The rising cost of senior care is a looming concern for many Americans. A recent report by the Kaiser Family Foundation (KFF) paints a sobering picture: long-term services and supports (LTSS), including nursing homes, assisted living, and home care, are becoming increasingly expensive, outpacing the savings and income of many older adults.

Alarming Statistics

  • The median cost of a private nursing home room in the US has skyrocketed to $116,800 in 2023, a 5% increase from just the previous year.
  • The average Medicare beneficiary only has an annual income of $36,000, with a median savings of $103,800. This means a single year of long-term care could deplete their entire financial safety net.
  • Even less expensive care settings like assisted living can be financially overwhelming, as many patients require a combination of services, driving their total annual costs to nursing home levels.

Are We Protected?

Many people turn to long-term care insurance as a safeguard against these staggering costs. However, the KFF report reveals some sobering realities:

  • Only a fraction of people with long-term care insurance actually use it. Out of over 7 million policyholders, only 80,352 made claims in 2021.
  • Premiums, though averaging less than $2,000 annually, can be a long-term expense with uncertain payoff, as policies often have limitations and may not keep pace with inflation.
  • Employer-sponsored long-term care insurance is rare, and many policies have limitations on care eligibility and lifetime payouts. There's also the risk of the insurer going out of business before you need the benefits.

Medicaid: Stepping in, but with limitations

Medicaid, the government health insurance program for low-income individuals, shoulders a significant portion of LTSS costs (61% in 2022). However, this creates a financial burden on the program and highlights the racial and economic disparities in LTSS needs.

The Lavine LTC Benefits Solution

At Lavine LTC Benefits, we understand the challenges of navigating the complexities of long-term care. We offer a comprehensive approach to LTSS planning, ensuring you have the information and resources you need to make informed decisions.

Here's how we can help:

  • Understanding your options: We break down the various long-term care benefits available, including state-sponsored programs, employer-provided plans, and traditional long-term care insurance.
  • Personalized planning: We work with you to assess your individual needs and financial situation to develop a customized care plan that aligns with your budget and preferences.
  • Peace of mind: We guide you through the complexities of long-term care insurance, helping you choose a plan that offers the right coverage and minimizes financial risk.

Schedule a Free Consultation with Raymond Lavine

Raymond Lavine, our seasoned financial professional and long-term care expert, is here to answer your questions and guide you through the LTSS planning process. Watch these informative videos by Raymond to learn more about Long-Term Care benefits as an Employee Benefit:

Why LTC as an Employee Benefit: https://www.comfortltc.com/linkedbenefitltc.html 

What is LTC as an Employee Benefit: https://www.ancestrybenefits.com/financial/life-insurance-with-long-term-care-ltc/ 

Don't wait until a crisis hits. Contact Lavine LTC Benefits today and take control of your long-term care future!