Long Term Insurance: Planning for Your Future

Long-Term Insurance: Planning for Your Future : 

Long-Term Insurance: Planning for Your Future

Long-Term Care Costs Skyrocketing : 

Long-Term Care Costs Skyrocketing An ounce of prevention is worth a pound of cure The cost of long-term care is skyrocketing Middle-aged individuals – or older – who haven’t prepared to meet long-term care costs could get burned

Costs of Long-Term Care : 

Costs of Long-Term Care According to LTCTree.com, demand for long-term care is at an all-time high: 75% of people 65 and older will eventually need long-term care About 80 million Americans will turn 50 over the next 18 years By 2020, one in three workers will be faced with providing LTC to their baby boomer parents Average cost of a one-year stay in a nursing home: $80,850 Can be as high as $100,000 75% of American singles and 50% of couples spend almost all their retirement savings in the first year of living in a nursing home Long-term insurance can help

How Long-Term Insurance Works : 

How Long-Term Insurance Works Introduced 30 years ago Supplement to Medicare’s limited nursing home coverage Covers a multitude of services for elders Typical policy covers: Nursing home services Home healthcare services Assisted living facilities Respite care Hospice care Adult day care Care advisory services Medical equipment Home modifications

How Much Does It Cost? : 

How Much Does It Cost? Full menu American Association for Long-Term Care’s 2009 Sourcebook: Ages 50 and 54 paid as little as $989 per year Ages 60 and 64 paid $1,125 (minimum) Average cost of long-term insurance between $1,800 and $2,000 per year Costs of $3,000 or higher are not uncommon

Is Long-Term Insurance Right for You? : 

Is Long-Term Insurance Right for You? Make sure you need it If you’re approaching retirement, are low on cash and savings – you may not need long-term insurance Low savings may qualify you for Medicaid, which will cover much of the costs (but not all)

Pros and Cons of Long-Term Insurance : 

Pros and Cons of Long-Term Insurance Long-term insurance pros: Prevent your life savings being spent on senior care Give you leverage in choosing the senior care facility that’s right for you Prevent you from having to tap into your family funds Tax-deductible premiums Long-term insurance cons: Cost burden as you near retirement May be unnecessary – especially for low-income earners Not cover all of your long-term care costs

Long-Term Insurance: The Bottom Line : 

Long-Term Insurance: The Bottom Line Do your homework and gather the data you need Follow through with payments every month to avoid lapses in coverage You may not need long-term insurance soon, but chances are you will need it someday

SeniorHomes.com : 

SeniorHomes.com Information in this presentation provided by senior finance expert Brian O’Connell SeniorHomes.com is a free resource for seniors and families searching for housing and care services Visit http://www.seniorhomes.com for more information on senior housing