PENSUMO como ejemplo en China

Blog post (January 2019)

Translation from Mandarin Chinese to English

It is worthwhile for Chinese companiesto learn about innovation from Europe and America about  caring for the elderly!

According to data from “World Population Prospects: 2017 Revised Edition”,  published by the United Nations, Europe willhave the highest proportion of people 60 years of age or older (representing 25%  of thepopulation)  by2050. Thepopulation of 60 years or older in all regions of the world, except Africa, will be close to that figure  or even    exceed 1/3 of the population.

The model of caring for the elderly and their future in China is based on the premises of “having children to care for the elderly of the family in the future” and the “family pension” model. In the meantime in European and American countries, how is this issue addressed? In addition to traditional nursing homes, senior apartments, and senior care centers in Western countries, what other methods can Chinese businesses learn from?

Innovation 1: an improved version of “House for the Aged” that deserves attention.

The concept of “housing financing” originating in European and American countries is also called “reverse mortgage” or “reverse loan” in China. It refers to a person over the age of 60 who  owns all property rights to the home (the United States must be over 62 years old, Australia must   be over 60   years old and in other countries are slightly different), you can mortgage real estate to a financial insurance institution, and then receive a certain amount of insurance money monthly. During this period, the elderly can still live in the house and continue to have the right to dispose of the house, use it and obtain benefits until death; subsequently, financial institutions obtain the right to dispose of mortgaged real estate to realize value. The “home pensioner care” model has become popular in the United States, Canada and many European countries.

There are also other countries that have improved the concept of “family pension”, such as France’s “lifetime income” pension model.

In the French model of “annuity”, the seller is usually an older person and the buyer is a relatively young investor. Young people achieve the purpose of buying a home by paying an advance (usually 30% of the total house price) and the  rest of the installment payment. The elderly can continue to live after selling their homes and receive pensions until the end of their lives. This gives young people who do not have high incomes the opportunity to buy a home (or investment), while the elderly can sell their homes in exchange for retirement grants to ensure a stable monthly income and solve the problem of under-pensions.

In addition, in other European countries, there is another concept of “retirement with housing”, which is the coexistence of the elderly  with young people. There are some specialized intermediary agencies in Europe that will help university students find older people living alone. Older people are willing to offer their own homes to young people at low or free prices, but the premise is that young people should be part of the obligation to care for the elderly. For example, chatting with the elderly, cleaning the garden, shopping, etc.

If traditional models of “family pension” and French “lifetime income” solve the problem of under-pensions for the elderly. The latter method solves the mental problems of the vacuum of the elderly in their later years and the need for companionship.

Innovation 2: Consumer Pension

In Spain, where the problem of aging is serious, some innovators launched “ConsumerPension”. The project advocates the principle of “free and voluntary” to help peopleaccumulate money through dailyconsumption.

Unlike common public social security or private paid pension schemes, the “Consumer Pension” launched by Pensumo is a completely new model, which looks more like a free private pension model.

In Pensumo people do not need to pay to participate in this project, they only need to make normal purchases and other activities in daily life. Each consumption generates real savings equivalent to what is consumed (one % of the purchase). It’s an open savings account. Account funds will be managed and operated by an insurance company until they are rescued by the user.

Currently, most major users are women over the age of 40 and there is no established minimum consumption. Consumers can also choose to suspend the plan at any time and perform savings rescue. In addition, the company also includes online stores where you can exercise this savings.

The “Consumer Pension” project is attractive, not only for consumers, but also for brands and shops. Where I think gives them an advertising space and a mark of distinction. Under the dual role of stimulating consumption and saving for the future, its practice means a “mutual benefit” for traders and consumers.

Innovation 3: Care centers for the elderly segmented for people with disabilities.

Julia is a 69-year-old retired Spanish girl. Every morning at 8:30, her daughter takes her to a fixed place on the way to work, where the Day Center bus will pick up older people like  Julia in the car after    arriving at the center around 9 a.m., seniors will start their day there.

Older people in need of rehabilitation will perform related caregiver exercises. The center will also provide older people with newspapers, chess, puzzles, painting and other small games. Around 11 a.m., the center will offer coffee, desserts and other meals for seniors. The elders will have a lunch break at 2. At 4 o’clock, staff will wake you from napping, give them juice or yogurt as a supplement, and remind them to take medication.

At the same time, there will be volunteers to accompany the elderly to draw, chat, play board games, etc. Until 6pm, the downtown car will take the old man back to the pick-up location in the morning.

Judging by a series of processes, there is no difference between this and the nursery, the only difference is that it is for the elderly, not for the children.

There are many such care centers in Madrid, and they are more common throughout Europe. In addition to care centers for people with Parkinson’s disease, there are also many care centers specifically for people with disabilities. For example, the Netherlands, which has been in the elderly care industry for more than 70 years, has performed quite prominently. Generally, the price of such nursing homes varies depending on the content of the services provided. For those who remain in the day center,some are paid for by their relatives and others are paid by housing pension. In addition, the government will also provide a certain degree of subsidies.

Here, seniors can enjoy the services of being cared for by a dedicated person, and they can also enjoy the happiness of being with their families. The emergence of these nursing homes is a complement to nursing homes. The French pension company “GolizeGroup”, which is currently entering China, is focusing on this model.

Innovation 4: “Grouping the elderly” or promoting the re-employment of the elderly

In the 1980s, an American television series called “Golden Girls”was popular around the world. The story tells 4 older women caring for and leaning on a big house in Miami, USA. And they experience life together. And this is more like the prototype of today’s popular Pension Baotuan.

Baotuan’s pension  was first popular in Canada, and has then become popular in other European countries and even parts of China. Bao Tuan’s “elder care” avoids the high cost of nursing homes, and also avoids housing loneliness for the elderly. Not only does it reduce the cost, but it also has a big effect on the mental well-being of the elderly.

Citing a report from Le Monde, there is a cooperative called “Les Barges”in the eastern suburbs of Lyon. This is a “private nursing home” that took 4 years of financing and design, and a year and a half of construction. It is jointly funded and established by retirees between the age of 60 and 76, including 16 families, and their method of ownership is between landlords and tenants. Participants share ownership of the building through a shareholdingsystem. One of the important principles that everyone must respect is to reject real estate speculation. If an elderly person cannot take care of himself due to deteriorating physical condition, he or she will be sent to a special care center for the disabled. The vacated room can be used for rent, but the price islimited.

Since the development of Baotuan  Aged  Care,there have been two different trends at home andabroad. Overseas, Baotuan’s pension  usually  adopts a “cooperative” model. Whether in France, Canada or the United States, this approach has successful precedents and works smoothly.

In China, it has often become a model for landlords to find tenants. Older people with affordable conditions provide empty rooms for others to live in. Everyone “lives under the same roof” to take care of each other to pass the time, but due to the uneven situation, life is different in everyday habits. In addition to the lack of professional nursing staff, Baotuan Pension is currently struggling  to improve in China.

In addition to group care for the elderly, the governments of Western countries alsostable have  activity centres for the elderly. Some banks or financial institutions also helpautonomous  communities establish activity centres for the elderly.

Let’s take Madrid, Spain as an example. Financial institutions such as Caja Madrid (Caja de Ahorros de Madrid) and LaCaixa,  which have established activity centers for the elderly in cooperation with local communities, but the premise is that the elderly who participate in these centers are at least employees of the bank, depositors, or have to pay a portion of the fee (usually the rate is not high). In addition to organizing interest groups and sightseeingtours. Theactivity center also has bars, TVs, computers and other content richer than the public activity center for the enjoyment of the elderly. In addition, if older people want to continue participating in social activities, the center can also organize older people to teach young people or teach experience in related fields, in order to re-employment the elderly through the senior center.

In addition, European countries are also trying to use smart  smart technology products to help families keep the elderly  safe. For example, the European Union has launched some smart projects, a database for monitoring the fall of the elderly, alarms, etc., with the aim of taking advantage of the development of technology to reduce the burden of social pensions

AliciaPENSUMO como ejemplo en China