The need to receive the benefits from long-term care insurance (LTCi) is not age-sensitive.  There is a large percentage of people needing long-term care who are under the age of 65.  The need comes from accidents as well as chronic illness.

The average age of someone buying LTCi has gotten younger over the years. Today’s average age is 57, according to statistics. This has dropped for several good reasons:

  • The realization that medical insurance, Medicare and Medicare Advantage will NOT pay for long-term care (Medicaid only pays for those whose income or assets fall below a certain level; and that level is determined by the state of residence).                                 
  • The cost of long-term care has risen and continues to do so. In 2014, insurance companies paid approximately $8.7 BILLION in long-term care benefits.  One family with whom we consulted paid in excess of $1 million for LTC.                                                  
  • We all need protection against the potentially devastating costs if we should need the care and for those that want peace of mind.
  • It’s hard to know if and when you’ll need long-term care, but the statistics that follow may help:

    • Life expectancy after age 65 is now 18.6 years. In 1940, it was only 13 years after age 65. The longer people live, the greater the chance they’ll need help due to chronic conditions.
    • About 70% of people who reach age 65 are expected to need some form of long-term care at least once in their lifetime.1
    • About 11 million Americans of all ages require long-term care, but only 1.4 million live in nursing homes.
    • About 35% of people who reach age 65 are expected to enter a nursing home at least once in their lifetime. Of those who are in a nursing home, the average stay is about 2.75 years.2
    • From 2015 to 2055, the number of people aged 85 and older will almost triple from over six million to over 18 million. This growth is certain to lead to an increase in the number of people who need long-term care.

    1 Source: Medicare and You 2015; Centers for Medicare & Medicaid Services
    2 Source: American Association for Long Term Care Insurance (AALTCI)    


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