The Economics of Caring for Individuals with Alzheimer’s Disease

Abstract

The devastation of Alzheimer's disease (AD) is well known. It robs victims of cognitive ability and eventually steals their ability to function independently. To manage this loss of independence, individuals with AD receive care from a wide variety of sources. Most patients with AD prefer to live at home for as long as possible before disease progression makes home living difficult or impossible and the patient is institutionalized. Although preference of home living and the need to curb high cost of institutionalization concur with each other, the care provided at home comes at tremendous cost to the family and friends of AD patients both financially and also in terms of human cost. Estimating the economic value of the system of care at home for the AD patient is difficult. In this chapter, we will explore economic issues associated with caring for AD patients. Models of cost estimation will be reviewed. Sources, distribution, who pays for the costs of care, and factors that affect costs of care will be discussed. The perspectives of the payer and of the caregiver will be addressed. The human costs of care and cultural differences will be explored. Early diagnosis and treatment and their effect on caregiving cost will be discussed. (PsycINFO Database Record (c) 2013 APA, all rights reserved). (chapter)