guarantee high-quality care for all those in need of care. This includes not only financial aspects, but also the creation of attractive working conditions for care staff and the promotion of new care models.

 

Nora's tips for your care provision in 2024

  • Planning ahead: Talk to your family early about possible care needs and your wishes.
  • Financial planning: Consider whether private long-term care insurance makes sense for you and what costs you could face in the event of long-term care.
  • Understanding care levels: The correct classification into a care level is decisive for the appropriate financial support.Find out more about the classification here.

Nora's FAQs:

noracares FAQs
In order to receive care allowance, you must demonstrate a certain level of need for care. This means that you need help with everyday tasks such as washing, dressing, eating or mobility. A medical service (e.g. a doctor or nurse) will assess your care needs and classify you into one of seven care levels. The higher the care level, the greater your entitlement to care allowance.
If you care for a relative at home, you may incur various costs: Care aids: wheelchairs, care beds, incontinence products, etc.  Conversions in the home: Barrier-free adaptations, such as the installation of a shower or a stair lift. Additional care: If you cannot be available around the clock yourself, you may need additional care from a caregiver. Loss of earnings: If you have to give up your job or work part-time due to care, you will lose earnings. Ask your health insurance provider and your social insurance provider about possible support benefits. There are various subsidies and grants that can help you with care costs.

 

Additional tips:

  • Care advice: Get advice from a care advice center. There you will receive comprehensive information on all questions relating to care.
  • Relief options: Use the offers of day care or short-term care to relieve yourself, find your help on noracares

  • Support groups: Exchanging ideas with other family caregivers can be very helpful

     

     

Graphic of Nurse Nora with a stethoscope around her neck and the text 'Nora's Conclusion' on a green banner. Closing remark or summary in the health sector.

An early engagement with the topic of long-term care is the key to being well prepared. Whether Austria relies on state long-term care insurance or continues to rely on a combination of state support and private provision - the most important thing is that you and your family have a clear idea of how long-term care needs can be covered in the future.

If you are looking for a caregiver that you can hire without going through agencies, then register on noracares. Find the right support for your individual needs quickly and easily!

 

 

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