The Cost of
So, what does Long Term Care cost on average?
More than you probably think.
The national average is approximately $86,000 for a semi-private room in a nursing home and $49,000 annually for 40 hours per week of home care.
Long term care costs rise with inflation. That means that if you are in your 50's now, the annual cost for long-term care when you’re in your mid-80's could be $150,000 - $300,000 per year. Because most elderly people who use Long Term Care do so for 2-5 years, total costs could range from $300,000 - $1 million!
How Are You Going to Pay for Long Term Care?
Basically, there are two options:
- Long Term Care Insurance
Long Term Care Insurance (LTCi)
- Provides a pool of money to pay for long-term care when you need it, at far less expense than the care is likely to cost if you were paying out-of-pocket.
- Helps make it possible for you to stay in your home, rather than in a nursing or other facility.
- Protects your other assets, so you don’t have to use them to pay for your long-term care services. Instead, you can use retirement savings to travel, visit family, or engage in other favorite activities.
- Removes the financial burden of your care from children or family members, and can result in a better chance of leaving assets to your children or charities that are important to you.
- Will quickly deplete savings and assets.
- For those other than the very wealthy, most people will run out of money before the need for LTC is over.
- The cost of LTCi is based on your age and health when you apply; the older you are when you apply, the higher your premium for the duration of the policy. The annual premium for a person who purchases a policy at 50 will be significantly less expensive than the same policy purchased at age 60.
- The condition of your health determines whether or not you will be accepted for LTCi coverage.
Your premium will never be lower.
Apply for LTCi now while you are healthy, rather than risk being turned down for coverage later when your health may be compromised!
“Jody is extremely knowledgeable in the long term care insurance industry and has been an advocate for many of my clients and/or residents in obtaining, or redeeming their long term insurance policies. Jody takes the time to really understand the individual needs, concerns, and budget of the person she is working with before making a recommendation. She also doesn't leave clients on their own after she's made a sale, she keeps in touch. She has been a reliable source for me for many years.”
H. S., Director of Sales & Marketing