Let’s face it – the US is facing a paradigm shift in the age demographic of the nation. People are continuing to enjoy longer and longer life spans. Those who retire at age 65, could see 25-30 years of retirement! The growing age of our citizenship combined with the emerging awareness of long term chronic illnesses such as Alzheimers/Dementia, Cancer, and Diabetes have created a new wave of concern for how we receive care and pay for care during this portion of our lives.
From this, the Long Term Care insurance product was born. First introduced in the 1970s-80s, Long Term Care Insurance (or LTCI) was a very simple product focusing on the delivery of benefits once a person entered a nursing home facility. Throughout the 1990s it became quite clear that nursing home rates and the cost of care delivered in facilities was increasing at a level that most LTCI carriers had not anticipated. Furthermore, the general public was living longer and began having different expectations of what their LTCI would cover. More and more people were transitioning to intermediate care in the form of Adult Day Care facilities, Assisted Living facilities, and simply at-Home care.
This story continues to evolve some 25 years later. In today’s world, it’s about CHOICE. Adults want to have a CHOICE about where they receive care, how they receive it and for how long. People are taking a more proactive approach to their golden years. Many of us have a different retirement story than our parents had. Whether it’s the advent of individually funding your retirement (pensions are a thing of the past!) or working with a financial planner or wealth strategist to accumulate and protect your assets for the long term (if you aren’t protecting yourself, no one else will!) – today’s work force has a much different opinion on how they want to spend their retirement.
Long term care insurance is a proven vehicle to help you continue on that mission. Speak with a licensed insurance advisor to determine what options are best suited for your needs. There are more options today than ever before – proper planning can get you where you want to go!