AARP report says state of assisted living sector is ‘cause for concern,’ but industry says it helps residents ‘live well’,” by Kimberly Bonvissuto, McKnights Senior Living

Quote:

“Assisted living is growing as the preferred home for older adults looking for support outside of an institutional setting, but the state of the sector is “cause for concern,” according to a new report from the AARP Public Policy Institute. In 2022, more than 1 million people lived in assisted living, and approximately half were aged 85 and older, a 28% increase from 2020, according to AARP. And for the first time, a larger share of residents living with Alzheimer’s disease or related dementias now call an assisted living community home (44%) over a nursing home (41%), according to the report. The 2026 Alzheimer’s Disease Facts and Figures report, released last month, found that 58% of residential care communities offer activities or programs for residents living with dementia. Fewer communities have dementia special care units: 21% of assisted living and other residential care communities, and 13% of nursing homes. … Medicaid covers assisted living through home- and community-based services waivers. According to NCAL, 61% of assisted living communities were Medicaid-certified in 2025, and close to 18% of assisted living residents receive Medicaid coverage for services. [American Seniors Housing Association President and CEO David] Schless said that Medicaid assisted living waivers are in place in 43 states, and there are ongoing efforts to expand coverage across the country.”

LTC Comment, Stephen A. Moses, President, Center for Long-Term Care Reform:

After Medicaid ruined nursing homes, the assisted living industry stepped in to offer nicer senior living for people willing and able to pay privately. Now Medicaid is moving into assisted living and the likely consequences will be the same. Here’s how I assessed the problem in 2004: “The Sirens’ Call, The Primrose Path, and Assisted Living.”