“Free” recommendations for for-profit senior services: Be careful when buying

These online services for seniors are getting plenty of attention nowadays. And not in a positive sense. Chairman of the US Senate Aging Committee has launched an investigation in assisted living recommendations from A Place for Mom, one in every of the most important business consulting firms. At the identical time, an increasing number of states are requiring corporations to publicly disclose their financial arrangements with the facilities they recommend.

The business model of most of those corporations is straightforward: they refer their users to senior living facilities or other service providers who pay them money, normally without regard to quality. In some cases, they most frequently check with those facilities that pay probably the most, either through a fee or commission or by buying promoting.

Pay to play

Most pay-to-play sites rarely hassle to independently confirm the standard of the establishments they recommend. A recent WashingtonPost Investigation (Paywall) found that greater than a 3rd of the facilities highly really useful by A Place for Mom in 28 states were reprimanded by regulators for poor care.

Some advice sites contain consumer reviews, but The post According to reports, lots of them are fakes.

The potential conflicts of interest caught the eye of Senate Committee on Aging Chairman Bob Casey (D-Penn.). In a letter to A Place for Mom, perhaps the most important of the various for-profit placement corporations, Casey wrote:

“A Place for Mom’s claims that the company is unbiased are undermined by its own materials as well as expert advice from former company employees, as the listings displayed by A Place for Mom to families are limited to establishments from which the company receives a commission.”

I actually have reached out to A Place for Mom for comment on the allegations and can update this post if I receive a response.

State raids

At the identical time, the federal states are striving to manage these placement agencies.

Licensing is required in California, and a number of other states require referral firms to reveal their financial relationships with the providers to whom they refer consumers. States like Arizona, ColoradoAnd Washingtonand most recently Maryland have required corporations to inform consumers how they will likely be compensated. An analogous The bill is before the Californian Parliament.

Maryland lawwhich takes effect in October, is proscribed to referrals for assisted living. It requires referring web sites to offer their clients with details about their financial relationships with providers. It also prohibits web sites from sharing or selling personal medical information and requires referring corporations to offer insurance.

The restriction of the regulations to assisted living appears to be an odd decision, since many corporations have an analogous business model with Nursing homes, Home care agenciesand other providers. But it is a start.

If for-profit brokerage firms put the interests of providers ahead of those of consumers, what alternatives do families desperate to search out quality take care of their family members have? Here are some options:

Regional Agencies on Aging (AAA). She are a part of a network of local information and referral services which might be normally related to or funded by the federal government. These networks often include Aging and Disability Resource Centers (ADRCs) and might normally be found through your local 2-1-1 call service or through the national Eldercare Locator at 800-677-1116.

The quality of AAAs varies widely. For example, some don’t check with for-profit providers, which may eliminate many good sources of senior housing or services. And they often have little current information in regards to the providers.

Local, community-based organizations. An excellent low-cost or free solution is usually a local, community-based organization that gives information and referral services. These nonprofits often know one of the best facilities of their communities. Reputable CBOs don’t have any financial conflicts of interest and are frequently funded by a combination of donations and government grants.

However, their services could also be limited. Some will refer you to 2 or three local options free of charge, but normally do not have the resources to walk you thru every step of the method. Others may offer ongoing case management services for a fee. (Full disclosure: I’m an unpaid board member of a senior services CBO.)

Care manager. These consultants, sometimes called geriatric care managers or aging life care managers, are sometimes trained social staff or nurses (or each). The best ones are acquainted with local service providers and don’t have any financial conflicts.

Expect to pay at the very least a couple of hundred dollars for an initial assessment and $100 per hour and more for extra services. But they’ll provide help to make a choice that would cost tens of 1000’s of dollars and put your beloved’s health and well-being in danger. You can find care managers through the Eldercare Locator or through their skilled association. Here.

The rule of thumb for any consultant is straightforward: they primarily represent the interests of the one that pays them. And that must be you.

If you’re taking advice from an internet site that’s compensated by the businesses it links to, it’s representing their interests, not yours. You may save a couple of dollars initially, but it should cost you rather a lot more in the long term. Buyer beware.