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Why Long-Term Care Planning is Essential for Boomers

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Why Long-Term Care Planning is Essential for Boomers

Long-term care insurance | Financial advice
Without long-term care insurance, the cost of a nursing home stay or a home health care aide could wreak havoc on your finances and whittle away at that nest egg you've worked so hard to build.
As millions of baby boomers in the United States reach old age every year, experts predict the number of long term care patients will double over the next 30 years.

What does that mean for you? It means that if you don't have a long term care plan in place, you and your family may have to face some tough choices down the road.

Read on to learn why a long term care plan is critical for every baby boomer.

Americans are living increasingly longer lives. Recent estimates give a healthy 65 year old man a 24% chance of living to at least 90 and a healthy woman a 35% chance of living that long. While this is great news, the longer we live, the more likely we are to suffer from a long-term care event.

This all means that now is the time to put a plan in place.

The hefty price tag


If you or a loved one suffers from an illness that requires long-term care, get ready for some sticker shock. A year long stay in a nursing home typically can cost between $40,000 and $80,000, often more.

While prices vary by state and the type of care required, one thing is consistent across-the-board when it comes to long-term care: it's phenomenally expensive.

Just take a look at the average cost of various types of long-term care in the US:
$5,566 a month for a semi private nursing home room.
$6,266 a month for a private nursing home room.
$2,968 a month for care in an assisted living unit.
$19 per hour for a home health aide.

These costs can quickly add up and eat away at your nest egg. For example let's say you hire a home aid to assist your husband just three times a week for 4 hours. At $19 an hour, on average, that would come out at $228 a week. That adds up to nearly $12,000 a year. 

Unfortunately, Medicare does not cover these exorbitant long-term care expenses. 

To top it off, informal home care, is simply not a realistic option for most families these days. After all, most children of baby boomers, are struggling to balance their own work and family life. They simply don't have the time or the resources to care for sick parents.

This is why it's critical for each and every family member to plan ahead for a potentially expensive long-term care event. Without the proper protection, such an event could devastate a families finances.

The simple solution: Long-term care insurance

How can boomers handle the skyrocketing costs of a potential long-term care event? The answer is simple: long-term care insurance. Without long term care coverage, a nursing home stay or another long term care event could destroy your family's finances.

Because long-term care insurance covers many of these expenses, this valuable coverage will not only protect your finances -- it will also help you to maintain your current standard of living if you or your spouse requires long-term care. 

The take away


Without long-term care insurance, the cost of a nursing home stay or a home health care aide could wreak havoc on your finances and whittle away at that nest egg you've worked so hard to build.

Don't burden your love ones with this kind of emotional and financial strain.  Create a long -term care plan today to save your family a lot of heart ache and stress tomorrow.

If you want to discuss your long term care insurance options, contact us.  A professional can evaluate your unique situation and help you customize an effective plan.