One of the most overlooked risks in retirement — the cost of extended care can quickly erode a lifetime of savings without a plan in place.
Long-term care refers to a range of services that help people with chronic illnesses, disabilities, or other conditions that limit their ability to perform basic daily activities — things like bathing, dressing, eating, and moving around. These services can be provided at home, in assisted living facilities, or in nursing homes.
Unlike acute medical care, long-term care is typically not covered by Original Medicare, Medicare Supplements, or Medicare Advantage plans. It is one of the most significant — and most unplanned-for — financial risks in retirement.
The average cost of a private room in a nursing home exceeds $90,000 per year. Home health aide services average over $50,000 annually. Without a dedicated strategy, these costs come directly out of your retirement savings.
The short answer: most people. According to the U.S. Department of Health and Human Services, roughly 70% of people turning 65 today will need some form of long-term care during their lifetime. Women, on average, need care for longer periods than men.
Yet the vast majority of retirees have no plan in place — relying on family members, or simply hoping it won't happen to them. A proper long-term care strategy protects both your savings and the people you love.
Services provided in your own home — including personal care aides, homemaker services, and skilled nursing visits. The preferred choice for most people who need care.
Residential communities that provide personal care support and supervision while maintaining independence. Costs vary widely by location and level of care required.
Full-time nursing care for those with more serious medical needs. Medicare only covers short-term skilled nursing stays — ongoing custodial care is not covered.
Specialized care for those with Alzheimer's or other forms of dementia. Typically provided in dedicated units within assisted living or nursing home settings.
There is no one-size-fits-all solution for long-term care planning. The right approach depends on your age, health, assets, and family situation. Common strategies include:
The best time to plan is before you need it. LTC insurance premiums increase significantly with age, and health conditions can disqualify you from coverage entirely. A conversation today costs nothing — waiting could cost everything.
We'll walk you through your options and help you protect your savings and your family — at no cost.