The Odds Are High, and the Coverage Isn’t
Planning for long-term care (LTC) services like in-home assistance, assisted living, or nursing home care is vital. According to the Department of Health and Human Services, roughly 70% of Americans over 65 will need some form of LTC at some point in their lives. Others reinforce that 70% figure while noting that nearly half (48%) of people surviving past 65 receive paid care during their lifetime.
Despite these odds, only less than 10% of Americans aged 50 and older have LTC insurance.
This disconnect, a majority who are likely to need care versus a tiny minority who are prepared, exposes a serious protection gap.
Financial Reason to Act
Long-term care can be financially devastating. Home health care alone can cost over $33 per hour, and full-time 24-hour care may run up to $290,000 annually. While Medicare doesn’t generally cover LTC, Medicaid only helps those with very few assets. Without adequate coverage, families often drain savings or depend on unpaid caregiving, which comes with high emotional and financial costs.
Why Most People Still Don’t Insure
A few reasons stand out:
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High premiums and qualifying hurdles. Policies become harder to buy and more expensive with age or health issues.
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Lack of awareness or confusion. Many people misunderstand LTC insurance or assume it’s covered through Medicare or employer benefits.
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Underestimating personal risk. Even among adults 65+, fewer than half (45%) believe they will need LTC, despite data suggesting otherwise.
LTC Insurance: A Strategic Shield
Investing in LTC insurance, especially earlier, can protect assets and preserve financial freedom. Newer hybrid policies (combining life insurance with LTC benefits) offer better flexibility: if care isn’t needed, heirs still receive the death benefit. But beware of traditional policies: premium hikes and limited use can lead to buyer frustration.
Important Final Points
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70% of those over 65 will likely need LTC services.
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Only 3%–14% of seniors have coverage.
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Without planning, LTC costs pose a major financial threat.
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Start early, explore options (traditional vs. hybrid), and reach out to us to tailor a smart LTC plan.
Early planning today can spare your loved ones a costly and overwhelming burden tomorrow.
Disclaimer:
State Licensing
Princeton Harriman Insurance Solutions is licensed to conduct insurance business in the following states: CT, FL, IL, IN, MD, MI, NC, NJ, NY, OH, PA, SC, TX, and VA. Insurance products and services are only offered in those jurisdictions. This communication is not intended as a solicitation or offer of insurance in any state where we are not licensed.
Insurance Coverage Limitations
Please note that insurance coverage cannot be bound, amended, or canceled via email or other electronic communication. Any request or instruction regarding your insurance policy is not effective until confirmed in writing by a licensed agent. This email and its contents are for informational purposes only and do not constitute an agreement, contract, or offer of insurance coverage
