Skilled Care : medical care, nursing care, or therapy usually delivered by a nurse or other trained professional
Personal Care : assistance with activities of daily living ( ADLs )
Supervisory Care : monitoring and supervision; a safe or controlled environment; assistance with ADLs ; and usually for individuals with cognitive impairments
Activities of Daily Living Bathing Dressing Eating Using the toilet Transferring Continence Activities of Daily Living (ADLs) Instrumental Activities of Daily Living (IADLs) Cognitive Impairment : loss in intellectual capacity Grocery shopping Laundry Preparing meals Housework Managing medication Transportation
Informal care: unpaid LTC assistance that is usually provided by family members, friends, or local organizations
Nearly two thirds of Americans are provided unpaid LTC services.
Providing this care can take a significant toll on the caregiver. Caregivers average 39 hours of help per week.
Source: US Department of Health and Human Services, Informal Caregivers of Disabled Elders with Long-Term Care Insurance, 2000 .
LTC Settings: Formal Care Adult Day Care Nursing Home Assisted Living Continuing Care Retirement Community Skilled Care Personal Care Instrumental Activities of Daily Living Assistance Home Care Residential Care Community Based Care
Individuals need long-term care when a chronic condition, trauma, or illness limits their ability to carry out basic self-care tasks, called activities of daily living , or instrumental activities of daily living .
Lifetime Risk of Needing LTC Sources: Long-Term Care Insurance, Baby Boom or Bust? Conning & Company, 1999. B.C. Spillman and J. Lubitz, 2002. Risk for needing LTC is 60 percent Risk for needing nursing home care is 43 percent
Risk of Needing LTC by Age (during a 12-month period) Source: Urban Institute, Long-Term Care: Consumers, Providers, and Financing . 2001.
Risk of Needing Nursing Home Care by Age (during a 12-month period) 1% 5% 23% 0% 5% 10% 15% 20% 25% Age 65 to 74 Age 75 to 84 Age 85 and older Source: Urban Institute, Long-Term Care: Consumers, Providers, and Financing . 2001.
Has family willing AND able to provide care (considering “unknowns” of the future)
Current health condition makes them not insurable
Why People Buy Long-term Care Insurance Source: HIAA and Long Term Care Group, 2002.
Why People Do NOT Buy Long-term Care Insurance
The leading reason people do not buy LTC insurance is the cost.
“ Costs too much” sometimes means, “I don’t see the value of this product relative to its price.”
Consumers sometimes consider policies that provide more coverage than they need – so it costs too much.Considering other, less costly, coverage options is a good idea when “shopping around.” But be careful not to purchase a policy that will not cover the majority of or your needs.