Update of Long Term Care
Hi all you bloggers out there, here is a little update on Long Term Care from Jenna Kozel with Edelman.
The new survey data shows that:
- One in four Baby Boomers erroneously believe that they have coverage for long-term care expenses. According to the National Association of Insurance Commissioners, only about 5.2 million Americans have long-term care insurance – at most about 5 percent of Baby Boomers.
54 percent of Baby Boomers think Medicare will pay for long-term care services. Forty-four percent believe “other health insurance” will pay. Even half of those who say they have long-term care insurance believe Medicare will pay for the care. Medicare does not, in fact, cover long-term care indefinitely. Medicaid will cover these services, but only after requiring individuals to spend down nearly all of their assets to qualify for assistance.
Even among Baby Boomers nearing or at the age of 60 – when concerns about the potential impact of long-term care on retirement savings might be most prominent in their minds – only one in four say they are “very familiar” with long-term care insurance. In addition, 41 percent say they have not had any discussion about long-term care in the past twelve months.
Full survey data can be found here: http://www.ahip.org/content/default.aspx?docid=21352
ANB updated