Ignoring longevity and the resulting long-term care needs we will face in the future is ignoring life's reality. That is the message a leading expert on long-term care planning presented to financial planners and insurance professionals in Atlanta.
Speaking on a Zoom meeting, Matt McCann cited a tweeted statistic earlier in the day by the CDC's National Center for Health Statistics.
"Earlier this morning, I was looking at my Twitter feed and saw something related to our conversation today. If you are an 84-year-old woman today in the United States, you can expect to live another 7 ½ years on average.
This is one more year than a male of the same age. Are we prepared for this longevity? Are we ready for the consequences of aging," said Matt McCann, a nationally known expert on Long-Term Care Insurance and planning.
McCann said a 50-year-old male is expected to live to 81.8 years old. If that same man makes it to 70, their lifespan goes to 86.4. A 50-year-old female, however, is expected to live to 85.2 years old. That same female, when she is 70, is expected to make it to 88.4 years old.
If that same couple had children ages 22, 18, and 16, those kids will be 52, 48, and 46.
"Don't expect your children to become your caregivers when you are older. Caregiving is physically and mentally challenging. Your kids will have careers, families, and responsibilities. Plus, caregiving is harder for those who are older. Don't place the future responsibility of your future caregiving or managing care on your loved ones. We need to prepare for the financial costs and burdens of aging and give our families the time to be family," McCann explained.
McCann said it is critical to consider long-term care expenses as part of retirement planning. He cited the LTC NEWS Cost of Care Calculator that says in 25 years the national average cost of a nursing home will run $222,962 a year. However, most long-term care is delivered in a person's home or assisted living. The national average base cost of an assisted living facility in 2045 is predicted to be $106,622 a year. Even home care will average almost $112,000 a year.
"Just consider your budget. How would these costs impact your lifestyle and legacy? The problem, no matter when it happens, is simple. The impact of long-term care is both a cash flow problem and a family problem. Unless you have an affordable Long-Term Care Insurance policy these costs will come from income adversely impacting your finances.
Without a policy the family will have the responsibility of caregiving or managing paid care services. There is no reason to ignore the problem," McCann said.
Long-Term Care Insurance is very affordable, but premiums, McCann said, can vary well over 100% between companies. He urged the professionals on the Zoom meeting to seek help from a Long-Term Care Insurance specialist like himself to assist with their clients.
"I review all the available options based on their age, health, family history, and their finances to find the best coverage at the best value. Every insurance company has their own underwriting rules as well. Matching the client with their health is essential to saving money," he explained.
McCann says this is an area many financial advisors and general insurance agents lack full understanding. Underwriting is difficult to understand and requires asking many detailed health questions. Plus, Long-Term Care Insurance is custom designed.
"Most agents tend to recommend benefits that are way more then what is required. They don't understand how policies get used at the time of claim, nor do they fully understand the Long-Term Care Insurance Partnership Program that 45 states participate in. Partnership LTC Insurance allows you to shelter a person's or couple's assets with dollar-for-dollar asset protection. Even a small plan can provide substantial asset protection," he said.
He recommends using some of the tools available online to start your research. The Ultimate Long-Term Care Guide is an outstanding resource, according to McCann. He also suggests visiting his website, which has many tools available to plan for the future financial costs and burdens of aging.
McCann works with many financial advisors nationwide that seek his assistance in helping their clients plan for the financial costs and burdens of aging. McCann is licensed nationwide and works with the major insurance companies and their many long-term care solution products.
Consumers can seek his assistance directly by contacting him from his website or calling his office – 866-751-7957. He is licensed in all 50 states and the District of Columbia.
He uses a novel approach where a consumer can talk with him on the phone while viewing his computer screen on their own computer or tablet. This is an easy, safe, and pressure-free way to get educated and see your various options as you shop for an affordable LTC policy.
You can get free and accurate Long-Term Care Insurance quotes from all the major insurance companies by clicking on the FREE QUOTE icon on his website – www.mccannltc.net