Facts and Figures
“The U.S. Census Bureau projects that the population of 85 and over could grow to $19 million by 2050.”
-- American Association for Long-Term Care Insurance, 2011 LTCi Sourcebook, www.aaltci.org
2011 cost of care findings on a countrywide basis:
Homemaker Services (Licensed) $18/hour
-- Genworth Cost of Care Survey 2011
"There are 23.6 million people in the U.S. who have diabetes and over 1.6 million new cases are diagnosed every year."
-- American Diabetes Association
2011 cost of care findings on a countrywide basis:
Nursing Home (Semi-Private Room) $193/day
-- Genworth Cost of Care Survey 2011
"One million Americans suffer from Parkinson's Disease and each year 40,000 new cases are diagnosed."
-- Parkinson's Disease Foundation
“By 2050, 20% of America’s population will be over 65.”
-- National Council on Aging
76 million Baby Boomers were born between 1946 and 1964.
"Each year about 600,000 Americans suffer their first stroke. 28% are under the age of 65."
-- A Consumer's Guide to Long Term Care Insurance
“The average age at move-in of an assisted living resident is 84.6 years old. The median length of stay for assisted living is 21 months.”
-- American Association for Long-Term Care Insurance, 2011 LTCi Sourcebook, www.aaltci.org
2011 cost of care findings on a countrywide basis:
Adult Day Health Care $60/day
-- Genworth Cost of Care Survey 2011
Most people prefer to receive long term are in their homes rather than in a facility setting.
“The nation’s 10 leading long-term care insurance companies paid over $10.8 million in daily claim benefits in 2010. Benefits paid by just these insurers totaled nearly $4 billion for the year.”
-- American Association for Long-Term Care Insurance, 2011 LTCi Sourcebook, www.aaltci.org
“5.4 million Americans are living with Alzheimer’s disease. 2/3 are women. By 2050, as many as 16 million will have the disease.”
-- American Association for Long-Term Care Insurance, 2011 LTCi Sourcebook, www.aaltci.org
2011 cost of care findings on a countrywide basis:
Home Health Aide Services (Licensed) $19/hour
-- Genworth Cost of Care Survey 2011
2/3 of people over age 65 will need some kind of long term care in their lifetime.
2011 cost of care findings on a countrywide basis:
Nursing Home (Private Room) $213/day
-- Genworth Cost of Care Survey 2011
"The typical caregiver is a family member who is a 48 year old woman who provides more than 20 hours of care each week."
-- American Association for Long-Term Care Insurance, 2011 LTCi Sourcebook, www.aaltci.org
“86% of older adults have at least one chronic condition like heart disease, arthritis, diabetes, or cancer and 50% have two or more.”
-- National Council on Aging
Be Social!
Are All LTCi Policies the Same?
A prospective client asked me recently if all long term care insurance policies are basically the same. As with many things in life the answer is yes and no! All long term care insurance companies allow an applicant to select his/her core benefits: a daily or monthly benefit (usually between $50/day to $400/day or $1,500/month to $12,000/month), an inflation component (5% compound, 3% compound, 5% simple, CPI, etc), an elimination period (a deductible based upon a number of days that usually ranges from 0 to 365), and a benefit period (that usually ranges from 2 to 10 years and some companies still offer a lifetime benefit period). Where it gets complicated is when you need to make decisions about options that aren’t the same with all companies or that might not be available with all companies. That would include but is not limited to: cash alternative, survivorship, return of premium, shared care, international coverage, informal care, indemnity, calendar day elimination period, dividends, etc. Whether or not you want your policy to contain any of these options requires that the long term care insurance specialist you are working with informs you about what they are, how they work, and what they cost. And remember that one size does not fit all with most things in life including long term care insurance!