What Percentage of Memory Care Cost Is Medications?

It’s difficult to say what percentage of memory care costs go toward medications. Everyone with dementia has unique experiences with the condition, meaning a doctor may recommend different drug regimens to different people to manage their symptoms. In addition, 60% of seniors have multiple chronic conditions. When budgeting for memory care, it’s likely you’ll have to consider medications to treat other health issues.

When looked at nationally, the health care costs associated with Alzheimer’s disease reach an estimated $321 billion annually. However, no published studies break down where that money goes. Family caregivers pay for around 70% of the lifetime cost of caring for someone with dementia, through unpaid caregiving and out-of-pocket expenses. This often includes the cost of medications.

Although there are no medications that can cure dementia, there are several prescription drugs approved by the FDA to help manage or delay symptoms in the early to middle stages of the disease. These include:

• Cholinesterase inhibitors (galantamine, donepezil): These prevent the breakdown of acetylcholine, a brain chemical important for memory and thinking, which helps to reduce cognitive and behavioral symptoms.
• Lecanemab (Leqembi): This is an immunotherapy that helps reduce amyloid plaques in the brain and has been found to reduce the rate of decline in people with Alzheimer’s disease.
• Memantine: This is used by those with moderate to severe symptoms and can help people maintain daily functions for a longer period of time.
• Antipsychotics (brexpiprazole): Most antipsychotics aren’t recommended for people with dementia. However, certain medications are used to treat agitation in the later stages of the disease.

Many dementia medications become less effective as the disease progresses. This means that your prescriptions may change over time, leading to a change in costs.

The costs for some Alzheimer’s disease medications are relatively low, with the monthly price for donepezil as low as about $13. Other medications, especially new treatments, are significantly more expensive. For example, Leqembi’s list price is estimated at around $26,500 per year.

Many states have plans or programs that help seniors without prescription drug coverage pay for their medications. This may help you if you have trouble purchasing prescription drugs. If you have Medicare Advantage or a Part D prescription drug plan, your dementia medications may be covered. However, you must still consider deductibles and copays, which can be quite high for expensive medications. It’s also likely that newer medications, including Leqembi, are only covered in specific situations.