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Facts on Longevity - Implications for Care - Within the next 25 years the U.S. population
age 65 and older is expected to double in size.
- The
85+ population is projected to double to 9.3 million in 2030 and double again to 20.9 million in 2050.
- After age 65, people have more than a 70% chance of needing
some form of LTC.
Sources:
1-2 U.S. Census Bureau (2006)
3. American Society on Aging "America's Failure to Act on Long-Term
Care Protection," 5/23/03
Cost of Care (Financial)
- LTC spending accounts for nearly 12% of all health care costs. This is projected to increase
significantly & could quadruple to $379 billion by 2050.
- Social Security and Medicare have
a combined unfunded liability of 101.7 trillion.
- By 2010 the federal government will stop
doing 1 in 10 things it's doing right now. By 2020 the federal government will stop doing 1 in 4 things it's doing right now.
- As Baby Boomers age, their numbers will double Medicare eligibles. At the same time, the number of workers
to support beneficiaries will decline. Those who ignore the facts--a surging need for LTC..fewer dollars to fund government
programs--are going to face a world where they have less (if any) choice. "Planning is bringing the future into
the present so you can do somethng about it now." (Alan Lakein)
Sources: - Statement of U.S. Comptroller General, 3/21/02.
- Social Security & Medicare Trustee
Report, 2008.
- National
Center for Policy Analysis (NCPA) 2008.
- American Association for Long-term Care Insurance, Sourcebook 2009.
Cost
of Care (Emotional) - Some 3.3 million people are caring for someone 50 or older.
- Approximately 60% of family caregivers are women.
- Nine in ten family caregivers (91%)
suffer from depression and eight in ten (81%) of those with depression report that caregiving has made their depression worse.
- Extreme stress can take as much as ten years off of a family caregivers life.
- Approximately 62% of family caregivers
who work have made some adjustments to their worklife; such as arriving late, leaving early, turning down a promotion, taking
an early retirement, or giving up work entirely.
Sources: 1,2,5 National Allicance for Caregiving & AARP; Caregiving in the U.S. (2004)3. Evercare
Study of Caregivers in Decline; A Close-Up Look at the Health Risks of Caring for a Loved One (2006)4. Peter Amo, Economic Value of Informal
Caregiving (2006)
FACTS ON LTCi (LONG-TERM CARE INSURANCE) 2009
LTCi Industry Report:
• 8.25 million Americans are protected with LTCi.
• 400,000 new Americans obtained LTCi in 2008.
•
8.5 billion in LTCi claims were paid in 2008 (estimate).
• 180,000 individuals were paid LTCi benefits in 2008.
• These benefits paid for home care and facility care. Source: American
Association for Long-Term Care Insurance, Sourcebook 2009. - You must "health qualify" for
LTCi coverage.
- Individual
tax payers who itemize their tax deductions can treat premiums paid for tax-qualified LTCi as a personal medical expense.
For businesses, LTCi can be 100% tax deductible as a business expense.
- Private LTCi reduces federal and state expenditures.
Medicaid savings are projected to total $5000 per policyholder
with a total savings to tax-payers of $396 billion.
- LTCi is good for America. It is good for Americans, their families, community, caregiving
institutions, and the overall financial future of the
nation.
Sources:
1-2. American Association for Long-Term Care Insurance, "Facts
for Business Owners and Self-Employed," 2009.
3.
Health Insurance Association Research Finding, September 2002.
4.
American Association for Long-Term Care Insurance, "What America's Experts Have to Say," 2005.
Living
a long life is likely. Planning for it is a necessity. For help with planning, Contact us.
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