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Protecting Family Caregivers by Planning for Long-Term Care

young woman helping elderly mother
Lori Gubash, CLTC, FICF
Lori Gubash, CLTC, FICF April 13, 2023

Lori leads the LTC team and acts as a liaison to ensure we are providing the best possible Long-Term Care Insurance and business development solutions for our agents and their senior clients.

Currently, family caregivers are the backbone of our long-term care system in the U.S. Many Americans rely on their spouses, children, and other loved ones to assist them as they grow older. Some are driven to do so because of limited financial resources, while others have loved ones who simply didn’t plan for a long-term care crisis. Unfortunately, these family caregivers face many challenges, including their own health and financial security.

Why Plan Ahead for Long-Term Care?

Over 50% of Americans turning 65 today will need long-term care services.¹ As such, it’s becoming harder for clients to say, “Well, that won’t happen to me.” Instead, planning ahead for long-term care gives your client the opportunity to express their preferences regarding where care will be received and by whom. It also gives their family a roadmap to navigate a stressful and emotional time.

How Will Your Client Pay for Long-Term Care?

First of all, it’s vital that your client understands long-term care services are not covered under Medicare or traditional health insurance. Medicare will only pay for short-term rehabilitative care. On the other hand, Medicaid is the largest payer of long-term care expenses in the U.S. However, in order to qualify for Medicaid benefits, applicants must meet strict financial requirements. If your client assumes they will pay out of pocket for long-term care, they may not realize the national average for at-home care is around $5,000 per month.²

Read More: Can Your Clients Pass This Long-Term Care Quiz?

If your client has assets to protect, they may want to consider transferring the financial risk to an insurance company while they are still relatively young and healthy. They can purchase long-term care insurance (LTCI) for a fraction of the actual cost of long-term care services.

No Crystal Ball to See Future Long-Term Care Needs

Insurance is meant to protect clients from a variety of catastrophic perils and provide security against the unknown. After all, we don’t have a crystal ball to tell us what the future will bring. LTCI can offer protection and peace of mind to your client as well as their family. Planning ahead for long-term care enables them to not only safeguard their assets but also protect their loved ones from being full-time caregivers.

Encourage your clients to prepare for a long-term care risk. LTCI can be designed to suit their budget and specific circumstances. Schedule a call to discuss a specific case or hear about the industry trends we’re seeing on LTCI cases nationwide.

¹ Projections of Risk of Needing Long-Term Services and Supports at Ages 65 and Older, U.S. Department of Health and Human Services, January 2021

² Cost of Care Survey, Genworth, November 2021