The economic crisis is forcing boomers to forgo long-term care insurance, according to a new a new survey by the nonprofit LIFE Foundation.
Sixty-four percent of Americans age 45 and older say that the recent economic downturn has had a major negative impact on their ability to pay for long-term care services should they become unable to take care of themselves for an extended period of time. Sixty-one percent say they are concerned that they will be responsible in the future for providing either financial assistance or personal care to a loved one who needs long-term care services. More than half of all adults (58%) think it is likely they will need long-term care services at some point in their lives.
While Americans recognize the risk, few of them, according to Deb Newman, CLU, ChFC, LTCP, president of Newman Long Term Care and spokesperson for LIFE, own long-term care insurance to guard against this risk.
“On average, the cost for long-term care services is roughly $70,000 a year. In today’s tough economic environment, most people have far less money available to pay for these services, and it’s likely they will need them,” says Newman. “Long-term care insurance guarantees that you will always have the financial means to afford the kind of care you’ll need and prefer.”