Nobody’s future is certain but statistically 70% of people over the age of 65 will need Long Term Care assistance at some point in their life.
So you have planned for your retirement and are saving to meet your planned lifestyle needs. As part of this plan have you also planned for the potential need to pay for Long Term Care costs based on the estimates shown below? If not you may have a large hole in your plan. One great option for shifting this risk is to obtain a Long Term Care Insurance policy designed to cover some or all of these potential expenses.
The costs for Long Term Care are high. The costs vary by location and services needed.
Annual Costs In the Twin Cities Metro Area*
Service Type 2018 2028 est. 2038 est.
- Home Health Care (44 hrs per week)
- Homemaker Services $66,352 $89,172 $119,839
- Home Health Aid $69,784 $93,784 $126,038
- Adult Day Care $21,580 $29,002 $38,976
- Assisted Living $53,100 $71,362 $95,905
- Nursing home
- Semi Private Room $101,897 $136,941 $184,037
- Private Room $121,457 $163,228 $219,365
* Genworth Cost of Care Survey
There are a number of options for your care if needed.
1. Self Finance - You have enough financial resources available to cover the costs of care out of pocket. With this option you should plan for enough financial assets to support your retirement goals, Medical costs and Long Term Care costs.
2. Family - You will depend on family members to care for and pay for your care.
3. Insurance - You can Transfer the Risk to an insurance policy.
- Long Term Care Insurance
- Hybrid Long Term Care / Life Insurance Policy
4. Medicaid - Medicaid is a government assistance program for people who cannot afford their care. This option requires that you must spend down your assets to a specific level before you can receive Medicaid assistance. With Medicaid your options for care may be limited.
Planning for your senior years can be scary and daunting. We are here to help. We will educate you on the risks and realities that should be considered when making your plans for the future. When you understand the risks, and the options available, you can build a plan to help mitigate the risks in the future. There is no 1 correct plan for everyone. Your plan needs to be designed around your unique situation.
Solutions we consider as part of your plan are:
Long Term Care Insurance (LTCi) Hybrid Long Term Care and Life Insurance
Traditional Life Insurance Medicare
Short Term Care Insurance Short Term Disability
Long Term Disability Critical Illness / Critical Cash
At Little Insurance we have teamed with a number of the leading LTC Insurance companies to provide a variety of options to help meet your plan goals. We will also evaluate the value of other options base don your specific situation.
Our primary pure LTC Insurers are Mutual of Omaha, Transamerica and GTL. Let us help determine if one of these options, or another solution, will meet your needs.