The
Long-term Care Dilemma
When you spend
your life building assets and preparing for the days of your retirement, you
also need protect your hard work against potential dangers. Retirement for
many is a period of time to enjoy the fruits of their labors. Vacations in
Europe, visiting the children and grandchildren or relaxing on a secluded
beach are all choices many look forward to after a lifetime of work. The
ability to choose how to use your time is the dividend of hard work. One
potential problem not considered is the potential cost and damage of
long-term medical care to a well-planned life.
Most people are
aware of their government benefits and the protections they provide. Social
Security provides a guaranteed income and Medicare provides guaranteed
health insurance. A large number of people assume these protections extend
to long-term medical care costs. This mistake is devastating for many people.
A lifetime of work and a lifetime of dreams could easily be destroyed in a
few short years. The risk of entering a long-term care facility is greater
then 50%. And the cost can be well over $50,000 per year.
To fully
realize the dilemma at stake we first need to understand five factors that
magnify the risk:
1. The aging of
the US population is putting an ever-greater strain on what the government
will pay for and long-term care. And those who have assets are not a major
priority.
2. Advances in
medical technology and availability of new medicines are allowing people to
live longer then ever expected.
3. The costs of
Long-term care are increasing as the federal government shifts recovery of
illnesses to long-term care facilities from hospitals.
4. Changing
demographics are altering the family structure the traditional security net
for long-term medical care. Children are now in other states and countries
with their own lives and families far removed from their parents.
5. Transferring
assets in the hope of transferring the risk to Medicaid has many dangers.
Including government audits going back up to 5 years with penalties. Along
with government audits add the risk of divorce and bad investment decisions
by those entrusted with your assets and idea of transferring becomes very
risky.
A solution to
this dilemma is to insure you against the risk. Long-term care Insurance
will allow you to enjoy what you spent a lifetime accumulating without the
risk and worry of long-term medical care. In short this is the dilemma
facing an ever-larger group of Americans as the Baby boom generation is
starting to enter retirement years. Putting off the risk only increases the
potential damage.
For more
detailed reasons to consider long-term care insurance please read
10 Reasons you
should consider Long-term care insurance or call one of our consultants
today.
