3 in 4 need more than health careWhy you need long term care insurance:

Someone in your family (you, your spouse, one of your parents, or a child) is almost sure to need extended care someday ... and it costs more than you may realize.

REMEMBER: Other disability and health insurances and Medicare or Medicaid may NOT cover the costs of extended care.

If you have assets you want to protect, and the insurance premiums would not jeopardize your lifestyle, you are well-advised to explore the pros and cons of long term care insurance.

Consider these sobering facts:

12 million people are currently receiving long-term care and growing. 82% being cared for at home or in Assisted Living. Only 18% in nursing homes. (1)

• 39% of people needing long-term care are working-age adults, ages 18 – 64. (2)

Average stays:

Nursing Home = 2.6 years (3)
Home Health Care = 4.5 years (4)
Assisted Living = 18 months (5)
Alzheimer’s patient Life span = 4.9 years on average – 5.7 for women, 4.2 for men (6)

Long-term care costs are projected to triple in 20 years. (7)

Current Costs: Imagine what they'll be in 10, 20, or 30 years!
Home Health Care
- $66,000/year ($18/hour)
Assisted Living - $30,288/year ($85/day)
Adult Day Care - $20,075/year ($55/day)
Nursing Home - $67,276/year ($184/day) (8)

Group Health Insurance and Medicare pay for Skilled Care only.

Average number of days = 23. (9)

Medicaid limits options for type and place of care.

Must meet asset and income guidelines. (10) - (Spend down to $1,500)

Aging of America:

78 million baby boomers start turning 65 in 2011
35 million over age 65, to grow to 70 million by 2030
Fastest growing segment – 85 and over will grow to 8.5 million
75,000 people over age 100, projected to triple in 20 years.
(11)

Risk factors
NOTE: The Medicaid percentage is sure to dwindle as the federal and state
governments restrict help to the truly poor.


For almost all Americans, except the very wealthy or poor, long term care insurance is vital for protecting one's estate, lifestyle, and peace of mind.


References:
(1) O’Shaughnessy, Carol, Congressional Research Service, testimony to Senate Aging Committee, June 28, 2001
(2) O’Shaughnessy, Carol, Congressional Research Service, testimony to Senate Aging Committee, June 28, 2001
(3) MetLife 2004 Market Survey of Nursing Home and Home Care Costs as published on Consumer Affairs.com 10/4/2004
(4) MetLife Mature Market survey, 2003
(5) Assisted Living Federation of America, 2002
(6) Alzheimer’s Association, 4/6/2004
(7 ) MetLife 2004 Market Survey of Assisted Living Costs as published in Provider Magazine News.
(8) MetLife 2004 Market Survey of Nursing Home and Home Care Costs as published on Consumer Affairs.com, 10/4/2004
(9 ) Centers for Medicare and Medicaid 2002 statistic “The Nursing Facility Sourcebook, 2001”, American health Care Association, p. 71s
(10) Ohio Medicaid & Elder Law Planning 2003
(11) Administration on Aging, 2/1/2005