Preparing for the potential need for long-term care makes sense, especially if you can help protect your existing assets at the same time.
Your loved ones may also appreciate your preparations.
One of the biggest risks we see with our clients is in the area of Health Care Planning. However, at Eagle Financial Group, we offer available programs that most people do not know about that can help you protect your assets from Long-Term Care risks, if you qualify for them.
We know that the costs of uncovered health care expenses is one of the biggest factors in why seniors file for welfare or Medicaid. They end up running out of money to pay for long-term care costs that are not covered by Medicare.
- 380,000: Number of individual long-term care insurance policies sold, 1990.
- 129,000: Number of individual long-term care insurance policies sold, 2014.
The Fact is, most people do not have a long-term care policy because they are very expensive and hard to qualify for.
Percentage of applicants denied for coverage:
- Below age 50: 11%
- Ages 50-to-59: 17%
- Ages 60-to-69: 24%
- Ages 70-to-79: 45%
Age 55, Single Individual, with a $150 Maximum Daily Benefit x 3yr benefit period can have costs that are upwards of $2,550 annually…and this does not even cover the median amount annually as shown in the above statistics.
Long-Term Care Statistics:
Usage of Long-Term Care
- 52%: Percentage of people turning age 65 who will need some type of long-term care services in their lifetimes.
- 2.5 yrs: Average number of years women will need long-term care.
- 1.5 yrs: Average number of years men will need long-term care.
- 14%: Percentage of people who will need long-term care for longer than five years.
Paying for Care
- $225 billion: Long-term care expenditures in the U.S., 2015.
- $45,000: Median annual cost for assisted-living facility, 2017.
- $97,455: Median annual nursing-home cost, private room, 2017.
- $267: Median daily nursing-home cost, private room, 2017.
- 8%: Percentage of long-term care costs that were paid by private insurance, 2013.
State and Federal Funding
- 62%: Percentage of nursing home residents whose care is provided by Medicaid.
- 100 Days: of care allotted in a skilled nursing facility (“rehab”) covered in full or in part by Medicare following a qualifying hospital stay.
*Morningstar, “75 Must-Know Statistics About Long-Term Care:2018:” Christine Benz, August 20, 2018