Planning for Long-Term Care in America

Americans Worry About The Need For Long-Term Care But Fail To Prepare

Americans Worry About The Need For Long-Term Care But Fail To Prepare.

Guiding Baby Boomer Clients through the Challenges of Long-Term Care - Financial Planning

This article, posted on Financial-Planning.com but authored for Accounting Today, is geared towards CPA.  The article talks about a team approach to building a LTC for clinets and some of he resources avaialable.... 

Guiding Baby Boomer Clients through the Challenges of Long-Term Care - Financial Planning.

Prudential Publishes Consumer Research Into LTC Insurance

Why isn't LTC Insurance more broadly purchased?  Prudential interviewed several hundered Americans aged 30 or higher with household income above $50K to find out.  The full Research Report can be downloaded as a PDF below.

Some important findings:

• People continue to think that Medicare and Personal Health Insurance will be a significant funding source for LTC- even though neither insurance is designed for LTC needs.
• When asked about the costs of care, people overestimate both the cost for care and LTC Insurance premiums
• Buyers of LTC tend to be focused on the well being of their family as the primary reason for purchase.
• Consumers know much less about LTC Insurance compared to other insurance products.

Finally, the primary reason for not buying LTC is that consumers are focused on more pressing financial issues.  Through awareness and education, more should turn towards LTC Insurance in the years ahead.

What do you think of the report?  Any surprises in the findings?  Please add a comment below.

Download Prudential Consumer Research -- 2011

Senior citizens bear brunt of state budget cuts - Mar. 14, 2011

This article from CNN Money talks about the issues facing states and their budgets for senior care services.

Senior citizens bear brunt of state budget cuts - Mar. 14, 2011.

MedPAC recommendation of 0% pay increase for 2012 leaves long-term care providers fuming - McKnight's Long Term Care News

Tough choices are having to be made regarding government financing of Long-term care.  In this example, the Medicare Advisory Committee is recommending no increase to pay providers.  However, the recommendations don't have to be followed by Congress.  Earlier in the year, MedPAC recommended co-pays for home health long-term care visits.  

MedPAC recommendation of 0% pay increase for 2012 leaves long-term care providers fuming - McKnight's Long Term Care News.

The Curtain Rises on the Class Act - NYTimes.com

Most major laws and initiatives are discussed in congressional committee meetings before they become law - but due to the last second nature of the CLASS act being part of Health Care Reform, the committee meeting took place after the face.  

On St. Patrick's day, the House Energy and Commerce committee met to discuss the CLASS act.  There are some proposed bills to repeal the law due to fiscal concerns, but it is doubtful that could occur since it would have to get through Senate and Presidential hurdles.  So, as this NY Times article mentions, the awareness of the program is just beginning....

The Curtain Rises on the Class Act - NYTimes.com.

Disaster is heavy burden to bear for Japan's elderly - CNN.com

Although this Blog focuses on the american long-term care payment system, it is important to sometimes look overseas to see what the impact of an aging population can mean for a country. The earthquake in Japan has focused attention on their country. 

As this article from CNN discusses, many elderly were from the region of the country where the earthquake hit, while the young live in urban areas.  In addition, Japan has not encouraged immigration from other countries which could be an important source of caregivers.

 

The lesson for the US as our population ages -- we need to have a strong LTC system, poperly financed,  to take care of our elders - disaster or not.

Disaster is heavy burden to bear for Japan's elderly - CNN.com.

Subcommittee Sets CLASS Act Hearing - Regulatory,Legislative and Tax Issues - Life and Health Insurance News

Subcommittee Sets CLASS Act Hearing - Regulatory,Legislative and Tax Issues - Life and Health Insurance News.

Mental Decline May Start Years Before Alzheimer's

Mental Decline May Start Years Before Alzheimer's.

Alzheimer's carries heavy toll on 15M unpaid caregivers - USATODAY.com

Each year, the Alzheimer's Association publishes latest data on Alzheimer's and the affect on caregivers.  Here is a USA today report about the issue.

 

It really goes to why people plan for LTC or purchase LTC insurance - the impact on the family can be substantial, and not unlike a death in the family.

 

Alzheimer's carries heavy toll on 15M unpaid caregivers - USATODAY.com.