Long-term care refers to services that are required by individuals suffering from a chronic illness, disabling condition, or cognitive impairment. These services are generally needed for an extended period of time and are not intended to cure or heal the individual receiving them. Long-term care services range from assistance with routine personal activities such as bathing, dressing and eating, to skilled care that addresses medical needs and is performed by medical personnel such as therapists, nurses or physicians.
Because people are living longer, there is a greater possibility that more of us will need long- term care. Studies indicate that 70% of people over 65 will need long-term care for three years and 20% will need care for five years or longer. Of those, more than two-thirds will need nursing home care, which averaged $80,000 annually in 2009 according to the U.S. Department of Health and Human Services. If costs increase 3% annually for the next 20 years, price of a one year nursing home stay rises to more than $135,000.
Medicare does not cover the cost of long-term care. As a result, our team works with clients to help mitigate the financial impact of long-term care through long-term care insurance. Policies offer many different coverage options, and our advisors assist clients evaluate their financial situation and determine the coverage that is most appropriate and affordable. Factors to consider can include:
* Long Term Care Insurance offered through RJFS and Woodforest Financial Services, Inc.