Consider Long Term Care Risk When Planning for Retirement
The risk of needing long term care is becoming more apparent to the public and it’s important that consumers are aware of their options when planning for retirement.
Long Term Care Needs More Attention
The Congressional Commission on Long Term Care concluded recently and released their full report yesterday. The report, which narrowly won support with a 9-6 vote from commission members, included a number of different suggestions to improve the quality and integration of the long term care industry. The commission also released a summary of recommendations ahead of the final report that highlights the main points of the document. What the report didn’t include, however, was any type of suggestion regarding the financing of that care.
Instead, the report suggested that a new policy group be formed to continue the work and research done by the commission. Another suggestion included was that long term care support and services be included in the White House Conference on Aging.
Unpaid Care Prevalent in the US
Also released yesterday was a press release by the Bureau of Labor Statistics detailing the amount of unpaid eldercare that is provided in the United States each year. A U.S. Census Bureau survey found that 16% of Americans aged 15 and up, nearly 40 million people, provide some form of eldercare with no financial compensation.
As technology improves, our life expectancies continue to increase. This makes it imperative for us to plan for our elder years and any care that we may need. Government studies estimate that 7 in 10 Americans over the age of 65 will need long term care during their lifetime, and if you are not properly prepared for the cost of care, you may be in for an unpleasant surprise.
Preparing a Plan for Care
Spending $8,000 in one month is not a sustainable course for most people. Assisted living facilities are less expensive at an average of $3,427 a month; regardless, any large, unexpected cost like the cost of sudden care can have devastating affects on your retirement portfolio.
Long term care insurance helps cover the cost of long term care in case you ever fall ill, suffer a bad break or fracture, or are diagnosed with cognitive decline. It isn’t exactly exciting to think about these possibilities, but it’s also unwise to ignore them. Preparing for these costs can help save you money in the future and ensure you receive top quality care.
We try to educate our clients on all the different policy options to help them make the most informed decision possible. To do this, we provide a side-by-side comparison of all the top companies for you to review and use to make your decision. If you are interested in learning more about how to fund your long term care, consider a long term care insurance policy today. Request a comparison now.