Long Term Care Insurance

People are living longer than ever – FACT! With the average life expectancy in the 1970s being in one’s early 70s, it rose by 4 years by the 1990s. Now, the average life expectancy is 78.4 years, with men averaging 75.8 years and women living just past 81. That’s just the average, which means that many people are living well into their 90s and even over 100. When you’re in your 30s, 40s, 50s, or even 60s, thinking of what life will be like when you’re 90 can be hard to imagine, but it needs to be looked at seriously and with consideration for long term care insurance.

What is Long Term Care Insurance?

Unfortunately, Medicare and health insurance only do so much. They only cover active medical procedures, not the day-to-day of living with chronic illness, disability, mobility impairment, or the hardships of being older.

Long term care insurance takes care of both your personal and health needs. For example, here are a few aspects that long term care insurance can cover:

• Assisted living facilities
• Nursing homes
• In-home caretakers
• Respite care
• Hospice care
• Community service
• Medical costs

Why Does it Matter?

When we are younger, long term care can seem so far away. However, when you think about how much long term care actually costs, it is often wiser to start with a smaller annual premium now than to wait. For example, let’s take a look at the average annual costs of long term care:

National Averages (Genworth Cost of Care Survey 2024):

• Nursing Home Care: $119,537/year 
• Assisted Living: $70,800/year 
• Home Care: $77,792/year

That’s just for a single year; yet, the average person spends at least 3 years in nursing care, which would be $358,611 today. If you are 50 or 60 years old, nursing home care may be 20 to 30 years away, but that also means the costs will go up with the rise in inflation. If not properly planned for, it could wipe out your savings quickly.

Additionally, if something unforeseen happens, such as a sudden illness or disability, the need for these services may come quicker than assumed. Fortunately, whether you are planning for help in your older years or life takes an unexpected turn, long term care insurance can make all the difference.

Long Term Care Insurance with Annuity Watch

As with all insurance strategies, long-term care insurance does not make sense for everybody. It requires careful consideration and an in-depth assessment of your personal circumstances.

At Annuity Watch, we can guide you in evaluating whether long term care insurance is right for you, and, if it is, which plan best fits your life. We will help you factor in your age, the benefits you anticipate needing, available funding, and more to find the best solution for you.

Don’t wait until it’s too late to address this concern; make it a part of your financial planning today. Book an appointment with us at Annuity Watch today to get started.