Seven out of 10 people over age 65 will use some form of long-term care during their lifetime. Preparing for it is a wise part of retirement planning. Private health insurance, Medicare or Medicaid do not cover the kind of long-term care that’s most widely needed: help with activities of daily life.
The Cost of Care: $450 Billion a Year
That’s the price tag for private caretaking in this country, according to a report by the AARP Public Policy Institute.
- Family caregivers spend 20 hours a week, providing $5,000 a year in unpaid care.
- Professional assistance from a home health aide averages $19 per hour.
- Care in a nursing home averages $68,000 per year.
Lessen the Stress for Later Years
Long-term care policies are designed to cover a wide range of long-term care needs. It’s wise to purchase a policy earlier — well before you’re likely to need it — to lock in the best rate.
Learn more about the hidden costs of long-term care and what you can do before they hit home.