Millennials Face Financial Struggle Caring for Aging Parents
Millennials are the next generation taking care of their aging parents, and they’re also living one of the most expensive lifestyles to date with the main financial struggle being the affordability of student loans.
So how does one of the most financially strapped generations also cover the cost for trusted Long-Term Care experts to give their parents or relatives the proper care they deserve?
Today is National Insurance Awareness Day, and we decided to cover one of the most under-exposed insurance options: Long-Term Care Insurance.
The following article is written by the credit union’s VP of Wealth Management: Harvey Brandvein.
What is Long-Term Care and Why Do I Need Long-Term Care Insurance?
Long-Term Care refers to the specialized care for people who suffer from an illness, an injury, or a disabling chronic condition that need help with what we consider to be normal, daily activities such as: bathing, brushing, dressing, and eating.
Harvey’s One-on-One Experience
“When I was a teenager, my Grandmother became ill and needed professional Long-Term Care. For over 15 years, she lived in a nursing home, and I remember how it emotionally and financially impacted my family.
This influenced my career path in financial planning, and motivated my wife and I to purchase Long-Term Care Insurance after my three children were born. “
Long-Term Care Insurance helps relieve the costs associated with specialized care necessary for daily living activities…
Unfortunately, Medicare Part A & Part B do not cover medical and non-medical care services for people who are unable to perform basic activities of daily living. Most employer-based health insurance programs, as well as disability insurance, do not cover these services as well.
The U.S. Department of Health & Human Services predicts most adults turning 65 will need Long-Term Care at some point during their lives.
Last year, the national median costs per month for Homemaker services was $4,004; Home Health Aide $4,195; Adult Day Health Care $1,560; Assisted Living Facility $4,000; and Nursing Home Semi-Private Room $7,441.
Average Length of Long-Term Care Needs
Expenses add up quickly…
And most people do not have the funds to provide continued specialized care. Long-Term Care Insurance helps ensure that a Long-Term Care recipient’s personal care is not sacrificed due to financial constraints. Every person struggling with an illness, injury, or disabling chronic condition has the right to find comfort in his/her daily life.
Long-Term Care Insurance is also a needed protection for your financial portfolio. Most individuals underestimate the need for Long-Term Care services, and, as a result, end of paying for their care out-of-pocket. This can, and often does, cause irreparable drain of assets.
Long-Term Care Insurance also eases the burdens placed on family members and caregivers. The physical demands of assisting a Long-Term Care recipient with bathing, eating, dressing, and movement/mobility every day, all throughout the day can be challenging. It can also be emotionally taxing. Long-Term Care Insurance brings in specialized professionals to assist with Long-Term Care so that recipients, caregivers and family members have quality time together.