Long-Term Care

Are you looking for an insurance designed to pay for expenses you’ll incur if you are unable to care for yourself and need support? You should be concerned because no other insurance, including Medicare, pays for this kind of care and an unfunded Long-Term care event can ruin even the most carefully constructed financial plan.

70% of people over 65 will need long-term care*

If you’ve had a loved one who needed professional care, either from a nursing facility, assisted living center, or at home, then you may know how devastating the expenses can be. Consider these numbers:

• Over the last 20 years, the cost of Long Term Care has doubled
• After you turn 65, you have a 70% chance of requiring Long Term Care
• A 1 year stay in a facility costs $71,512 on average
• The average stay in a facility is 3 years
• Medicare, in total, pays only about 10% of Long Term Care costs

*Source: ASPE Research Brief Revised Feb 2016

Since you must qualify medically for Long Term Care insurance, the initial answer is, “While you’re still healthy enough to qualify.” The second part of the answer is that premiums are set by age, so the best time to get LTC insurance is right now. Starting a plan at a younger age would establish you with a lower cash flow requirement. Also, since many long term care plans today are tied to life insurance plans, you can guarantee the premiums won’t increase and you can build internal value that could be used for other needs if you end up not needing long term care.

This is a very specialized field and the plans vary widely. Your best bet is to work with a professional who can explain all the options available to you. You’ll want to be sure you’re making the best choice for you and your family.

It varies greatly. Some people will develop chronic conditions, rendering them unable to attend to their daily needs. Others will develop a cognitive impairment that makes it dangerous to live unsupervised. Other people won’t necessarily be sick with an illness, but will become frail with age.

While no one wants to imagine themselves in this condition, it becomes more likely the longer we live. Instead of gambling with your family’s future by putting your assets at risk, it’s generally a safer bet to work with a professional who can guide you to an affordable plan. Most people enjoy the peace of mind that comes with knowing they’re covered.