Monetary Costs of Dementia in the United States
Open accessAbstract
BACKGROUND: Dementia affects a large and growing number of older adults in the United States. The monetary costs attributable to dementia are likely to be similarly large and to continue to increase. METHODS: In a subsample (856 persons) of the population in the Health and Retirement Study (HRS), a nationally representative longitudinal study of older adults, the diagnosis of dementia was determined with the use of a detailed in-home cognitive assessment that was 3 to 4 hours in duration and a review by an expert panel. We then imputed cognitive status to the full HRS sample (10,903 persons, 31,936 person-years) on the basis of measures of cognitive and functional status available for all HRS respondents, thereby identifying persons in the larger sample with a high probability of dementia. The market costs associated with care for persons with dementia were determined on the basis of self-reported out-of-pocket spending and the utilization of nursing home care; Medicare claims data were used to identify costs paid by Medicare. Hours of informal (unpaid) care were valued either as the cost of equivalent formal (paid) care or as the estimated wages forgone by informal caregivers. RESULTS: The estimated prevalence of dementia among persons older than 70 years of age in the United States in 2010 was 14.7%. The yearly monetary cost per person that was attributable to dementia was either $56,290 (95% confidence interval [CI], $42,746 to $69,834) or $41,689 (95% CI, $31,017 to $52,362), depending on the method used to value informal care. These individual costs suggest that the total monetary cost of dementia in 2010 was between $157 billion and $215 billion. Medicare paid approximately $11 billion of this cost. CONCLUSIONS: Dementia represents a substantial financial burden on society, one that is similar to the financial burden of heart disease and cancer. (Funded by the National Institute on Aging.).
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Annual incremental health care and nursing home costs for individuals with dementia are estimated at $28,501 per person per year in 2010 dollars ($40,023 in 2022 dollars).
“Annual incremental health care and nursing home costs for individuals with dementia are estimated at $28,501 per person per year in 2010 dollars ($40,023 in 2022 dollars).A16,714”
From 2023 Alzheimer's disease facts and figures (2023) · cites this paper as [714]
The Results section (Estimated Cost per Person with Dementia; page unavailable) reports an adjusted incremental cost of $28,501 per person per year for care purchased in the market. The Methods section states that spending was expressed in 2010 dollars. The estimate includes formal home care as well as health care and nursing home costs, and the paper does not provide the $40,023 conversion to 2022 dollars. (LLM, conf=0.88)
Experimental — accuracy not yet measuredAnnual incremental health care and nursing home costs for individuals with dementia are estimated at $28,501 per person per year in 2010 dollars ($40,209 in 2023 dollars).
“Annual incremental health care and nursing home costs for individuals with dementia (that is, the additional costs compared with those for individuals without dementia) are estimated at $28,501 per person per year in 2010 dollars ($40,209 in 2023 dollars).A16 , 858”
From 2024 Alzheimer's disease facts and figures (2024) · cites this paper as [858]
The Results (Estimated Cost per Person with Dementia; page not provided) give an adjusted incremental annual cost of $28,501 in 2010 dollars. That figure covers care purchased in the market, including formal home care, rather than only health care and nursing home care. The paper does not provide the $40,209 conversion to 2023 dollars. (LLM, conf=0.88)
Experimental — accuracy not yet measuredThe costs of health care and long-term care for individuals with Alzheimer's or other dementias are substantial, and dementia is one of the costliest conditions to society.
“The costs of health care and long-term care for individuals with Alzheimer's or other dementias are substantial, and dementia is one of the costliest conditions to society.714”
From 2023 Alzheimer's disease facts and figures (2023) · cites this paper as [714]
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- Authors
- Hurd, M. D., Martorell, P., Delavande, A., Mullen, K. J., & Langa, K. M.
- Affiliations
- RAND Corporation (US)
- University of Essex (GB)
- University of Michigan (US)
- Venue
- New England Journal of Medicine
- Publisher
- Massachusetts Medical Society
- Published
- 2013-04-04
- Volume
- 368
- Issue
- 14
- Pages
- 1326-1334
- ISSN
- 0028-4793 (ISSN-L)
- 1533-4406
- PMC
- PMC3959992
- OpenAlex
- W2032698104
- Cited by
- 1,484
- References
- 22
- Citations by year
- 2026: 50 · 2025: 77 · 2024: 75 · 2023: 95 · 2022: 120 · 2021: 128 · 2020: 125 · 2019: 137 · 2018: 140 · 2017: 115 · 2016: 115 · 2015: 133 · 2014: 122 · 2013: 50 · 2012: 1
- FWCI
- 99.20
- Type
- journal article
- Language
- en
- Open access
- bronze
- doi.org
- Locations
- New England Journal of Medicine (publishedVersion)
- PubMed (publishedVersion)
- Europe PMC (PubMed Central) (acceptedVersion)
- PubMed Central (acceptedVersion)
- Open Access at Essex (University of Essex) (submittedVersion)
- Funders
- National Institute on Aging (U01 AG 09740, R01AG030155, U01AG009740)
- Topics
- Health Sciences › Medicine › Psychiatry and Mental health › Dementia and Cognitive Impairment Research
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Health Systems, Economic Evaluations, Quality of Life
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Healthcare Policy and Management
- Keywords
- dementia, economic burden of dementia, informal care, nursing home costs, Medicare spending, dementia prevalence, older adults, Health and Retirement Study
- MeSH terms
- Aged, Aged, 80 and over, Dementia, Female, Medicare, Home Care Services, Home Nursing, Humans, Longitudinal Studies, Male, Middle Aged, Nursing Homes, United States, Health Care Costs, Cost of Illness
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