10/04/2024
Why you need long-term care insurance,
& why haven’t you got it yet?
Well?
Let’s start with the why. Let’s be realistic we are all getting older! The cost of everything keeps going up! No one wants to be in a nursing home!
So, we start with those who need long-term care not the insurance but the actual no-kidding care. According to Consumer Affairs (Long-term Care Statistics 2024, by Errin Schmidt and Emma Rubin February 6, 2024) Your odds of needing care . There is an expected increase in nursing home residents in the next ten years of nearly 80%
Over 56% of Americans who are currently 65 will develop a condition that will require a stay in a nursing home or other form of formal care setting.
“The U.S. Department of Health and Human Services (HHS) estimates that over half (56%) of Americans turning 65 today will develop a disability serious enough to require long-term service and support. The HHS estimates that from 2020 to 2065, the number of individuals with significant disabilities is expected to grow from 7.6 million to 14.7 million given the aging population — in percentage terms, the share of the aged population with disabilities increases from 14% to 16%.”
Who pays? Well, frankly you do! Medicare does not cover custodial Long-term Care not even for a limited time. Kids work and have families. And even assisting with routine care becomes a challenge without help.
Below is the average cost of care by state from a Genworth Financial report
PER MONTH!
Table with 3 columns and 53 rows. Currently displaying rows 1 to 20.
State Semiprivate Private
Alabama $7,506 $7,899
Alaska $35,428 $35,428
Arizona $7,353 $9,028
Arkansas $6,839 $7,524
California $11,011 $13,679
Colorado $9,632 $10,935
Connecticut $15,475 $17,055
Delaware $13,798 $14,140
Florida $9,730 $10,823
Georgia $7,882 $8,549
Hawaii $14,055 $15,867
Idaho $9,575 $10,259
Illinois $7,045 $8,045
Indiana $8,174 $9,781
Iowa $7,627 $8,378
Kansas $7,078 $7,660
Kentucky $8,070 $8,959
Louisiana $6,475 $6,813
Maine $11,798 $12,653
Maryland $11,627 $13,679
The fact is that most of us will end up in care, if you are a husband and wife, you can expect that one of you will need long-term care in your lifetime. The costs are staggering, and the options become less as we age.
Long-term Care Insurance is an option for many. Unlike the early days of LTCI, the new options are very welcoming and budget-friendly.
Your main goal should be to stay out of the nursing home. It is less about if you will need care but more about when you need it where and how you will pay for it. Good policies provide for care right in your home.
As a Senior Insurance Specialist, I have been helping clients protect themselves against their major risks my entire adult life.
Let’s put it like this, can you afford 100k a year in care for your spouse for an average stay of 2.7 years (conditions like Alzheimer’s think 4-10 years) without devastating your finances?
While there is no great answer doing nothing will not solve this problem
William Gray, Agency Principle
Senior Insurance Specialist
Licensed Agent
904-467-4545
[email protected]
Find the best plans for you and your family today!
