The costs of long-term care (LTC) can be more than financial. Stress on family caregivers, the uncertainty of receiving your preferred care setting, the frustration of wading through Medicare and/or Medicaid requirements—all of these can be alleviated through proper longevity planning.
7 out of 10 Americans will need some type of LTC during their lifetimes.
Average Length LTC: 3 years
Women: 3.7 years
Men: 2.2 years
43.5 million Americans provided unpaid care for an adult 50+ in the past year.
60% of family caregivers still hold a full or part-time job.
62% of caregivers say caring for a parent has negatively impacted their own financial futures.
$315,000: Average out-of-pocket medical costs for 65-year-old
retired couple, excluding LTC.
$202,000: Average retirement savings of a baby boomer.
Here are some of the most important reasons more families are planning for long-term care before they need it.
Bottom line: Planning for long-term care is about protecting your independence, your savings, and your family. The right strategy can help you choose how and where you receive care.
Many families plan to use savings to pay for future care, but self-funding can carry hidden costs, risks, and tax consequences. This comparison shows why long-term care insurance is often a more protective, efficient strategy.
You can’t time the market or predict when a long-term care event will occur. An LTC event can happen at any age due to illness, accident, or other unexpected changes.
Care costs tend to rise each year. Waiting to self-fund means you’ll need more assets in the future to cover the same level of care.
Assets used to self-fund care are often earmarked for retirement or legacy goals. Selling investments may create taxes and reduce long-term growth.
The amount and length of care you may need is unpredictable. Costs depend on your health, type of care, and how long care is required.
LTC coverage helps shield your retirement savings from large, unplanned care expenses so more of your wealth can stay aligned with your long-term goals.
Premiums can translate into benefits that may exceed what you pay out of pocket. Certain strategies can provide tax advantages for families.
Many LTC solutions include help finding appropriate care, coordinating services, and supporting family members during a claim.
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Don't Believe everything you hear.
Talk with your professional advisors about longevity planning today.
LTC terminology can be complex.
This glossary provides clear definitions and explains how long-term care eligibility is determined.
Every family’s needs are different, and LTC policies can be designed to match.
Review the chart below for an overview of your options, then connect with us to personalize your plan.