If someone in your family has a long-term care need it can negatively impact your current and future income, as well as your family’s current and future wealth. To understand the potential impact of a long-term need on your family’s wealth, consider the following;

National average annual cost of Stay-at-Home care

2021 Cost: $121,264

Estimated 2031 Cost: $162,969

*National average annual cost of a Nursing Home, Semi-Private Room

2021 Cost: $94,900

Estimated 2031 Cost: $127,538

^{*Check out the Genworth Cost of Care Survey 2021 at https://www.genworth.com/aging-and-you/finances/cost-of-care.html}

Multiply these annual amounts times 3, 5, or 10 years and you can see the devastation a LTC need could have on your family’s finances. 

What’s the Probability Your Family Will Experience a Long-Term Care Need?

*46.7%: The expected percentage of men turning 65 who will have a long-term care need during their lifetimes. 

*57.5%: The expected percentage of women turning 65 who will have a long-term care need during their lifetimes. 

^{*Check out the The NAIC’s 2016 study: The State of Long Term Care Insurance at https://www.naic.org/documents/cipr_current_study_160519_ltc_insurance.pdf}

Fortunately, there is a solution that can help remedy this problem, it is Long-Term Care Insurance.

Unlike traditional health insurance, long-term care insurance provides resources to seniors for long-term care services and support, including personal, custodial, and skilled care in various situations;

• Home care
• Home modification 
• Adult day care services 
• Assisted living 
• Nursing home
• Care coordination

There are 2 primary types of Long-Term Care protection; 

1. Health Based Long Term Care Insurance 
2. Asset Based Long-Term Care Insurance.

Key Components for a Long Term Care plan include; 

• The Premium Payment – The cost of your insurance, paid for life or some shorter time frame.
• The Monthly Benefit – How much your policy will pay towards your LTC need
• The Benefit Period – How long your policy will pay for your LTC need
• The Elimination Period – How soon they start paying you after your LTC need begins
• An Inflation rider option – How much your benefits increase to keep up with the rising cost of living 

Is an Asset Based Long Term Care Policy Right for You?

Both health based and asset-based long term care policies offer similar long term care benefits. But an Asset-Based policy offers the additional benefits of combining a long-term care insurance with either an annuity or Life insurance policy. This means that if you don’t use the LTC insurance you can pass the proceeds onto your heirs through the annuity or life insurance contract.

The Right Long-Term Care Solution Can Protect and Grow Your Family’s Wealth.

We’d be honored to help you review your potential Long-Term Care need to help you identify the best solution for your situation. Contact us for your complimentary consultation and Long-Term Care analysis.