Will You Need Long-Term Care?


Photo by Esther Ann on Unsplash

“Getting old ain’t for sissies”, according to Bette Davis.

If you are a client “of a certain age” we’ve likely talked about the need for long-term care insurance. Or at least the need to have a well-informed discussion about how to pay for care in the event you or your spouse should need it.

As a financial planner I see what happens to a family’s personal finances when a client or their spouse requires some level of long-term health care. I have also witnessed the lengths that spouses and other family members will go to help their loved ones, even to the point of putting their own mental and physical health, financial security and quality of life at risk.

Whether or not to purchase a long-term care policy is a big financial decision. Premiums are not cheap and they will likely increase over time. Long-term care insurance isn’t the answer for everyone and it probably won’t cover 100% of your need. Nevertheless, having a realistic plan to provide care is a key part of your retirement plan.

Below is a link to an article written by MorningStar’s Christine Benz about the statistical likelihood of needing care and the costs associated with it.

Must Know Statistics About Long-Term Care: 2019 Edition.

Give it a read and draw your own conclusions.

Atul Gawande, author of the book, Being Mortal, looks at long-term care from a different angle. He argues that if you live long enough you will either require long-term care or you will be a caregiver to someone who requires care.

If you would like to know more about how long-term care planning fits into your retirement strategy, please contact me directly.

If you would like more information about long-term care in general, click this link from the State of MN.