Long Term Care Planning Considerations

March 11, 2015 by No Comments

Most expenses relating to long-term care, whether in your home, a residential care facility, or a nursing home, are NOT covered by Medicare or Medicare Supplement plans.

Its been estimated that a 65 yr old couple today will need an average of $220,000 (not including future increases in health care costs or inflation) to cover medical expenses during retirement.

Find out the average annual cost of Long-Term Care services in your State and Area from one of our Long-Term Care providers by following this link 

Apart from the unpaid services provided by family and friends, long-term care can be very expensive. Below we have listed the annual California State Median Costs for the four most common types of care options, including Nursing Home, Assisted Living Facilities, Adult Day Care, and Home Health Care.

Nursing Home (Semi-Private)
$86,815/yr

Nursing (Private)
$104,025/yr

Assisted Living Facility
$45,000/yr

Home Health Care
$52,624/yr

If you would like to see the average cost of care in your specific area, or another state, check out Genworth’s 2014 Cost of Care Survey.

When considering how much Long-Term Care Insurance protection you might require, its important to note that every individual or couple will have different needs. With that being said, a government survey (1) found that the “average length of time since admission for all current nursing home residents was 835 days, or approx. 2 years 4 months.” Considering the current costs of Long-Term Care for a Nursing Home in California, this means an individual requiring Nursing Home care could expect to pay approximately $242,378 during their 2-3 year stay.

(1) The National Nursing Home Survey: 2004 Overview. U.S. Department of Health and Human Services, Centers for Disease Control and Prevention, National Center for Health Statistics