Long-Term Care: A Costly Surprise for Many Seniors

Many people assume Medicare covers long-term care, but that's not the case. This mix-up could lead to big financial problems for seniors.

The Reality of Long-Term Care

• What is long-term care?
• Help with daily tasks like bathing or dressing.

• Over 80% of people will need this help at some point.

• The Confusion
• 58% of adults think Medicare covers long-term care.

• But it doesn't.

• What Medicare Actually Covers
• Only short nursing home stays.
• Long-term care is usually not seen as medical care.

The Financial Impact

• Costs Can Be Shocking
• Assisted living: Averages $5,350 a month.

• Nursing homes: Charge about $9,733 a month.

• Medicaid Coverage
• Covers long-term care, but only for those with very low income.

The Insurance Gap

• Only 4% of older Americans have long-term care insurance.
• Many don't buy it because they think Medicare covers it.

Preparing for the Future

• Consider long-term care insurance.
• Can be expensive, but many options exist.
• Costs vary based on coverage and benefits.

• Some policies pay out to beneficiaries if you don't use the care.

• Costs Vary by Location
• Albany, New York: Assisted living averages $8,093 a month.

• Boulder, Colorado: Assisted living averages $4,600 a month.

• Shopping Around Can Save Money.
• A retirement planner can help create a plan to cover these costs.